ATRA Applauds Passage, Anticipates Governor’s Signature on SB 68
Today, Georgia lawmakers signed off on a critical tort reform measure aimed at addressing the state’s “Judicial Hellhole®” status that will now head to Gov. Brian Kemp’s desk for signature.
“We commend the Georgia legislature for taking this crucial step toward creating a more fair and balanced civil justice system for all Georgians,” Tiger Joyce, American Tort Reform Association president said. “This bill addresses key issues contributing to Georgia’s reputation as a Judicial Hellhole®, particularly problematic ‘phantom’ damage awards, and we look forward to Gov. Kemp signing this into law.”
The Georgia Senate concurred with the House version of Senate Bill 68 on a 34-21 vote. The amended bill, which passed the House on a 91-82 vote on Thursday, maintains its core provision addressing phantom damages – awards based on inflated medical bill amounts that were never paid. This practice has led to higher litigation costs across the board in Georgia.
While some amendments were made to the bill, including modifications to the seat belt evidence admissibility provision, ATRA notes that the legislation represents a significant step forward in tort reform for the state. This comprehensive bill also will address the expansion of premises liability in Georgia that has left businesses responsible for criminal acts committed by third parties on or near their property – even if they had no way to predict or prevent such acts.
“We’re grateful to Gov. Kemp for his excellent leadership — he made no bones about lawsuit reform being the top priority during this year’s legislative session,” Joyce said. “We are thrilled that this bill soon will be on the governor’s desk. By enacting S.B. 68, Georgia can begin to shed its Judicial Hellhole® status and further cement its reputation as a great place to do business.”
Georgia is ranked the fourth-worst “Judicial Hellhole®” in the country by the American Tort Reform Foundation. After spending two years atop the list at No. 1, the state dropped slightly in the rankings due to Gov. Kemp’s prioritization of tort reform. The state’s persistent ranking is due in large part to the increasing prevalence of multi-million-dollar verdicts, including a recent $2.5 billion punitive damage verdict.
Excessive tort costs in Georgia result in a $1,415 annual “tort tax” paid by each resident — that’s nearly $5,662 annually for a family of four. This cost has increased more than 27% since 2021 and also leads to an estimated loss of 134,898 jobs across the state each year.
Senate President Pro Tempore John F. Kennedy, a long-time civil justice reform supporter, is the primary sponsor of S.B. 68. He is joined by Sens. Gooch, Robertson, Anavitarte, Walker, Cowsert, Ben Watson, Echols, Dolezal, Still, Kirkpatrick, Beach, Payne, Ginn, Lee Anderson, Williams, Burns, Albers, Dixon, Setzler, Brass, Goodman, Hodges, Sam Watson, and Harbin. The bill was sponsored in the House by Majority Whip James Burchett.