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In the News

In the News

What happened: Several states have enacted tort reform measures within the past few years addressing abusive commercial vehicle lawsuits, while federal reform remains stalled in Congress.

States taking action: West Virginia and Iowa passed laws capping non-economic damages at $5 million in trucking lawsuits and codifying the Admission Rule. The codification of the Admission Rule, a primary piece of TLR-supported SB 39, prevents a plaintiff from bringing a negligent hiring claim if the defendant trucking company admits that the involved driver was its employee and was acting within the course and scope of his employment. 

  • Florida’s broader 2023 reforms established a modified comparative negligence standard and curbed bad faith abuses, helping stabilize its legal environment and insurance market.

States falling behind: Colorado and Minnesota are moving in the opposite direction, expanding liability and increasing caps—changes that could fuel inflated verdicts and legal uncertainty. 

  • Without clear protections, businesses in these states face rising litigation risks and mounting insurance costs.

TLR Thoughts: The success of tort reforms in other states demonstrates that a stable, well-balanced legal system fuels economic growth and job creation. States that stand against frivolous lawsuits are experiencing improvements in affordability, fairness and economic resilience—while those reversing course are inviting more abuse.

Read the full article here.

What happened: John Paul Mitchell Systems (JPMS) is relocating its corporate headquarters from California to Wilmer, Texas, and establishing a new global product distribution center. The project will create 80 new jobs and more than $12 million in capital investment. 

Why it matters: JPMS’ move adds another major headquarters to Texas, reinforcing the state’s reputation as the “headquarters of headquarters” and bringing new jobs and economic development to southern Dallas County.

In his own words: “With our skilled and growing workforce, leading position in U.S. and global markets, and the strongest pro-growth economic policies in America, we will continue to attract more headquarters and create more jobs across our great state.” — Gov. Greg Abbott

TLR Thoughts: Texas’s business-friendly environment continues to attract major employers from across the country. While some states burden businesses with lawsuit abuse and regulatory red tape, Texas offers a more predictable legal and economic environment, making the Lone Star State the preeminent destination for companies to grow, invest and innovate.

Read the full article here.

What happened: As New York pursues aggressive anti-business policies, including heavy regulation and proposed tax hikes, Texas continues to attract companies by fostering a pro-business legal and regulatory environment.

Tell me more: Building on the successes of the Texas Business Court, the 2025 Texas Legislature enacted “bipartisan measures to reduce frivolous litigation and streamline business cases.” As a result, publicly traded companies are taking advantage of Texas’s new capital markets laws by incorporating in the state, relocating their headquarters or listing on a stock exchange headquartered in the state.  

Why it matters: Overregulation drives up costs, creates uncertainty and pushes businesses away. Texas’s model of predictable laws, lower regulatory burden and minimal red tape is proving to be a powerful draw in today’s competitive economic landscape.

TLR Thoughts: A strong legal and regulatory foundation attracts businesses, fosters job growth and encourages economic dynamism. TLR is dedicated to helping keep the Lone Star State the best state in the nation for business growth and innovation.

Read the full article here.

What Happened: Florida’s 2023 tort reform measures are delivering lower insurance rates, stymying frivolous lawsuits and attaining strong public support, despite efforts in the legislature to reverse course.

Tell Me More: Notably, Florida Gov. Ron DeSantis’s (R) 2023 civil justice reforms took aim at the lawsuit abuse clogging Florida’s courts by “increasing transparency for awarded damages and reining in attorney fee scams.”

  • While some lawmakers attempted to roll back the meaningful reforms during Florida’s 2025 Legislative Session, only one measure backed by the Florida trial bar reached the governor’s desk—and he vetoed it, reinforcing his commitment to protecting progress.

By the Numbers: 

  • 85% of Floridians support Governor DeSantis’s tort reforms.

  • 75% stand against the billboard trial lawyers who put profits before people.

  • 29 insurers filed for no increaseand 15 lowered their rates, according to data from the Florida Office of Insurance Regulation.

