What happened: Businesses are moving out of Delaware as its courts impose unpredictable legal rulings that undermine corporate confidence, with Texas positioning itself as a stable alternative. In Gov. Greg Abbott’s words: “The Lone Star State is open for business.” 

Tell me more: Delaware’s Chancery Court has shifted away from its long-standing business-friendly approach, increasingly interfering with shareholder-approved decisions and corporate governance. 

• Texas, by contrast, is luring companies to the state with the newly established Texas Business Court—the state’s first new court system in more than half a century.
• In 2023, TLR worked hard to ensure the enactment of legislation creating a specialized business court in Texas that would handle complex business-to-business litigation—a major economic development tool for the state—as well as the Fifteenth Court of Appeals, which handles appeals for the business court and important cases involving the State of Texas.
• In February 2025, Gov. Abbott celebrated the New York Stock Exchange’s (NYSE) announcement that it is establishing NYSE Texas in Dallas. Nasdaq, another major stock exchange, also has a presence in Texas, and the TXSE Group is working to set up the Texas Stock Exchange in the state as well.

In his own words: “Delaware may go to hell, but businesses should come to Texas. Here, the American dream lives on.” —Gov. Greg Abbott

TLR Thoughts: This session, TLR is working with the Texas Legislature to further enhance the Texas Business Court and to protect companies from unnecessary litigation—so that Texas can cement its status as the best place in the nation to live, work and do business. On March 4, TLR joined the Texas Stock Exchange and the Alliance for Corporate Excellence in applauding the filing of Senate Bill (SB) 29 by Sen. Bryan Hughes (R-Mineola) and companion House Bill (HB) 15 by Rep. Morgan Meyer (R-University Park). The legislation would codify the “business judgment rule,” ensuring the Texas courts cannot second-guess decisions made by disinterested members of corporate boards. 

Read the full article here.

What happened: A newly released nationwide survey by Protecting American Consumers Together (PACT) reveals that Americans of all political stripes and across demographics support reforming the U.S. legal system to drive down the price of goods and services. 

Tell me more: The survey highlights the strong bipartisan support that exists for legal reforms to curb lawsuit abuse, increase transparency and lower costs for consumers. 

By the numbers: 

• 83% of voters support greater transparency on hidden fees paid to billboard attorneys.
• 77% favor legal reforms to lower auto insurance rates.
• 75% want fee arrangements between attorneys and medical provider networks disclosed.
• 67% support capping attorney fees.
• 64% support reforms to eliminate the $4,200 hidden tax imposed on American families by lawsuit abuse—support that spans party lines (71% Republicans, 64% Independents, 59% Democrats).

TLR Thoughts: Meaningful reforms are needed at both the federal and state levels to help put an end to the unfair litigation practices increasing the cost of living for all Americans. In Texas, TLR is working together with the Lone Star Economic Alliance (LSEA) to urge reforms that will protect Texans from higher insurance costs; guarantee fair restitution for legitimate injuries; and create a legal environment that encourages medical providers to treat accident victims without fear of litigation abuse.

Read the full article here.

What happened: Apple is the latest technology giant to announce its move to the Lone Star State, where it will launch a new 250,000 square-foot factory in Houston to make servers for an artificial-intelligence system.

Remind me: Tech investments are transforming the Texas economy, often via companies from California in search of lower taxes and fewer regulations on land use and labor.

• Major corporations like Tesla, Meta and Hewlett Packard have already moved operations to Texas, citing lower costs and a growing talent pool.
• To further attract businesses, Texas launched on Sept. 1, 2024 a specialized business court to streamline complex business cases and to reduce backlogs in state district courts.  

In his own words: “In the end, it’s all about the cost of doing business, and the cost of doing business is just lower in Texas.” —John Diamond, an economist at Rice University 

TLR Thoughts: The creation of the Texas business court is one of the most transformative steps the state has ever taken to strengthen Texas’s economic competitiveness. This session, TLR is working with the Texas Legislature to further enhance the business court and the state’s corporate governance laws—so that Texas can further cement its status as the best place in the nation to live and to work.

