ATLANTA — On Thursday, the House approved the second part of Georgia Republican Gov. Brian Kemp’s key initiative aimed at restricting lawsuits and capping large verdicts. The comprehensive proposal, often referred to as tort reform, is expected to arrive on his desk in the upcoming weeks.
The legislation aimed at curbing predatory practices by third parties and foreign adversaries involved in litigation has received significant backing, securing overwhelming approval in the Senate and bipartisan support in the House, with a final vote of 98-69. However, these actions occur as legislators contend with the repercussions stemming from political disagreements regarding the initial segment of the proposal.
Senate Bill 69 mandates that third-party entities involved in litigation investments must register with the Department of Banking and Finance. Additionally, it prohibits foreign adversaries and governments from participating in litigation investments, along with implementing other reforms. The new regulations restrict the extent to which those financing litigation can sway civil proceedings and the individuals participating in them.
“This legislation establishes necessary regulations and guidelines for an industry that is currently operating without restrictions,” stated House Republican Majority Whip Rep. James Burchett on Thursday.
Last week, the House gave a narrow final approval to the first part of the package, Senate Bill 68. This legislation introduces a range of changes aimed at transforming Georgia’s litigation environment, particularly by restricting the circumstances under which property and business owners can be held liable for injuries occurring on their premises.
Kemp expressed concerns about businesses facing challenges due to the financial burden of frivolous lawsuits. He suggested that a more balanced legal environment could lead to stabilisation in insurance rates, though the validity of this claim remains questionable.
Kemp assured the Georgia Chamber of Commerce, a key supporter, that he would implement measures to restrict lawsuits in 2023.
This year, Senate Bill 68 sparked significant backlash from attorneys and survivors of sexual abuse, human trafficking, and violence. Critics argue that the legislation would hinder their ability, as well as that of wronged Georgians, to seek justice in the courtroom. The bill garnered backing from one Senate Democrat and three House Democrats.
State Rep. Stacey Evans, a Democrat from Atlanta and a practicing lawyer, criticised the bill, viewing it as a giveaway to insurance companies and businesses, a sentiment echoed by several of her Democratic peers. After the vote, she expressed her disappointment in her colleagues who supported the measure.
“Difficult choices are challenging because they require facing those you let down.” “I aim to ensure that the victims are not let down,” Evans stated. “However, here’s the thing?” The victims will not be present on a daily basis. However, the Chamber will remain present. Insurance companies are set to make their presence known. Many of my colleagues seem more concerned about making eye contact in the hallways than focussing on the needs of the people back home.
Just one day later, Democratic state Representative Mack Jackson, a Black Democrat with roots in the 1960s and a history of diverging from his party, cast his vote against the bill. He drew a comparison between an unnamed Democratic colleague who contributed to his reelection campaign and notable figures from the segregation era, specifically George Wallace and Theophilus Eugene “Bull” Connor.
“I came to understand that deep down, she believed she had purchased my freedom to choose,” Jackson stated, noting that he gave her money back because he doesn’t “want anyone to feel that they possess me.”
“The chains and shackles that she believed were binding me had to be shattered,” Jackson stated. “In that moment, it became clear to me that her tolerance for my presence was contingent upon my compliance with her expectations.”
He mentioned that other colleagues had reached out regarding the funds they contributed to his campaign, and he intends to return those donations.
In a surprising turn of events, Republican state Rep. Vance Smith has been ousted from his position as CEO of the Harris County Chamber of Commerce. This follows his decision to vote against the initial segment of Governor Kemp’s proposed package, despite his support for the subsequent part. Smith became emotional on the House floor Tuesday while discussing the recent events. Support for him came from a united front of Democrats.
Thank you for your support. “This is a family in here, and you won’t believe the calls and texts I’ve received,” Smith stated.
Prior to the Senate’s decision on the initial segment of his proposal, Kemp issued a warning to Republican critics, stating he would support primary challengers against them.