  • Civil lawsuit filings in Florida have dropped 58% over three years.

TLR Thoughts: Florida’s success shows what is possible when lawmakers prioritize hardworking Americans and take action to reform an abusive legal system. Over the past 30 years, Texas has made similar strides through meaningful reforms. However, more work remains to restore fairness and transparency to Texas’s courts. TLR will continue fighting to ensure Texas courts deliver justice—not jackpots.

Read the full article here.

What happened: Louisiana Gov. Jeff Landry (R) has signed into law Louisiana Senate Bill (SB) 231, tort reform legislation that will help prevent “phantom damages” by clarifying that the claimant may only recover the amount paid by his health insurer for his medical expenses, not inflated billed amounts. 

In his own words: “This will once and for all prevent inflated, phantom charges but [it] also protects the legitimate rights of those who are legitimately injured.” — Gov. Jeff Landry

TLR Thoughts: Louisiana’s impactful reform is a clear example of meaningful legislation that balances fairness for injured parties with the need to rein in excessive legal costs. Without common-sense legal reforms, families and job creators alike face rising costs driven by an abusive legal system. TLR remains committed to advancing reforms that protect Texas consumers and promote fairness and transparency in our courts.

Read the full article here.

What happened: A profit-driven model of litigation—fueled by contingency fees, third-party investors and nuclear verdicts—is distorting the civil justice system and ultimately imposing a considerable tort tax on all hardworking Americans. 

By the numbers:

  • The U.S. Chamber of Commerce Institute for Legal Reform estimates that lawsuit abuse adds nearly $5,000 per year to the average American family’s expenses.

  • Texas had the fourth-highest number of nuclear verdicts (awards exceeding $10 million) in the country between 2013 and 2022, with more than 130 such judgments.

  • Legal system abuse costs the U.S. economy approximately $529 billion annually, roughly 2 percent of the country’s GDP.

  • Tort costs are rising at an alarming 7.1 percent per year, outpacing inflation.

  • In Florida, legal reforms led to a nearly 24% drop in insurance-related lawsuits over two years.

TLR Thoughts: Legal system abuse doesn’t just hurt defendants—the corrupt behavior of certain personal injury attorneys drives up prices, erodes public trust and weakens our economy. In Texas, TLR continues to advocate for meaningful reforms that will help curb the proliferation of meritless and excessive lawsuits, maintain a predictable and affordable insurance market for all, and restore fairness and transparency to Texas’s courts.

Read the full article here.

What happened: Delaware’s long-standing dominance as the go-to state for corporate litigation is facing growing competition, as Texas, Oklahoma and Nevada move to attract businesses with new courts and more predictable legal environments. 

Tell me more: Frustration with recent Delaware court decisions and rising uncertainty around shareholder litigation has prompted several high-profile companies to relocate their incorporation to more pro-business states. 

What about Texas: Texas has already opened its specialized business court and enacted TLR-backed, bipartisan legislation that raises the threshold for filing shareholder derivative lawsuits, limits certain shareholder records requests and provides greater legal protections for corporate officers and boards.

TLR Thoughts: TLR is proud to support legislation that ensures Texas remains the best place in the country to do business. The reforms adopted during the 89th Texas Legislative Session are part of a long-term, strategic effort to make Texas the preferred home for companies that value legal clarity and a fair and efficient civil justice system.

Read the full article here.

What happened: Texas passed a landmark set of reforms during the 2025 Texas Legislative Session that will boost business confidence and help bring down costs. Critically, these bipartisan reforms will promote strong corporate leadership, combat shareholder proxy abuses and prohibit taxation on securities transactions.

Remind me: For more than two decades, America has seen a sharp decline in publicly traded companies thanks to rising costs, regulatory overreach and a lack of transparency. Texas is helping to restore a truly pro-business system.

In his words: “There’s a reason that Abbott calls Texas an ‘economic juggernaut.’ Companies across the world are realizing all that our great state has to offer.” – James Lee, founder and CEO of TXSE Group Inc. 