Read the full article here.

What happened: A recent report by the U.S. Chamber of Commerce found that tort lawsuit costs burdened Texas households with $38 billion in 2022, driving up insurance premiums, business expenses and the overall cost of living.

Tell me more: Texas represents “one of the leading states in year-over-year growth in tort costs.” From 2016-2022, tort costs increased at a rate of 9.7%. 

• Rising litigation expenses in the state have forced businesses to raise prices, cut jobs or close, while also making insurance less accessible for individuals and employers.
• According to the U.S. Chamber of Commerce study, “the high tort costs in Texas can be attributed to several factors that influence the state’s legal environment, which is known for significant nuclear verdicts—large jury awards exceeding $10 million. These large awards not only increase the cost of individual cases but also contribute to higher insurance premiums and legal fees, which are ultimately passed on to consumers and businesses.”

In his own words: “Small businesses are burdened with soaring insurance premiums that jeopardize their survival, while the constant wave of lawsuits drives up the costs of essential items like food and medical care.” —Imad Sarkis, vice president of Exxpress Mart convenience stores and member of the Lone Star Economic Alliance (LSEA)

TLR Thoughts: One of TLR’s major priorities during the 2025 Texas Legislative Session is reining in the nuclear verdicts that are hurting small businesses and discouraging large corporations from allocating capital to Texas. To address this issue, TLR, alongside the Texas Trucking Association and the Texas Food and Fuel Association, created LSEA—a statewide business coalition comprised of more than 1,000 Texas individual citizens, companies and business associations working together to urge legislative reforms that will restore fairness and transparency to Texas’s legal system.

Read the full article here.

What happened: On Feb. 27, Texas state Sen. Bryan Hughes (R-Mineola) and state Rep. Morgan Meyer (R-University Park) filed companion landmark bills promising to reshape the American business landscape. Senate Bill (SB) 29/House Bill (HB) 15 aim to make Texas the preferred jurisdiction for legal domestication by proposing “a series of amendments to the Texas Business Organizations Code that would increase the certainty for how corporate decision-making is reviewed by the courts.”

Tell me more: With growing concerns over Delaware’s legal system becoming less reliable due to activist influence, SB 29/HB 15 seek to reinforce Texas as a hub for business excellence, innovation and growth.

Worth noting: The bills have garnered strong support from business leaders across Texas, including TLR, the Texas Stock Exchange (TXSE) and the Alliance for Corporate Excellence. 

• TLR Chairman Dick Weekley said of SB 29/HB 15: “This critical legislation will further solidify Texas as the nation’s leader in business and economic development—and will draw even more companies to Texas, empowering them to create jobs and continue the Texas Miracle. TLR applauds Senator Hughes and Chairman Meyer for their strong leadership and for their commitment to business excellence in the state.”

TLR Thoughts: SB 29/HB 15 will help ensure that Texas remains the premier state for corporate operations, fostering an environment of innovation, job creation and economic growth for years to come—and positioning Texas as a major challenger to the decadeslong dominance of Delaware’s business courts.

Read the full article here.

What happened: Leaders in South Carolina and Georgia are aiming to pass a series of tort reform bills this year that would make their respective states more economically competitive and a less costly place to do business.

Tell me more: 

In South Carolina, Senate Bill 244 is one of several tort reforms bills now being debated in the statehouse.

• South Carolina-based think tank Palmetto Promise Institute commented on the critical need to pass tort reform in the state, saying, “The lawsuit industry in South Carolina is out of control. Drive down any highway in our state, and you’ll see it lined with billboards for trial lawyers. The sheer quantity [is] a clear sign that something in our state is sorely wrong.”
• Governor Henry McMaster (R-SC) addressed the issue during his State of the State address on Jan. 29. He said: “Future economic prosperity requires that our state’s civil justice system allows fair and prompt enforcement of our laws and proper redress of injury … Individuals and businesses, both large and small, are becoming unduly penalized for the actions of others – too often through crippling financial judgments and skyrocketing insurance premiums.”

In Georgia, Senate Bill 68 – critical tort reform legislation – last week passed the State Senate on a 33-21 vote and will now move to the House. 

