The American Tort Reform Association has once again labeled Louisiana as a “Judicial Hellhole” this year, ranking the state at No. 4.
Louisiana has been included in the rankings for the past seven years, fluctuating between the No. 2 spot in 2013 to No. 8 in 2017.
The organization labeled Louisiana as one such hellhole this year due to Gov. John Bel Edwards’ “propensity to hire former campaign donors to represent the state in litigation.”
The report also claims “rampant lawsuit abuse is driving up the cost of auto insurance” and that the state Legislature has failed to address it. It also cites recently reported judicial misconduct.
Edwards’ office declined to comment on the report, calling it “fiction” and says the group “is funded by several Washington special interest groups who have no interest in protecting our citizens.”
The American Tort Reform Association was founded in 1986 and is classified as a 501(c)(6) nonprofit. Its membership consists largely of Fortune 500 companies, according to the Center for Justice and Democracy’s fact sheet on the organization.
Other complaints in the report include:
•Louisiana’s ongoing coastal lawsuits against oil and gas companies.
• Various opioid and pharmaceutical lawsuits.
• “A Senate committee stacked with trial layers” that prevented the passage of legal reform.
• High auto insurance rates.
• The high jury trial threshold.
• Allegedly staged lawsuits targeting commercial truck drivers.
• The seat belt gag order in jury trials.
• The amount of trial lawyer advertising.
This year’s report claims the impact of “excessive tort costs” on the state economy has reached $1.1 billion in direct costs and $1.5 billion in output each year, citing a 2018 report by the Louisiana Lawsuit Abuse Watch.
“Our hope is that this report on Judicial Hellholes will be a loud wake-up call for government officials to stop the madness,” foundation President Tiger Joyce said in a statement today. “Stop creating more ways for lawyers to sue businesses, stop wasting money in court, and stop contributing to job loss.” Read the full report here.
