What happened: Conservative, tax-cutting states are enacting comprehensive tort reform measures to reduce the threat of frivolous litigation, while blue states such as Illinois are encouraging litigation against businesses. Read more
Tell me more: Georgia’s tort reform package addressed improper jury anchoring as well as “phantom” damage awards derived from inflated medical bills. Oklahoma followed Georgia with a $500,000 noneconomic damage cap for claims arising from bodily injuries, which increases to a $1,000,000 cap if the plaintiff suffered a permanent mental injury.
TLR Thoughts: Conservative states are championing tort reform as a policy priority, and their citizens are reaping the benefits. TLR will continue to advocate for meaningful legislation that discourages abusive litigation while protecting the rights of injured Texans.
What happened: President Donald Trump’s new Executive Order on 401(k)s will help ensure that Americans who work for businesses of all sizes have access to a variety of investment options, while at the same time protecting small businesses and retirement savers from frivolous lawsuits. Read more
Tell me more: Small businesses are currently allowed to offer private market investments to their employees as a part of 401(k) plans, but the threat of lawsuit abuse has deterred employers from offering these investment options.
TLR Thoughts: President Trump’s newly announced Executive Order on 401(k)s recognizes the burden that frivolous lawsuits place on small businesses in particular—ultimately impacting hardworking Americans. Limiting unnecessary litigation strengthens America’s economy and helps more Americans build wealth, showing that legal reform can have immediate, measurable impacts on both business growth and retirement security.
What happened: AI is being explored as a tool to identify and manage high-risk cases that could result in “nuclear” verdicts. Read more
Remind me: In 2024, U.S. courts delivered 49 verdicts exceeding $100 million, nearly double the number from 2023. The median large verdict increased from $44 million in 2023 to $51 million in 2024.
Tell me more: Experts believe AI may be the next best tool to combat the nationwide proliferation of “nuclear” verdicts. Specifically, AI can model trial outcomes, anticipate jury behavior and identify recurring relationships between certain plaintiffs’ lawyers and medical providers. With this information, AI can flag cases most likely to result in enormous judgments and allow defense counsel to formulate a proper litigation strategy.
TLR Thoughts: AI and predictive analytics offer promising tools to proactively identify and intervene in high-risk claims that could result in outsized judgments. With these developing technologies, in tandem with reasonable tort reform, frivolous lawsuits and runaway awards can be significantly curbed.