CALA and business leaders unveil 2022 lawsuit economic impact report

Citizens against legal abuse (CALA) released its report on the economic impact of the 2022 lawsuit on Wednesday, detailing the state’s legal climate.

Hold a press conference at the Florida Capitol alongside industry leaders, Tom Gatens, executive director of the Florida Chapter of Citizens Against Lawsuit Abuse (FLCALA), released CALA’s 2022 annual report on the economic impact of abusive lawsuits on the Florida economy. Although the Sunshine State has made progress in the area of ​​prosecutorial reform, with the state avoiding the dreaded title of “Judicial Hellhole” for the third straight year, Gaitens said the state has a lot of work to do. get off the watch list. . In particular, Gaitens pointed out that the study commissioned by CALA found that frivolous lawsuits cost Floridians more than 173,000 jobs and hit state revenues nearly $1 billion, resulting in an impact of 11 $.7 billion in direct costs to the economy.

CALA also outlined actions lawmakers could take in the 2022 legislative session, which included renewing COVID-19 liability protections for frontline healthcare workers and protecting Florida homeowners from harm. actors. Gaitens noted that the latter is an ongoing crisis that is not being addressed by the Florida legislature.

“Florida CALA and our grassroots supporters across the state are thrilled that the legislature is renewing covid liability protections for frontline workers in the health care sector. We only want the rest of the legislature to stand with us in the gallery fighting for property insurance reform. We still have a crisis in Florida regarding Florida personal coverage lines,” Gaitens said. “Since 2013, $15 billion has been poured out in flames in Florida over landlord policies. 71% went to attorneys’ fees, 21% paid insurers’ defense costs, and only 8% went to cover homeowners’ losses. Citizen is growing so rapidly that we will soon exceed one million, which is unsustainable and poses an unacceptable risk to all Floridians. But as the economic impact report demonstrates, the enormous tort tax burden is just another cost to every Floridian. We need all our legislators to row in the same direction, away from this judicial hell.

CALA was joined at today’s press conference by Florida National Federation of Independent Business (NFIB) and Florida State Hispanic Chamber of Commerceas well as the senator Doug Broxson and state officials Bob Rommel, Toby Overdorf, Joe Hardingand Stan McClain.

Rommel expanded on Gaitens’ outlook, stressing the importance of lowering Florida’s tort tax in 2022.

“Over the past few years, Florida has made progress in deterring legal abuse. We have seen some improvements in our property and casualty insurance market, but there is still a long way to go. We are fortunate to have no income tax in Florida, but some reports estimate that every Floridian is paying $1,400 more each year for good services and insurance products due to legal abuse. We will continue to try to rebalance the scales of justice to reduce the tort tax and ensure that every Floridian has access to the courts,” Rommel said. The Capitolist.

Julio Fuentespresident of the Florida State Hispanic Chamber, also added to the conversation, noting how predatory lawsuits have plagued entrepreneurs in Spanish communities.

“Hispanic small businesses in Florida are often small and family-owned. A single lawsuit can be devastating. Size matters, and when large law firms engage in settlement buying with small businesses, it can often cause someone to shut down their business entirely,” Fuentes added.

To view the full report, click here.

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