Friends,
In the last three months, there have been more trial attorneys than we can count trying to usurp the success of Texas’ economy as a reason to stop talking about tort reform. The state’s success in attracting job creators is the reason we need to continue fighting lawsuit abuse that is hurting businesses and creating barriers to opportunity. Fortunately, we are not alone in this fight.
What was once a state-level conversation is becoming more of a federal issue as leading economists warn of a hidden tax that is hurting affordability for American families and businesses. We highlight that conversation and share how employers are fighting back against lawsuit abuse that relies on a particularly nefarious tool: inflated medical damages.
But first, we start with an event closer to home.
Ryan was invited to join the Northwest Forest Republican Women’s club at a luncheon on Monday that featured fun stories about his early days working on campaigns, the upcoming Republican primary runoffs, and, most importantly, highlighting the work TLR has done to build the Texas Economic Miracle. State Rep. Steve Toth was in the audience and applauded TLR’s behind-the-scenes work on Republican priority policies. A member of the club also spoke out about lawsuit abuse impacting her husband’s plumbing business.
One thing is for sure, TLR has been working for more than 30 years to deliver a Republican majority. Thanks to the effort of volunteers from the Northwest Forest Republican Women, and groups around the state like them, our state has held the conservative majority. Today, Texas is the envy of the nation as we recruit more companies and remain one of the best states to start and grow a business.
On Monday, the National Review published a column by economist Vance Ginn (former chief economist at the Texas Public Policy Foundation) arguing that federal lawmakers can no longer ignore the quiet burden that is making life more expensive: lawsuit abuse. In the piece, Ginn highlights how the dramatic increase in lawsuits is hurting the national economy and costing Americans about $4,200 per household.
“This is not some niche legal issue. Rather, it is an affordability issue that hurts American families, workers, entrepreneurs, and consumers. The widespread abuse of the civil justice system is a direct drag on growth, wages, investment, and opportunity.”
At the state level, more and more employers are pushing back on the bad actors pushing frivolous lawsuits. This week, we highlight lawsuits from FedEx and State Farm, where these companies are calling out medical providers and law firms that are inflating medical damages to drive higher settlements. Those cases in New York and Texas, respectively, are part of a growing trend for businesses that have become targets for fraud and abuse in the civil justice system.