• According to the American Tort Reform Association, the bill addresses “numerous issues to improve the state’s civil justice system, including reforms to address ‘phantom damages’ and ‘jury anchoring’ as well as empowering juries with critical evidence regarding seat belt use in cases involving vehicle crashes.”

TLR Thoughts: More than 30 years after TLR first started reshaping Texas’s tort environment, South Carolina and Georgia are following in Texas’s footsteps in prioritizing tort reform. But our work in Texas is not done. This legislative session, TLR is advocating for legislative reforms that will restore fairness and transparency to the legal system, return stability to the insurance market and preserve Texas’s prosperous economy – the eighth largest in the world. Learn more at www.lseatx.com.

Read the full article here.

What happened: Uber has launched a seven-figure national ad campaign to push for reforms in insurance policies that are being exploited by personal injury trial lawyers and driving up users’ ride costs. 

Tell me more: Specifically, the San Francisco-based rideshare company is seeking legislative changes that would lower state-mandated insurance limits – and ultimately help “deter personal injury lawyers from taking advantage of lucrative policies and seeking high payouts.”

• The advertising campaign includes sponsored placements in national and local political outlets, including Politico’s New York Playbook newsletter. Uber is also running ads on social media networks, YouTube and TV streaming platforms, urging consumers to take action to keep their rides “affordable.”
• An advocacy website set up by Uber includes state-by-state data on how insurance costs factor into rideshare prices to raise awareness for its cause. For example, costs associated with Uber’s US rides insurance have increased by roughly 50% per trip in the last 3 years, even as Uber saw a decrease in the rate of overall crashes reported on the platform from 2017 to 2022.

In his own words: “… [The] legal system remains broken, allowing personal injury lawyers and a shady network of pain management doctors, chiropractors and third-party lenders to exploit rideshare insurance mandates for financial gain.” — Adam Blinick, Uber Public Policy and Communications

TLR Thoughts: Uber is not alone. TLR is working right now with a coalition of nearly 1,000 businesses, associations and individuals to address the “shady network of pain management doctors, chiropractors and third-party lenders” who are exploiting Texas’s courts and costing every Texas consumer money. The Lone Star Economic Alliance (LSEA) is working to put an end to the unfair litigation practices raising the price of the goods you purchase every day. Sign up here to join the fight.

Read the full article here.

What happened: Texas is the fifth most regulated state in the nation, according to the most recent State RegData rankings.

Remind me: On Dec. 4, 2024, Gov. Greg Abbott launched the Small Business Freedom Council to identify regulatory barriers for small businesses. While this is a major step toward modernizing the state’s regulatory system, the 89th Texas Legislature has an opportunity to address specific areas where change is most urgently needed.

Tell me more: Excessive regulations, particularly in occupational licensing and permitting, create unnecessary hurdles for entrepreneurs and businesses. Proposed reforms include:

• A user-friendly website consolidating all business regulations in one accessible location.
• A transparent and regular review process to ensure regulations remain effective.
• A new regulatory division to help state agencies review regulations, improve their rules and eliminate inefficiencies.

In his words: “Reforming Texas’s regulatory system is one of the most impactful steps legislators can take to improve state government and ensure Texas continues to lead the nation. By fixing outdated regulations and removing unnecessary barriers, Texas can cement our status as a dominant economic force in the U.S. and around the world.” —Judge Jeff Rose 

TLR Thoughts: Texas’s excessive regulatory framework threatens its economic competitiveness, especially for small businesses and consumers, which is why TLR is part of the Coalition for Regulatory Efficiency and Reform. TLR will support legislation this session aimed at systematically reducing red tape and preventing future accumulation of regulations. By adopting proven strategies, Texas can stimulate substantial economic growth and solidify its reputation as a leader in pro-business governance.

Read the full article here.

What happened: California’s insurance market is collapsing due to price controls and regulatory burdens, while Florida’s legal reforms have stabilized its market and lowered insurance rates.

