ATLANTA (AP) - After years of stalled efforts to limit civil lawsuits, Georgia Governor Brian Kemp and Republican lawmakers are making a renewed push for tort reform. Supported predominantly by business groups that label Georgia a "judicial hellhole," advocates argue that the state’s rising insurance costs are driven by excessive lawsuits, which they believe lead to significant payouts for plaintiffs.
Senate Majority Leader Steve Gooch, a Republican from Dahlonega, stated, "This issue is not about business. It’s about every Georgian paying more and more premiums for their insurance." He emphasized the need for actionable measures to make owning a home, operating a vehicle, and protecting families with insurance more affordable.
Opponents of the reform argue that there is insufficient evidence to suggest that civil lawsuits are directly linked to rising insurance rates. Jen Jordan, an attorney and former Democratic state senator, criticized the push by saying, "At the end of the day, Georgians are going to be hurt," suggesting that such measures primarily benefit political donors.
During 2022, Kemp assured the Georgia Chamber of Commerce, a key ally, that he would push to limit lawsuit costs. However, he acknowledged in 2023 that such efforts were complex, eventually signing a law aimed at collecting data on lawsuit verdicts. As Kemp seeks to rally public support ahead of the legislative session set to begin Monday, he faces challenges from within his party, with GOP lawmakers who profit from lawsuits, Democrats who largely oppose the changes, and a state Supreme Court that has previously annulled similar limitations.
A prominent issue under consideration involves lawsuits against businesses, such as those filed by Sheila Brooks after her son was shot at a Family Dollar store in south Atlanta. While the police indicated the shooter was not an employee, the lawsuit claims Family Dollar ignored prior violent incidents at the location and failed to enhance security measures, thus putting customers at risk. Supporters of the lawsuit limits argue that property owners should not be held liable for the actions of trespassers or other customers.
Bill Custer, an attorney, commented on the potential benefits of reforming these laws, expressing that it could make Georgia a more attractive state for businesses and insurers, thus improving its reputation. Nancy Palmer, a spokesperson for the Georgia Chamber of Commerce, underscored concerns that Georgia's legal climate has pushed insurance companies away, resulting in businesses struggling to obtain coverage.
Darion Dunn, managing partner at Atlantic Strategies and developer of affordable housing projects, noted that rising insurance costs tied to litigation concerns have forced them to abandon vital housing initiatives. Dunn specifically advocates for laws that limit compensation for non-economic damages, highlighting that although Georgia capped such verdicts in 2005, the state Supreme Court overturned that law as unconstitutional in 2010.
Contrarily, the Georgia Trial Lawyers Association contends that the push to limit lawsuits is unfounded, claiming that insurance companies have maintained high premiums despite achieving record profits. To address property owner liability, lawmakers might consider restricting the evidence lawyers could use to demonstrate a property owner’s prior knowledge of risks or setting minimum blame for the perpetrator in criminal incidents, referencing a notable 2023 case where a jury disproportionately blamed a business rather than the assailant in a shooting incident.
Madeline Summerville, an Atlanta attorney and political consultant for Democrats, voiced concerns regarding malpractice lawsuits, stressing that doctors may be less accountable if reform occurs. In a recent roundtable, medical executives mentioned rising insurance costs are negatively impacting the recruitment of medical professionals in Georgia.
Potential legislative reforms might mirror those recently enacted in Florida, such as requiring lawyers to clarify the actual medical costs incurred by plaintiffs rather than arbitrary amounts and conducting separate trials to determine fault in medical malpractice cases. Overall, the Georgia legislature appears poised to engage in debates surrounding tort reform, which may significantly affect the state's legal and business landscape.
