Florida Lawsuit Abuse Reform Prioritized by Governor and Legislative Leaders

Press Releases | February 24, 2023

American Tort Reform Association leads on advocating for transparency in damages in civil cases

Florida will seek to pass comprehensive legal reform this legislative session, with Governor Ron DeSantis (R) leading the charge.

“We commend legislative leaders and Governor DeSantis in Florida for their continued commitment to addressing lawsuit abuse and promoting fairness in the civil justice system,” American Tort Reform Association (ATRA) President Tiger Joyce said.

House Bill 837, sponsored by Representative Tommy Gregory, a Republican of Manatee, and Representative Tom Fabricio, a Miami-Dade County Republican, was introduced last week.

The bill would require transparency in damages presented in court trials. This will empower juries with critical information, address the abuse in the legal system using inflated medical damages, and create a more even playing field for all parties.

During a trial, Florida jurors only hear evidence of the initially invoiced amount of medical expenses, which is essentially a “sticker price,” often three or more times the amount ultimately paid. This results in a large gap between the two amounts. With the current system, lawyers get to inflate the damage award and collect a larger contingency fee. H.B. 837 will ensure jurors receive accurate information on the actual value of medical expenses.

“This legislation would bring Florida in line with good government practices in other states, ensuring it’s no longer an outlier with regard to transparency in damages,” Joyce said.

ATRA has been a nationwide leader on advocating for more transparency in damages. Since 2020, both Iowa and Montana enacted legislation addressing transparency in damages, while two recent Texas Supreme Court rulings, In re K & L Auto Crushers, LLC and In re Allstate Indemnity Co. reined in the exploitation of medical expense damages.

“House Bill 837 would be historic legislation to address many of the most significant abuses in the Florida civil justice system,” Joyce said. “By passing this bill, Florida will join the growing number of states that have recognized the need for transparency and fairness in the civil justice system.”

Joyce participated in a press conference today hosted by Florida House Speaker Paul Renner (R). Lee Mickus also testified in the Civil Justice Subcommittee today on behalf of ATRA at the hearing.

“We are grateful to Governor DeSantis, Speaker Renner, Senate President Kathleen Passidomo, Representatives Gregory and Fabricio, and the full legislative leadership team for recognizing the importance of addressing lawsuit abuse and prioritizing fairness in the civil justice system,” Joyce said. “The provisions in HB 837 will promote transparency and help prevent the abusive litigation tactics that have plagued our legal system for far too long.”

HB 837 includes provisions requiring plaintiffs to disclose all prior claims, settlements, and judgments that they have received for the same injury or wrongful conduct, and requires courts to reduce damages awards by amounts already received.

The American Tort Reform Foundation named Florida a “Judicial Hellhole®” in previous years due to its legal climate, which has led to costly lawsuits that harm businesses, healthcare providers, and everyday Floridians. It was the No. 1 Judicial Hellhole® in 2018 and No. 2 in 2019.

Several state Supreme Court appointments made by Governor DeSantis were a catalyst for positive change, resulting in ATRF removing Florida from the Judicial Hellholes® list in 2020.

“In recent years, we’ve seen Florida’s state Supreme Court become a more balanced court that interprets the law, recognizes that its role is not to ‘make’ law,” Joyce said.

The Florida Legislature remains on the report’s “Watch List,” due to the need to make important improvements in the civil justice system, such as addressing the abuse of letters of protection and inflated medical costs.

“We’re encouraged to see Florida take important steps to address these issues and promote fairness in the civil justice system,” Joyce said. “ATRA looks forward to working with the Florida Legislature and Governor DeSantis to pass these much-needed legal reforms, which will benefit all Floridians.”

Florida’s History as a Judicial Hellhole®: The American Tort Reform Foundation named Florida a “Judicial Hellhole®” in previous years due to its legal climate, which has led to costly lawsuits that harm businesses, healthcare providers, and everyday Floridians. For 15 years, jurisdictions in the state were on the Judicial Hellholes® list.

Florida was the No. 1 Judicial Hellhole® in 2018 and No. 2 in 2019. ATRF notes that during that time, the state’s Supreme Court was actively expanding liability. One such action was when the Court rejected a statute enacted by the legislature to reform expert evidence to conform with the U.S. Supreme Court standard in Daubert to require judges to serve as “gatekeepers” and prevent “junk science” from being offered as evidence in a trial.

Several state Supreme Court appointments made by Governor DeSantis were a catalyst for positive change, as evidenced by the Court’s adoption of Daubert, resulting in ATRF removing Florida from the Judicial Hellholes® list in 2020.

The Court’s adoption of the Daubert standard for expert evidence is consistent with the legislation enacted several years earlier but rejected by the Florida Supreme Court.

Florida has been relegated to the “Watch List” for the past four years, where the Florida Legislature currently sits due in part to the need to address transparency in damages.