Crucial Lawsuit Reform Bill Clears Major Legislative Hurdle

Date: March 03, 2020

Senate Bill 415, a measure that would fix Georgia’s broken legal system, cleared a major legislative hurdle today, passing the Senate Insurance Committee. It is now available to be put on the floor for consideration by the full Senate.

NFIB, Georgia’s leading small business advocacy organization, has joined a coalition of business groups and health care providers in calling for passage of SB415 so employers can have a level playing field with “billboard trial attorneys.”

“Small businesses are especially vulnerable to bogus and frivolous legal attacks,” said Nathan Humphrey, the National Federation of Independent Business’ state director for Georgia. “If a small business is sued, it spends thousands of dollars to defend itself, even if the case is found to have no merit and is thrown out of court.

“Just one frivolous claim can be enough to put a small business out of business,” Humphrey said.

Georgia ranks No. 6 on the American Tort Reform Foundation’s annual list of “Judicial Hellholes.” This year’s report says: “Conditions in the ‘Peach State’ have rapidly deteriorated over the past few years …. The legislature must take immediate action to improve the legal environment if Georgia hopes to be reformed from the list anytime soon.”

“On behalf of our members,” Humphrey said, “I want to thank the Insurance Committee for passing this important legislation. We need to create a legal climate that is fair for everyone, not just the billboard trial attorneys.”

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