On Jan. 30, 2025, Georgia Gov. Brian Kemp announced his latest tort reform package to enact meaningful changes and curb lawsuit abuse. For the past two years, Georgia has been notorious for its disproportionate verdicts, earning the title of the No. 1 Judicial Hellhole from the American Tort Reform Foundation.
Details of two newly released Senate bills reveal proposed changes that could substantially impact financial liability, litigation strategies and overall business operations.
It is critical for employers to stay informed about this tort reform effort. If your business has operations or exposure in Georgia, ensure you are engaged in this important legislative reform.
The tort reform introduced by Gov. Kemp and sponsored by Georgia Sen. John F. Kennedy includes 10 important changes across the two bills. As introduced, these bills could have a substantial impact on litigation. The prevention of anchoring as a tactic, the changes to negligent security liability standards and the introduction of seat belt evidence are particularly important. However, all the proposed changes would be beneficial.
Proposed amendments to Senate Bill 68:
- Civil practice (Title 9)
- Anchoring: Limit the ability to make reference to or elicit testimony regarding a specific amount or range of non-economic damages to the jury or prospective jury.
- Filing answers and timing of discovery: Changes the timing of filing answers and respondent pleadings.
- Voluntary dismissal of civil actions: If a case was previously dismissed in a federal or state court action based on or including the same claim, the court can deem the dismissal as an adjudication upon the merits, meaning the same claim cannot be brought back to the court.
- Attorney’s fees and court costs: Prevents recovery of duplicate attorney’s fees, court costs and expenses.
- Contracts (Title 13)
- Recovery of expenses in breach of contract claims: Expenses cannot be claimed as part of damages in a breach of contract case unless the defendant acted in bad faith, has been stubbornly litigious or caused unnecessary trouble and expense.
- Motor vehicles (Title 40)
- Seat belt evidence: Can be introduced and considered in civil actions for determining negligence and apportioning fault.
- Torts (Title 51)
- Negligent security liability criteria: Limits liability to conditions under the control of the property owner or business.
- Boardable medicals: Limited to those that are reasonable, customary and necessary versus what was billed.
- Bifurcation of liability and damages trial: At the request of either party.
Proposed amendments to Senate Bill 69 — Georgia Courts Access and Consumer Protections Act:
- Regulation of third-party litigation financiers (TPLF)
- Prohibits foreign persons, foreign principals or sovereign wealth funds.
- Limits what a TPLF can recover.
- Prohibits influencing legal strategy or settlement decisions
- Requires registration of financier and transparency.
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