ATRA Kicks Off Lawsuit Abuse Awareness Week, Highlights Economic Burdens

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This week is aimed at educating both the public and our government leaders about how excessive litigation drains resources from businesses, stifles innovation, and ultimately hurts consumers and job creation.

Today marks the start of Lawsuit Abuse Awareness Week, the American Tort Reform Association announced. Every year during the first week of October, the Association highlights abuses and misuses of the American civil justice system by highlighting specific instances of lawsuit abuse and encouraging public discourse and education surrounding lawsuit abuse.

“Lawsuit abuse is not just a legal issue – it’s an economic one that affects us all,” Tiger Joyce, ATRA president said. “This week is aimed at educating both the public and our government leaders about how excessive litigation drains resources from businesses, stifles innovation, and ultimately hurts consumers and job creation.”

A recent study by the Perryman Group shows that lawsuit abuse imposes a significant “tort tax” on Americans:

  • The average U.S. citizen pays a “tort tax” of $1,561 annually due to excessive litigation costs.
  • These costs result in the loss of 4.8 million jobs nationwide each year when dynamic effects are considered.
  • The U.S. economy loses more than $520 billion in GDP annually due to excessive tort costs.

“These numbers are staggering,” Joyce continued. “They represent real costs to real people — higher prices for goods and services, lost jobs, and reduced economic growth. It’s crucial that leaders recognize and address this issue to ensure a fair and efficient civil justice system that works for all Americans, not just trial lawyers.”

During Lawsuit Abuse Awareness Week, ATRA will share the importance of reform efforts and advocates for civil justice reform nationwide will share state-specific information and solutions for citizens and policymakers to learn more about lawsuit abuse and its impacts.

States across the nation recognize the importance of addressing lawsuit abuse. In West Virginia and Texas for example, Govs. Jim Justice and Greg Abbott each proclaimed October 7-11, 2024 as Lawsuit Abuse Awareness Week in their respective states. These gubernatorial proclamations underscore the widespread impact of excessive litigation and the need for reform.

“We invite all Americans to learn about lawsuit abuse and its consequences,” Joyce said. “Together, we can promote reforms to create a more balanced legal system, foster economic growth, and benefit all citizens.”

For more information about Lawsuit Abuse Awareness Week, visit ATRA.org.

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