Alabama
Tort Reform
TRAILBLAZERS
Alabama lawmakers passed one important reform this year and started efforts around the Lawsuit Fairness Act. The state legislature’s hard work to improve the state's civil justice climate this year, lands it among 2024's “Tort Reform Trailblazers.”
S.B. 104: Sponsored by Sen. Josh Carnley (R)
H.B. 92: Sponsored by Rep. Troy Stubbs (R)
S.B. 293: Sponsored by Sen. Arthur Orr (R)
H.B. 420: Sponsored by Rep. David Faulkner (R)
2024 Legislative Session Adjourned:
May 20, 2024
Lawsuit abuse and excessive tort costs result in an annual “tort tax” of $785 paid by every Alabama resident. These reforms further seek to lessen the economic burden families face, including the more than 36,000 jobs lost in the Yellowhammer State every year due to excessive tort costs.
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SENATE
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2 Vacancies
Lawsuits alleging exposure to asbestos often name various companies that made or used asbestos products in the past. Some lawsuits also simply claim that an individual was exposed to asbestos at some point – but don't actually claim a current, functional impairment.
Asbestos litigation reforms with stricter evidence requirements and medical criteria are crucial.
Requiring stronger proof in
asbestos lawsuits early on will:
- Prevent a flood of unnecessary lawsuits
- Reduce backlogs in our courts
- Make the process faster and more efficient
- Create a more fair and balanced litigation environment
The changes signed into law aim to prevent excessive defendant naming, filter out unsubstantiated claims, and ultimately yield a more efficient, fair civil justice system driven by facts rather than profit motives.
The new law will require plaintiffs to provide more detailed disclosures to defendants.
Key provisions include:
Plaintiff Information Requirements
- The plaintiff must provide an information form specifying the basis for each claim against each defendant company named in the lawsuit, as well as details about how and where they were exposed to asbestos, including:
- A list of all current and former job sites where exposure occurred; and,
- Names of people who have knowledge about the plaintiff's asbestos exposures.
Documentation Requirements
In addition to the information form, the plaintiff must produce all supporting documents and evidence they have about their asbestos exposure claims.
Supplemental Information
If a defendant can provide evidence showing the plaintiff's information is incomplete, the court can order the plaintiff to provide more details.
Case Dismissal
The court must dismiss the claims against a defendant company if:
- The plaintiff fails to file the required information form;
- The plaintiff fails to add more details after being ordered by the court; or,
- The defendant's product or premises is not listed as a source of exposure.
Asbestos Trust Claims
Within 60 days of filing the lawsuit, the plaintiff also has to file any claims they qualify for with bankruptcy asbestos trust funds. They must share all materials related to those trust claims with the companies they are suing.
Sponsors
Sen. Arthur Orr (R)
Rep. David Faulkner (R)
Lawsuit Fairness Act
Abuses in the civil justice system and certain litigation practices that focus on the quantity of cases filed rather than the quality inflate the cost of litigation, lack transparency, and are unfair to Alabama consumers.
For Alabama families and small businesses to achieve economic freedom, this year, lawmakers introduced and began the first stages of enacting the Lawsuit Fairness Act to address various areas of lawsuit abuse. Ongoing efforts are being made to continue this year’s work and pursue comprehensive reforms in 2025.