Strengthen the Texas Economy by Advancing Lawsuit Reform

width=128Texas Insider Report: AUSTIN Texas State legislators today announced their support of Governor Rick Perrys call for loser pays lawsuit reform to discourage frivolous suits and give a remedy to those who have been wrongfully sued.  Under a loser pays system a losing plaintiff would be required to pay the court costs of the defendants when a court determines that a lawsuit is groundless or when a jury determines a suit is frivolous.  The Texas model of state governance has been validated as evidenced by our relatively strong economy which continues to be celebrated by a number of independent sources such as Forbes Magazine and The Economist.  State Representative Brandon Creighton (R-Conroe) stated: The lawsuit reforms we won in 2003 played a major role in the strength of our economy and it is time for the next phase of reform which is a loser pays system that provides added protections for innocent people fraudulently targeted by frivolous suits.  A loser pays reform is necessary to ensure the integrity of our civil justice system so that innocent parties on both sides are protected.  Specifically the lawsuit reforms achieved in 2003 have proven successful especially in limited abusive suits against doctors.  According to a December 15 2010 Wall Street Journal editorial: Before the 2003 reform Texas was a kind of holy place on the tort bar pilgrimage. Now its a Mecca for doctors especially the emergency physicians obstetricians and surgical specialists who elsewhere can face blue-sky malpractice premiums. Liability rates have fallen by 27.5 on average since 2003. The number of doctors applying to practice in Texas has increased 60 even as the overall population grew by 14.  State Representative Linda Harper-Brown (R-Irving) stated:  We must build on lawsuit reform.  A loser pays system will give businesses and individuals the confidence that when they open for business in Texas and hire Texans they are protected against unwarranted legal action. State Representative Phil King (R-Weatherford) added: When a Texan has a legitimate claim or a wrong that must be redressed he should have full access to file suit and seek remedy from our courts.  Every person who loses a lawsuit need not pay the legal costs of the defendant.  Frivolous lawsuits however are a strain on our court system and are costly for individuals and businesses who must defend themselves.  Loser pays allows us to draw a line between legitimate lawsuits and those that have no merits protecting those who have been dragged into court for no good reason.  Rep. Creighton concluded: Loser pays would establish basic lawsuit fairness and would serve to discourage lawsuit abuse.  Governor Perry has rightly called for advancing lawsuit reform by instituting a loser pays requirement and we look forward to passing legislation quickly.
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