NFIB Urges House Committee to Pass Lawsuit Reform for Small Business

Date: March 07, 2018

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NFIB Kansas State Director Dan Murray will go before the House Judiciary Committee today and speak in support of Senate Bill 199, legislation that would help the state’s small businesses by balancing the scales of justice.

In his prepared statement, Murray writes, “The frequency and high cost of litigation in our country’s current civil justice system is a matter of growing concern to small businesses

“Liability reforms inject a measure of fairness into a legal system that currently preys on business, often without regard to legal merit,” he says. “Liability reform also helps reduce the number of frivolous lawsuits and the exorbitant costs that can drive businesses to financial ruin.”

“The proposals in SB199 provide just the kind of legal reforms that give small businesses the fairness and certainty they need,” Murray says.

While NFIB supports the entire bill, Murray writes that small businesses are especially pleased with a provision allowing for lower appeal bond limits for small businesses as the kind of reform that is long overdue. Under the bill, if the appellant is a small business, the bond must not exceed $2.5 million or the amount of the judgment, whichever is less.

“Small businesses, in most cases, simply cannot afford the level of security required to appeal an adverse judgment in many of the frivolous litigation cases we see today,” Murray says. “The bill’s treatment of small businesses is reasonable and fair; and, the lower limits safeguard the due process rights for small business owners by facilitating meaningful access to our state’s appeals court.”

NFIB is the nation’s leading small-business association. To learn more about NFIB in Kansas, visit www.NFIB.com/KS and follow @NFIB_KS on Twitter.

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