Thursday, September 19, 2024
Gov. Brian Kemp (left) and Gov. Ron DeSantis (right) | X/GovKemp, X/GovRonDeSantis

Gov. Kemp: Georgia working towards ‘common-sense lawsuit reform’

Georgia Governor Brian Kemp stated on August 22 that he and the state legislature are taking steps towards implementing legislative reform measures to address the "growing problem" of excessive litigation in order to improve the state’s business climate.

"A little over a year ago, I announced my intention to work toward common-sense lawsuit reform while still bringing jobs to Georgia and maintaining our position as the No. 1 state for business," said Kemp. "We took the first meaningful steps on that issue this past session through the Data Analysis for Tort Reform Act. As we move forward, I want to thank the legislature and those from around the state who have been engaged on this issue as we work together to address this growing problem."

Last year, Florida Governor Ron DeSantis signed HB 837 into law. According to a press release from the governor's office, the bill was intended to reduce the number of "frivolous" lawsuits in the state and prevent trial attorneys from engaging in "predatory practices." The bill enacted tort reform measures including clarifying that negligence alone does not constitute "bad faith," eliminating attorneys’ fee multipliers, and establishing uniform standards to assist juries in calculating accurate medical damages. DeSantis said at the time, "I am proud to sign this legislation to protect Floridians, safeguard our economy and attract more investment in our state."

Insurance Commissioner Michael Yaworsky said in May that Florida’s insurance markets are showing signs of stabilization. According to a press release, Yaworsky noted that insurance reforms spearheaded by DeSantis, the state legislature, and the Financial Services Commission have contributed to the first downward trend in rate filings in years. At least eight insurance companies filed rate decreases for 2024, while ten other companies filed 0% rate increases. In the wake of these reforms, eight new companies were also approved to write home insurance policies in Florida.

Julianne Thompson, co-founder of the Capitol Coalition of Conservative Leaders, commented on Georgia’s legal system. She said excessive lawsuits are congesting Georgia’s legal system and delaying justice for legitimate victims. Additionally, Thompson noted these lawsuits are driving up costs for Georgia consumers and hurting the state’s economy. Writing an opinion piece for The Atlanta Journal-Constitution, she stated that "out-of-control" lawsuits are endangering the quality of life in Georgia. She suggested that the Georgia General Assembly could address these abuses through reform measures that would benefit businesses and consumers.

Kemp signed HB 1114, known as the Data Analysis for Tort Reform Act, into law on April 2. According to the Georgia General Assembly, this bill authorizes Georgia’s Department of Insurance to collect data supporting the development of "effective, long-term tort reform legislation that benefits all Georgians" from insurers in the state. It also directs the Commissioner to submit an initial report with findings by November 1. The bill states that "frivolous and excessive tort litigation" hurts Georgia’s economy and creates costs for all state residents, particularly higher insurance costs.

Kemp took office in January 2019 and was reelected in 2022. According to his website, he previously served as a state senator from 2003 to 2007 and as Georgia Secretary of State from 2010 to 2018.