California’s crisis: Insurance Commissioner Ricardo Lara imposed a $1 billion surcharge on insurers and policyholders to prop up the failing state-backed insurer, FAIR, which is in danger of becoming insolvent.

• Strict regulations have prevented insurers from adjusting rates for wildfire risks, leading to massive losses and a potential credit rating downgrade for State Farm, California’s largest fire insurer.

Florida’s success: Florida’s 2022-2023 litigation reforms curbed “rampant lawsuit abuse” and helped head off an insurance disaster. In fact, these tort reforms helped attract 11 new insurers to the state and shift 477,000 policies from the state-backed Citizens Property to the private market. 

• As a result, major insurers have begun lowering rates, and auto insurance premiums are also declining.

TLR Thoughts: Florida’s success highlights the benefits of state-level solutions. TLR supports maintaining state authority over insurance regulation, but that has to be coupled with a legal environment that does not reward plaintiff lawyers for pursuing meritless lawsuits that cost all Texans money through increased costs for goods and services.

Read the full article here.

What happened: The New York Stock Exchange (NYSE) is establishing NYSE Texas in Dallas, further solidifying Texas’s status as a business and financial hub.

Remind me: The NYSE revealed its plans to add operations in Dallas by reincorporating its NYSE Chicago as NYSE Texas, which will be a fully electronic equities exchange.

• Texas has become a top destination for corporate relocations due to the state’s business-friendly environment. Big-name companies, including Tesla and Hewlett Packard Enterprise, have already made the move.

Worth noting: Nasdaq, another major stock exchange, also has a presence in Texas, and the TXSE Group is working to set up the Texas Stock Exchange in the state as well.

• University of Texas at Dallas Accounting Assistant Professor Kirti Sinha suggested that the presence of stock exchanges in Texas will boost investor confidence and attract more companies.

TLR Thoughts: Texas’s commitment to a pro-business environment continues to attract top companies and reinforce its reputation as an economic powerhouse. However, decades of regulatory accumulation still create challenges for businesses and consumers alike. To maintain its competitive edge, Texas must continue prioritizing smart regulatory reform, business growth and a fair legal climate that protects against excessive litigation.

Read the full article here.

What happened: A new survey from APCIA and Munich Re US revealed consumer perceptions of certain legal tactics used in civil litigation. The survey, conducted online by The Harris Poll among more than 2,000 US adults, examined views on lawyer advertising and high jury awards, among other topics.

By the numbers: 

• 67% supported restrictions on lawyer advertising to prevent excessive lawsuits.
• 68% agreed that high-value jury awards create expectations of large payouts.
• 68% indicated that nuclear verdicts would likely drive up insurance costs.

In his own words: “Reforms are needed to reduce consumer costs and improve insurance availability and affordability. The majority of Americans agree that these tactics are driving up insurance costs. We need state and federal policymakers to address legal system abuse to restore fairness and predictability of justice in the United States”—Stef Zielezienski, executive vice president and chief legal officer of APCIA

TLR Thoughts: Abusive litigation tactics are increasing the cost and availability of insurance for all Texans, and for all Americans. State and federal reforms are critical to restoring transparency, fairness and predictability in the United States legal system. 

Read the full article here.

What happened: A new report by the U.S. Chamber of Commerce found that Texans are paying almost $38 billion a year, or an extra $4,594 per Texas household, to compensate for astronomical tort costs in the form of skyrocketing insurance premiums and higher prices of most goods and services in the state.

Remind me: Tort costs include litigation expenses, claimant payouts and administrative fees.

• Texas has one of the highest growth rates in tort costs, largely due to multimillion or nuclear verdicts.

By the numbers: Lawsuits cost Texans more money every year; with the cost increasing at a rate of 9.7% a year from 2016-2022.

TLR Thoughts: The growing cost of lawsuits is putting Texas families and businesses under increasing financial strain. With insurance settlements and nuclear verdicts driving up costs, companies face higher operating expenses and consumers pay more for insurance and everyday goods. TLR is working to address the issue through the Lone Star Economic Alliance (LSEA)—a coalition of more than 900 Texas job creators, citizens and business associations from across the state.

Read the full article here.