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TORT REFORM PASSES CIVIL JUSTICE LAWS PASSED IN THE 1995 LEGISLATIVE SESSION

After two years of effort by Texans for Lawsuit Reform (TLR), hundreds of other groups, and tens of thousands of individual Texans, eight solid tort reform bills passed the 1995 Texas Legislature and have been signed into law by the Governor. These historic reforms mark the first broad-based success since our state's civil justice laws began eroding over two decades ago.

The details of the eight bills that passed are described on the following web site. Many of the areas in which the most egregious abuses of our civil justice system take place will be vastly improved by the reforms, including punitive damages, joint and several liability, medical liability, the Deceptive Trade Practices Act, forum shopping, governmental liability, judicial fundraising and frivolous lawsuits. Dick Weekley, President of TLR, said, "It was the overwhelming sentiment among the people of Texas, including virtually every political, economic and geographic group,who propelled this agenda to success. People where simply fed up with lawsuit abuse, and they demanded reform. In 1995, they finally got it"

Leo Linbeck Jr., Chairman of TLR, emphasized though that there was more to be done. "A problem 20 years in the making cannot be resolved in just one legislative session. For Texas to truly provide a balanced and fair civil justice system, we need to finish the job next session."

Punitive Damages (SB 25) Joint and Several Liability (SB 28) Venue (Forum Shopping) (SB 32) Deceptive Trade Practices Act (SB 668)

Frivolous Lawsuits (SB 31) Limites on Governmental Liability (SB 383) Medical Liability (SB 971) Reform Judicial Fundraising (SB 94)

 

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PUNITIVE DAMAGES
(SB 25)

Sponsored by Senator Sibley and Representative Junell and T. Hunter

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LAW PRE-1995 LEGISLATIVE SESSION

Evidentiary Standards: Preponderance of the evidence with a finding of gross negligence, the lowest standard.
Financial Caps: Four times economic & noneconomic damages with certain broad exceptions which allowed for unlimited punitive damages. In practice, the caps to which they applied.
Judicial Review: No statutory requirement.

 

Ensures that defendants will not be intimidated into settlements rather than risk serious financial repercussions of bankruptcy through a massive punitive damage award.
Evidentiary Standards: Requires clear & Financial Caps: Except for certain intentional acts, SB 25 imposes a solid cap on punitive damages: the greater of $200,000 or two times economic damages plus an amount up to $750,000 award for noneconomic damages.

Judicial Review: Requires that an appellate court review must state, in written opinion, the court