Full article in The Texan
PACT — a group financially backed by Uber and Waffle House, among others — is running a campaign ad spanning all media formats with a seven-figure buy behind it to back priority legislation that would restrict financial awards in personal injury lawsuits. The ad is up on digital platforms now and will be up on television in the next week or two.
Senate Bill (SB) 30 by state Sen. Charles Schwertner (R-Georgetown) would set various restrictions on the kinds of evidence that can be submitted in a civil lawsuit, limit what counts under the “mental or emotional pain” or “physical pain and suffering” categories, and require judges to spell out their justification for awards above a certain threshold.
State Rep. Greg Bonnen (R-Friendswood) is carrying the identical version in the House.
The ad states, “We pay a hidden tax in Texas because of lawsuit abuse. Excessive litigation costs every Texas household nearly $4,600 every year. Texas, it’s time for common sense reforms to protect consumers and lower the cost of living for hardworking Texans.”
Tort reform has a lengthy and heated political history in Texas. In 2003, the Texas Legislature amended the constitution to permit a cap on non-economic damages in lawsuits at a later point — but did not place a specific cap in statute. Business groups, most notably in-state Texans for Lawsuit Reform, had been pushing for that for more than a decade. They argued, like PACT does here, that “nuclear verdicts” hurt businesses and consumers across the board by uplifting the cost to the rest of the population.
The trial lawyers, who were the most powerful lobby group in the state back then, fought it hard and managed to stave off more robust tort reform measures the business community wanted. They remain a powerful force in Texas politics.