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Friday, January 17, 2025

Kemp calls for legislative action against lawsuit abuse in Georgia

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Nathan Humphrey Region Director | Official Website

Nathan Humphrey Region Director | Official Website

Governor Brian Kemp has called for new legislation to address the issue of lawsuit abuse in Georgia. This move has been met with support from small business advocates who argue that excessive lawsuits, often referred to as a "tort tax," have significant negative impacts on both families and businesses in the state.

NFIB State Director Hunter Loggins expressed appreciation for Governor Kemp's initiative, stating, "Our small business members appreciate Governor Kemp’s call for legislation to stop lawsuit abuse in Georgia." Loggins highlighted findings from a 2024 study conducted by The Perryman Group for NFIB and Citizens Against Lawsuit Abuse (CALA), which revealed that these lawsuits cost a family of four an average of $5,592 annually and resulted in the loss of 137,658 jobs statewide.

According to Loggins, "Georgia’s legal system has gotten worse over the years. This is bad news for everyone, but small businesses are hit the hardest." He pointed out that while large corporations may have the resources to manage such claims, smaller enterprises often lack the financial capacity and legal support needed to combat frivolous lawsuits. As a result, these businesses can face closure from just one unfounded claim.

In response to these challenges, Loggins noted that "NFIB applauds Governor Kemp for prioritizing lawsuit abuse in this year’s session of the General Assembly."

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