Left unchecked, these jurisdictions will continue dragging down economic growth and undermining justice through rampant lawsuit abuse.
Judicial Hellholes® – we’ve all heard the term, but what exactly are they? Simply put, Judicial Hellholes® are places where the legal system is stacked against businesses and individuals. These jurisdictions are known for excessive lawsuits, outrageous damage awards, and a legal climate that’s downright hostile to anyone who isn’t a trial lawyer.
The American Tort Reform Foundation’s latest annual Judicial Hellholes® report highlights the Top 9 worst offenders of the year:
The Peach State is tied for the top spot, thanks to the Georgia Supreme Court’s never-ending quest to expand liability and hand out massive jury awards. Neither the judiciary nor the legislative branches are willing to take responsibility for the state’s poor civil justice system, though lawmakers recently passed some legislation to study the issue further.
Pennsylvania’s high court and the Philly Court of Common Pleas tie with Georgia for No. 1 after a Pennsylvania Supreme Court ruling opened the floodgates for out-of-state plaintiffs to file lawsuits in the City of Brotherly Love. Throw in a nearly $1 billion verdict from the Philadelphia Court of Common Pleas, and you’ve got a recipe for a Judicial Hellhole® of epic proportions. Plaintiffs’ lawyers from across the country flock to file lawsuits in Philly, where the courts are famous for their “more is better” approach to damages.
Cook County is drowning in lawsuits, from biometric privacy claims to food labeling class actions. The Illinois legislature hasn’t helped improve the situation, either, instead passing laws that make it easier to sue and harder to defend yourself in court. All these lawsuits come at a high price, too. Cook County is responsible for the vast majority of Illinois’ nuclear verdicts – those verdicts that are $10 million or higher.
The Golden State is ground zero for lawsuit abuse of every variety. Prop 65 warnings on everything from coffee to yoga mats, no-injury lawsuits under the Private Attorney General Act, and drive-by accessibility lawsuits abusing the Americans with Disabilities that target small businesses – California has it all. The state’s plaintiff-friendly “Lemon Law” has become a cash cow for the personal injury bar, with “lemon” lawsuits actually increasing in spite of automobiles becoming more reliable and having a lower frequency of problems. The legislature is too busy expanding liability to fix the problems, and the courts are more than happy to go along for the ride.
The Big Apple is rotten to the core when it comes to its civil justice system. Expansive liability laws make NYC a magnet for consumer class actions that don’t actually claim any injury as well as lawsuits that abuse the ADA. Litigation financing firms are pouring gasoline on the fire, bankrolling more and more lawsuits. Unfortunately, lawmakers in Albany are too busy doing the trial bar’s bidding to do anything about it.
South Carolina’s asbestos litigation has a well-deserved reputation for being plaintiff-friendly to a fault. Biased judges stack the deck against defendants while issuing unwarranted sanctions, liability-expanding rulings and severe verdicts. Low evidentiary requirements, unfair trials, a willingness to overturn or modify jury verdicts to benefit plaintiffs – it’s all par for the course in the Palmetto State’s consolidated docket for asbestos litigation.
Michigan’s capital city is a newcomer to the Judicial Hellholes® rankings, but they’re making up for lost time. The Michigan Supreme Court expanded liability left and right last year, from premises and workplace liability to an expansive approach to medical liability. Meanwhile, lawmakers pursued a liability-expanding agenda with more on the horizon.
Never-ending coastal litigation bleeds the Bayou State’s economy and is made worse by lawsuit lending and shady insurance schemes. Plus, when the outgoing governor had a chance to bring some transparency to the system, he dropped the ball and vetoed reform legislation.
The “Gateway to the West” is more like the “Gateway to Excessive Damages” as judges allow junk science and jackpot justice, producing an endless stream of nuclear verdicts. St. Louis courts have an international reputation as a plaintiff’s paradise and rather than rein in lawsuit abuse, state lawmakers in Jefferson City have failed to move reforms.
Curious about the potential impact of these Judicial Hellholes® on your business operations? Contact us to explore how joining ATRA can play a pivotal role in rebalancing our legal system to ensure fairness and equity for all.
Stay informed, stay engaged, and let’s chart a course through the ever-evolving legal terrain together.
Pennsylvania lawmakers introduced liability reform bills to tackle lawsuit abuse. Proposed changes aim to enhance job creation and economic stability by limiting excessive litigation costs.
It’s time to pull back the curtain on third-party litigation financing and restore balance to our courts.
Lawsuit Abuse Awareness Week prompts reflection on Arizona’s civil justice system, highlighting excessive tort costs harming small businesses, job loss, and economic growth.
This week is aimed at educating both the public and our government leaders about how excessive litigation drains resources from businesses, stifles innovation, and ultimately hurts consumers and job creation.
By fostering understanding and promoting smart reforms, we can help create a more balanced civil justice system that serves all citizens.
The Pelican State deserves a judicial system that stands firmly on principles — not one swayed by the most recent political winds.