TLR Thoughts: The pro-business reforms passed in Texas this session are a major victory for the state. Texas didn’t gain its reputation as a powerhouse for job creation, innovation and growth by accident—it’s the result of decades of principled leadership and smart policy choices, in part embracing tort reform more than 30 years ago. 

Read the full article here.

What happened: On June 20, Gov. Abbott signed into law more than 300 bills passed during the 89th Regular Legislative Session, advancing policies that reinforce Texas’s reputation as a national leader in economic opportunity and limited government.

Worth noting: Among the newly signed laws are two reforms championed by TLR through the Coalition for Regulatory Efficiency and Reform:

  • HB 11: Reduces barriers for skilled professionals moving to Texas by directing state licensing agencies to pursue reciprocity agreements—cutting red tape and helping new residents get to work faster.
  • HB 12: Strengthens Texas’s Sunset review process to identify and address problematic regulations earlier and more often. It incorporates efficiency audits into the process and ensures regulations are tied to key agency deliverables.

TLR Thoughts: Modernizing Texas’s regulatory system is vital to supporting continued economic growth in the state. With the passage and enactment of HB 11 and HB 12, Texas is leading the way as the blueprint for America’s future.

Read the full press release here.

What happened: Legal payouts by the City of Los Angeles have skyrocketed, hitting $289 million in 2024—contributing to a major budget shortfall and prompting calls for reform. By contrast, two years earlier, Los Angeles paid just $91.3 million in legal settlements and jury verdicts.

Tell me more: A sharp rise in high-dollar “nuclear verdicts,” aging infrastructure and a growing number of lawsuits are fueling the crisis. Legal costs are now so severe that city services are being cut to cover the mounting liability.

TLR Thoughts: The Los Angeles budget crisis offers a harrowing warning to Texas lawmakers. When unchecked litigation, aging infrastructure and a lack of sensible tort reform collide, the consequences can be dire. The dramatic rise in lawsuit abuse and “nuclear verdicts” is draining Los Angeles taxpayer dollars, forcing budget cuts and diverting resources away from public services. TLR will continue to advocate for policies that preserve balance, promote fairness and keep Texas from following California’s costly path.

Read the full article here.

What happened: A new poll released by Protecting American Consumers Together (PACT) underscores the strong, bipartisan support that exists among registered California voters for lawsuit abuse reform to help address the state’s affordability crisis. 

By the numbers:

  • 90% say their cost of living has increased over the past year.
  • 72% identify lawsuit abuse as a key driver of rising household costs.
  • 83% want the Legislature to enact reforms to eliminate the estimated $5,500 “hidden tax” lawsuit abuse imposes on California families.
  • 86% believe their legislators should prioritize stopping lawsuit abuse over protecting personal injury lawyers.

TLR Thoughts: The data is clear: Americans overwhelmingly recognize the link between lawsuit abuse and higher costs of living, and they want reform. While this survey focuses on California, other states also recognize the critical need for meaningful reform—including Texas. Without commonsense legal reforms, families and job creators alike face rising costs driven by an abusive legal system. TLR remains committed to advancing reforms that protect Texas consumers and promote fairness and transparency in our courts.

Read the full article here.

What happened: Gov. Greg Abbott has signed into law HB 11, legislation that will help alleviate the incredible burden that licensed professionals face when they move to the Lone Star State. 

Remind me: Texas has one of the most burdensome occupational licensing systems in the country, with 858 license types reported in 2024. 

  • Notably, licensed professionals moving to Texas often face duplicative, expensive and time-consuming licensing requirements, delaying their ability to quickly get to work and contribute to the economy. 

Why it matters: The reforms included in HB 11 will help break down unnecessary regulatory barriers, allowing qualified professionals to work more quickly and to meet Texas’ growing workforce demands. 

TLR Thoughts: TLR was proud to support HB 11 this session through the Coalition for Regulatory Efficiency and Reform. Modernizing licensing requirements will help unlock greater economic opportunity throughout the state, and signal that Texas “values talent over regulations and bureaucracy.”

Read the full article here.