This week’s news underscores the real cost of lawsuit abuse and why reform still matters for affordability. A national report shows Americans now pay a $1,666 hidden tort tax each year as excessive litigation drains jobs and drives up prices. New polling confirms what families already feel: voters overwhelmingly link lawsuit abuse to higher costs and rising insurance premiums. And Georgia’s recent reforms offer a clear example of what happens when states choose fairness over jackpot justice.
The stories below make one thing clear. When lawsuit abuse is left unchecked, families pay more, businesses lose certainty and communities lose opportunity. That is why keeping our courts fair and predictable matters for every Texan, whether they ever step in a courtroom or not.
What Happened: Excessive lawsuits are imposing a massive hidden cost on American families and workers. A new report finds that abusive litigation now costs the U.S. economy $367.8 billion every year, equal to a $1,666 hidden tort tax on every American. The same litigation surge is linked to the loss of 4.8 million jobs annually, draining opportunity from communities nationwide. Read More
Tell Me More: The report highlights how certain courts have become magnets for inflated verdicts, encouraging trial lawyers to chase jackpot payouts through novel liability theories and sympathetic juries. Nuclear verdicts, including billion-dollar awards and multimillion-dollar claims over minor incidents, are driving up insurance premiums and legal costs for businesses of all sizes. The rise in asbestos, talc, and technical “gotcha” lawsuits under federal statutes is adding to the pressure, forcing businesses to divert resources away from hiring, wages, and investment.
TLR Thoughts: A $1,666 tort tax is not theoretical; it shows up in higher prices, higher premiums and fewer job opportunities for families. When lawsuit abuse goes unchecked, it weakens the economy, punishes honest businesses and reduces access to affordable goods and services. Texas has proven that smart lawsuit reform works, protecting consumers while supporting growth. This report is a reminder that maintaining a fair, predictable legal system is essential to keeping costs down and communities strong.
What Happened: After a car crash, many victims are immediately pulled into a legal process that leaves them with more debt, less control and mounting costs. Survey results show that 92 percent of crash victims were contacted by attorneys, often within hours, and 73 percent were steered to specific doctors or clinics chosen by their lawyers. Instead of relief, many victims reported pressure, confusion and unexpected financial obligations. Read More
Tell Me More: Two-thirds of those surveyed said they took on new debt early in the process through medical liens or lawsuit loans, while 30 percent felt rushed into signing with a lawyer and 32 percent felt pushed to continue medical treatment longer than necessary. These practices inflate medical bills and claimed damages, but the money is often split among lawyers, providers and funders before victims see a dollar. Some respondents said attorneys were more focused on maximizing payouts than protecting their clients’ well-being.
TLR Thoughts: This is how lawsuit abuse quietly drives up costs for everyone. When lawyers control medical decisions, prolong treatment and stack financial arrangements onto accident victims, the result is inflated claims and higher insurance premiums for families statewide. Texans end up paying more at the pump, at the grocery store and in their monthly insurance bills. A fair legal system should protect victims, not turn accidents into profit pipelines that raise costs for consumers.
What Happened: Americans overwhelmingly agree that lawsuit abuse is driving up the cost of living. New survey results show that 75 percent of voters say lawsuit abuse is a serious problem, and 81 percent believe it directly raises the cost of goods and services for families. At a time when household budgets are already stretched, voters clearly see excessive litigation as a core affordability issue. Read More
Tell Me More: The poll also found that 76 percent of voters say their cost of living has increased, and 76 percent support reforms to eliminate the hidden costs tied to lawsuit abuse and insurance fraud. Nearly four in five voters say it is very important for national leaders to address this issue, reflecting broad frustration with rising prices, higher premiums and a legal system that too often rewards abusive behavior instead of fairness.
TLR Thoughts: Voters understand what trial lawyers want them to ignore. Lawsuit abuse is not abstract, it is a hidden tax that raises prices and squeezes family budgets. When inflated claims and jackpot verdicts push costs higher, consumers pay at the grocery store, the gas pump and in their insurance bills. Texas has shown that smart reforms work, and strong public support confirms that protecting affordability and fairness must remain a top priority.
Georgia just proved that smart lawsuit reform delivers real results. After passing targeted tort reforms to protect jobs and families, the state was removed from the American Tort Reform Association’s “Judicial Hellholes” list. Texas has led before, and Georgia’s success is a clear reminder that strong reforms keep courts fair and costs lower for families.
That is the hidden tort tax lawsuit abuse now costs every American each year. Inflated claims and runaway verdicts push costs through the economy, raising insurance premiums and everyday prices. Families pay the price whether they ever step inside a courtroom or not.
