Lawsuit reforms are good for the Texas economy, according to a recent survey of employers in the state.
The survey of Texas Association of Business members was conducted in late June. In it, employers indicated legal reforms have helped them focus on building their business.
"There is a place where employers can focus on building a business and creating jobs instead of operating in fear of a lawsuit that could force them to shut their doors," said Bill Hammond, president and CEO of the Texas Association of Business. "Texas repeatedly outranks other states as the best place to do business and for job creation, and, clearly, the lawsuit reforms that Texas legislators have passed in recent years are a major factor in our success."
Survey respondents included 282 individuals who represent a business and 27 individuals who represent a chamber of commerce. According to a press release, most of the employer respondents employ fewer than 50 employees.
-71 percent say lawsuit reform means that that business can focus more on products/services and business instead of liability concerns;
-64.5 percent say it makes it less expensive to operate a business;
-48.1 percent say it creates a civil justice system that is predictable; and
-46.6 percent say it means more can be invested in growing a business.
"Texas once had the biggest lawsuit abuse problem in the nation," said Andy Tewell, Chairman of Citizens Against Lawsuit Abuse of Central Texas (CALACTX). "Personal injury lawyers came here and bragged that they could win big money in Texas courts. Texans finally said, 'Enough!' and we fought for reforms that have restored justice in our courts. As an employer, I know that these reforms work and help create the jobs that Texas workers and their families depend upon."