Small businesses across the country are under threat of predatory lawsuits filed by lawyers looking for quick cash settlements. These claims are often filed with little to no consequences and force small businesses to incur thousands of dollars in legal fees. NFIB sent two letters of support to the U.S. House for bills that increase protections for small businesses while limiting frivolous litigation that targets small businesses who lack the resources to fight lengthy lawsuits.

Protecting Small Business from Predatory Website Lawsuits Act: This legislation would provide small businesses with the time and notice necessary to make corrections to their websites to comply with Americans with Disabilities Act (ADA) requirements. Currently, lawyers are targeting small business owners and filing suits looking for quick cash settlements. Without the resources or the notice to make website changes to stay compliant, many businesses are forced to settle or enter drawn-out legal battles, costing them thousands of dollars.

Lawsuit Abuse Reduction Act of 2025: This legislation corrects imbalances made from “safe harbor” provisions that allow trial lawyers to avoid sanctions by rescinding claims within 21 days of filing for the motion of sanctions. This effectively allows lawyers to avoid penalties for baseless lawsuits, leading to a significant increase in litigation filed against small businesses. If the Lawsuit Abuse Reduction Act of 2025 is passed, it will allow judges to use sanctions to compensate affected parties, helping small business owners cover costly legal fees.

NFIB urges Congress to pass these pro-small business commonsense bills to put an end to harmful and unnecessary litigation. Read the letter of support to the House for the Protecting Small Business from Predatory Website Lawsuits Act and the Lawsuit Abuse Reduction Act of 2025 for insight on how this legislation protects small business.

Take Action: Tell lawmakers how frivolous lawsuits harm small business!