Indiana

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Tort Reform

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TRAILBLAZERS

Indiana lawmakers passed two important pieces of legislation intended to improve the state's civil justice climate this year, landing it among 2024's "Tort Reform Trailblazers."

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SIGNED

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Sponsored by Rep. Jim Pressel (R)

SIGNED

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Sponsored by Rep. Matt Lehman (R)

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2024 Legislative Session Adjourned:

March 8, 2024

Lawsuit abuse and excessive tort costs result in an annual “tort tax”

of $1,205 paid by every Indiana resident. These reforms further seek to lessen the economic burden families face, including the more than

76,000 jobs lost in the Hoosier State every year due to excessive tort costs.

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SENATE

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1 Vacancy

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HOUSE

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Seat Belt Evidence ​Admissibility

Sponsored by

Rep. Jim Pressel (R)

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H.B. 1090 was signed into ​law by Gov. Eric Holcomb (R)

on March 11, 2024.

H.B. 1090 allows juries to hear evidence of the non-use or ​misuse of seat belts for the purposes of mitigation of damages ​and only applies to individuals 15 years of age and older.

Despite Indianans’ expectation that motorists wear their seat belts to prevent injuries in the event of a collision, current statute prevents Indiana jurors asked to render verdicts in lawsuits arising from motor vehicle accidents from considering evidence that a vehicle occupant was not properly restrained.

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Although Indiana policy and practice embrace the belief that motorists should always wear seat belts to reduce the potential for serious injury

in a collision, the out-of-date statutory "seatbelt gag rule" provision unfairly rewards unbelted occupants by allowing them to avoid the consequences of their decision not to buckle up.

Co-Authored by

Rep. Chris

Jeter (R)

Sponsored by

Sen. Liz Brown (R)

Authored by

Rep. Matt Lehman (R)

Co-Authored by

Rep. Gregory Steuerwald (R)

Sponsored by

Sen. Mark Messmer (R)

Sponsored by

Sen. Lonnie Randolph (D)

Third-Party Litigation ​Financing

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H.B. 1160 was signed into law by Gov. Eric Holcomb (R)

on March 13, 2024.

Indiana lawmakers passed a bill to address the growing practice ​of third-party litigation funding, also known as commercial ​litigation financing. This bill seeks to safeguard the civil justice ​system by ensuring that outside entities cannot unduly ​influence or control legal proceedings.

Third-party litigation funding involves companies providing capital to plaintiffs or their attorneys to cover legal fees and expenses in exchange for a share of any potential settlement or award. This practice raises concerns about potential conflicts of interest and compromised attorney-client relationships.

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Litigation funders may prioritize their financial interests over the best interests of plaintiffs, potentially pressuring parties to accept unfavorable settlements or pursue cases primarily for

profit motives. There are also concerns about the involvement of foreign entities, which could pose national security risks or enable foreign influence over domestic legal matters.

Indiana's bill aims to address these concerns by implementing several key measures:

  • Preventing Undue Influence: Prohibits litigation funders from making decisions, influencing, or directing the consumer claimant or their attorney regarding the conduct of the underlying civil proceeding. This ensures that the attorney-client relationship remains intact and that legal strategies are determined solely by the client's best interests.

  • Restricting Foreign Involvement: Prevents litigation funding agreements from being financed by foreign entities of concern, mitigating potential national security risks and foreign influence over domestic legal matters.
  • Preserving Confidentiality: Prevents parties from sharing confidential information obtained during the legal proceedings with litigation funders, protecting the integrity of the judicial process and safeguarding sensitive information.

  • Ensuring Transparency: Requires plaintiffs or their attorneys to provide written notice of any litigation funding agreements, promoting transparency and allowing for proper oversight.

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Voted in Favor of Reform

Voted Against Reform

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House Floor Votes

Name

Seat Belt Evidence ​Admissibility

H.B. 1090

Third Party ​Litigation Financing

H.B. 1160

Abbott D (R)



  Andrade (D)



  Aylesworth (R)



  Baird B (R)



  Barrett (R)



  Bartels (R)



  Bartlett (D)



  Bauer M (D)



  Behning (R)



  Borders (R)



  Boy (D)



  Campbell (D)



  Carbaugh (R)



  Cash (R)



  Cherry (R)



  Clere (R)



  Criswell (R)



  Culp (R)



  Davis (R)



  DeLaney (D)



  DeVon (R)



  Dvorak (D)



  Engleman (R)



  Errington (D)



  Fleming (D)



  Garcia Wilburn (D)



  Genda (R)



  GiaQuinta (D)



  Goodrich (R)



  Gore (D)



  Goss-Reaves (R)



  Greene (R)



  Haggard (R)



  Hall (R)



  Hamilton (D)



  Harris (D)



  Hatcher (D)



  Hatfield (D)



  Heaton (R)



  Heine (R)



  Hostettler (R)



  Huston (R)



  Jackson (D)



  Jeter (R)



  Johnson (D)



  Jordan (R)



  Judy (R)



  Karickhoff (R)



  King (R)



  Klinker (D)



  Lauer (R)



  Ledbetter (R)



  Lehman (R)



  Lindauer (R)



  Lucas (R)



  Lyness (R)



  Manning (R)



  May (R)



  Mayfield (R)



  McGuire (R)



  McNamara (R)



  Meltzer (R)



  Miller (R)



  Miller K (D)



  Moed (D)



  Morris B (R)



  Morrison A (R)



  Moseley (D)



  Negele (R)



  O'Brien (R)



  Olthoff (R)