Governor Kemp Vows to Eliminate Tort Tax and Stop Excessive Lawsuits from Hurting Georgians in State of State Address

Georgia Governor Brian Kemp vowed to push tort reform forward this legislative session, calling Georgia’s legal environment one of the “biggest threats to the state’s future” in his State of the State address on January 16. Kemp highlighted how Georgia’s ‘tort tax’ not only hurts victims within the legal system, but everyday Georgians and especially small business owners.

“We heard from a South Georgia grocer, who lost coverage completely after frivolous lawsuits were filed. … One business owner’s statement stuck out to me. He said, ‘At this point, I don’t feel like I’m able to run my business. I’m just trying not to lose it.’” Governor Kemp

Kemp explained how legal abuse is threatening the ability of small businesses to operate, citing stories from Georgians who experienced their own insurance premiums jumping up from anywhere from 30 percent to over 100 percent over the last few years. This problem is not unique to Georgia—small businesses across the country are being forced to either pay high insurance costs as they face the threat of excessive lawsuits.

Georgia Rep. Mike Collins praised Kemp’s commitment to prioritizing tort reform, tweeting “Businesses are being crushed, and Georgia’s taxpayers are paying millions of dollars a year to line the pockets of trial lawyers,” highlighting how our legal system is being manipulated by greed. Collins and his wife are longtime small business owners, having started a trucking company in the early 1990s that has grown to employ more than 100 Georgians.

Georgia is long overdue for tort reform, according to independent studies. The American Tort Reform Association ranked Georgia fourth in its “Judicial Hellhole” report released last year. According to a 2024 study, Georgia’s ‘tort tax’ cost a family of four an average of $5,592 a year and caused the loss of 137,658 jobs across the state. Kemp touched on how many Georgians are struggling to make ends meet, and these added costs hurt families while padding the pockets of people manipulating the legal system.

Kemp’s initiative to end frivolous lawsuits and protect consumers has already garnered support from multiple groups across the state, including the Georgia Association of Convenience Stores, NFIB Georgia, Georgia Restaurant Association, Georgians for Lawsuit Reform, and the Georgia Hospital Association, demonstrating diverse and widespread interest in this issue.

Kemp reiterated the bipartisan nature of tort reform and urged both parties to stand with him on the issue. He vowed to make the necessary changes to achieve lasting reform, concluding, “There is always room for compromise, but there will be no room for excuses, half-measures or failure. Whether it’s this legislative session, or a second one later this year, we will achieve meaningful, impactful tort reform.”

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