Texans for Lawsuit Reform

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In the News

Don't mess with Texas

Orange County Register, June 12, 2011

If there weren’t already enough reasons to follow the admonition, “Don’t mess with Texas,” here’s one more: Do it frivolously, and it could cost you.

Republican Governor Rick Perry recently signed into law a comprehensive legal reform measure that will give Texas one of the nation’s toughest protections against frivolous lawsuits. The legislation, which takes effect

Sept. 1, will expedite the trial process in civil cases with claims less than $100,000, give judges the power to dismiss frivolous lawsuits earlier in the trial process and enforce a landmark “loser pays” rule in cases deemed by the court as lacking legal merit.

It’s that last aspect, a “loser pays” rule, that many tort reform advocates throughout the country believe could be a groundbreaking tool in the fight against frivolous lawsuits.

Every year, a few egregious and excessive cases catch the public’s attention. But, more often than not, it’s the cases we don’t hear about that drive up the everyday costs of doing business. That’s because our legal system creates an incentive for serial litigants to file even frivolous claims in the hopes of obtaining an out-of-court settlement. Consequently, businesses must weigh the costs of a settlement versus the ticking clock of an attorney’s billable hours.

In the short-term, it’s much easier to settle so that these cases “just go away.”

However, in the long-term, this settlement approach proves costly. The National Federation of Independent Business estimates that attorney fees, court costs, settlement agreements and jury awards cost small businesses more than $105 billion per year, with roughly one-third of that amount paid directly by small businesses.

The “loser-pays” rule works to equalize the system by giving frivolous litigants something to lose. Critics of a strictly “loser pays” system raise some legitimate concerns. For example, we imagine few consumers could ever afford to take the chance of paying the legal bills of a giant insurance company. Yet, such criticism does not apply to Texas’ new rules, which are limited in scope and only apply in cases that the court has found to “have no basis in law or fact.”

While we aren’t surprised to see Texas embrace yet another pro-business measure, we are impressed with how they did it. Earlier this year, Perry declared the issue of tort reform “an emergency,” and the Texas Legislature responded by unanimously approving the reform package. Even Lone Star Democrats understand the importance of creating a business-friendly climate.

Tom Scott, Executive Director of California Citizens Against Lawsuit Abuse, told us that similar reforms in California could help reduce the more than one million lawsuits filed every year in our state. We don’t expect the California Legislature to adopt the Texas-model for tort reform any more than we expect them to follow Texas’ lead on environmental regulation or tax policy. Nevertheless, when it comes to improving California’s economic climate, we believe tort reform is just as important as an improved tax code and regulatory framework.

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Texans for Lawsuit Reform

6 hours ago

Texans for Lawsuit Reform

When 30-year-old Quinnton Allen violated his parole for possession of a firearm, a Houston judge not only allowed him to stay on parole but granted him a PR bond for a felony. Unfortunately, the decision to release him on bond may have cost a man’s life. Read and share: bit.ly/3OvDU5z ... See MoreSee Less

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29-year-old man murdered after judge grants felony PR bond to armed robber recently paroled from prison

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HOUSTON – “I’ve never had any of these defendants we’ve profiled on Breaking Bond on parole and on a felony PR bond charged with murder,” said Andy Kahan with Crime Stoppers. “This is a fi...
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That judge should be held accountable

His family should get a good lawyer & sue the city & the judge…

The judge should be held as an accomplice to the murder before the fact and sued in civil court for his contribution to the death of the citizen.

Texans for Lawsuit Reform

1 day ago

Texans for Lawsuit Reform

Texas ports are thriving today, but in the early 2000s, abusive personal injury lawsuits threatened to shut them down. As the Port of Houston begins a long-awaited expansion, read more about the common-sense lawsuit reform in 2007 that saved our state’s shipping industry in this week’s TLR blog, For the Record: bit.ly/3aeTy6n ... See MoreSee Less

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Texans for Lawsuit Reform

2 days ago

Texans for Lawsuit Reform

Wishing everyone a very happy Fourth of July! ... See MoreSee Less

Wishing everyone a very happy Fourth of July!
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Happy Independence Day America Today we celebrate our Republic 🇺🇸


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lawsuitreform avatarTLR@lawsuitreform·
6h 1544713193846603777

When 30-year-old Quinnton Allen violated his parole for possession of a firearm, a Houston judge not only allowed him to stay on parole but granted him a PR bond for a felony. The decision to release him on bond may have cost a man’s life. Read & RT:

29-year-old man murdered after judge grants felony PR bond to armed robber recently paroled from prison

HOUSTON – “I’ve never had any of these defendants we’ve profiled on Breaking Bond on parole and on a felony PR bond charged with m...

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24h 1544441042120089600

Sign up for the TLR Weekly News Roundup to receive a daily digest of headlines & news stories about #lawsuitreform from Texas & around the country!

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lawsuitreform avatarTLR@lawsuitreform·
5 Jul 1544407069297614851

Texas ports are thriving, but in the early 2000s, abusive lawsuits threatened to shut them down. Read more about the common-sense reform that saved our state’s shipping industry in this week’s TLR blog, For the Record: https://bit.ly/3aeTy6n

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Texans for Lawsuit Reform
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Houston, Texas 77019

Ph. 713-963-9363
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