Gov. Ron DeSantis on Friday signed a comprehensive bill aimed at rooting out excessive, abusive litigation in what the measure’s supporters said was “a watershed moment” in the history of tort reform.
Opponents such as the Florida Justice Association, however, said the signing of House Bill 837, authored by House Judiciary Chairman Tommy Gregory (R-Lakewood Ranch) and Rep. Tom Fabricio (R-Miami Lakes), would take away rights of average Floridians and make insurance companies less accountable for their decisions.
“In just three short weeks, Florida lawmakers rushed through some of the largest rights-grabbing legislation in recent history,” the FJA’s president, Curry Pajcic, said in a prepared statement after HB 837 was approved Thursday by the Florida Senate. “This bill significantly limits the ability of Floridians to hold wrongdoers accountable and effectively gives Big Insurance the keys to our state and our court process.”
But the Personal Insurance Federation of Florida said the reform plan would “reset” the state’s legal climate, reduce business costs and benefit consumers.
“This is a watershed moment for Florida,” PIFF President and CEO Michael Carlson said in a statement emailed to the Florida Record. “Florida leaders stood up for what is fair and just. This legislation blocks avenues for the unnecessary litigation that has been plaguing our state for decades and has come to a breaking point. This will result in a friendlier climate for Florida businesses and benefit all Floridians.”
HB 837 does away with the state’s one-way attorney-fee statute and limits attorney-fee multipliers in most insurance cases. It also redefines what constitutes a bad-faith claim, gives juries more information on defining medical damages and makes negligent claimants more responsible for their own situations.
PIFF acknowledged that “an avalanche” of lawsuits had been filed by attorneys during the run-up to the passage of HB 837. The bill took effect Friday.
“Floridians have suffered under a system which encourages trial attorneys to inflate damages, bring frivolous claims and clog the system, costing Floridians and businesses more than $800 per person, according to recent studies,” Tom Gaitens, executive director of Floridians Against Lawsuit Abuse, said in a statement.
Florida lawmakers also have introduced legislation that would place limitations on litigation filed against senior living facilities.