Skip to content

Small Business Victory: Governor Sanders Signs Tort Reform Measure Into Law

Small Business Victory: Governor Sanders Signs Tort Reform Measure Into Law

March 4, 2025

Arkansas Legislature advanced tort reform effort to address phantom damages.

The Arkansas Legislature sent HB 1204 to Governor Sanders’ desk, addressing phantom damages and restoring fairness in the state’s judicial system. The Governor signed it into law in early February. HB 1204 was originally introduced by Rep. Jon Eubanks (R-Paris).

NFIB State Director Katie Burns applauded the tort reform measure as a ‘major win’ for small business owners and Arkansans.

“Heading into the session, our members made it clear that tort reform was one of their top priorities. Our Main Street business owners operate on infamously thin margins, and excessive tort costs, rising insurance premiums, and inflation all make it more difficult for them to keep their doors open and workers employed. We thank Rep. Eubanks and Governor Sanders for delivering a commonsense bill to address phantom damages and promote greater transparency and fairness in our judicial system.”

According to NFIB’s annual survey, more than 82% of Arkansas members who participated in the survey strongly support passing legislation to limit excessive lawsuit awards in personal injury cases.

A recent U.S. Chamber study shows that the average Arkansas household pays $2,942 in tort costs.

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Receive our newsletter and email notification
Knowledge is power. Let us help you stay informed with breaking legislative news, regulatory updates, business tips, and more.

Related Articles

members at work
September 12, 2025
Understanding the PUMP Act and PWFA: What Employers Must Know t…
Recent federal laws have increased workplace duties for employers: the Prov…
Read More
September 9, 2025
E-Verify for Small Businesses: Tips and Tools for Verifying Emp…
E-Verify is a free, online system that lets employers electronically verify…
Read More
September 9, 2025
NEW NFIB SURVEY: Small Business Optimism Improves Again 
Main Street cites labor quality as the top issue, according to new survey.
Read More
Legal series folder
September 5, 2025
Small Business Amicus Brief Questions Procedural Manipulation o…
NFIB filed an amicus brief in the case Enbridge Energy, LP, et al. v. Dana…
Read More

© 2001 - 2025 National Federation of Independent Business. All Rights Reserved. Terms and Conditions | Privacy Policy | Accessibility