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The Negative Consequences of Excess Civil Litigation

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It happens more often than most people would like: civil lawsuits are filed every day on the merits of good reason, and other times, for reasons that have little basis for liability. Some fall in the middle, but still lead to unfair verdicts.

A 2008 report prepared by The American Transportation Research Institute (ATRI) - commissioned by the American Trucking Associations (ATA) - ranked excessive civil litigation as one of the top ten issues facing the health of the trucking industry today. The overarching solution, per the report, is tort reform aimed at protecting trucking companies against undue or inequitable civil judgments. The ATRI report also focuses on the need to “clarify the distinction between civil tort liability and punitive damage awards.”

The report says a public education campaign is needed to raise awareness about why too many and too costly civil lawsuits are something that need to be nipped in the bud. When civil judgments get out of hand, we see businesses pay exorbitant damage awards that can lead to job losses and drive companies out of business. Consumers pay too - literally - as costs are absorbed into the price of products and services.

There are a host of opinions from lawyers on why tort reform is necessary, but in the spirit of this public education campaign, it may be a better idea for you arm yourself with information so you are fully up to speed on the issue and can take action. Visit your state trucking association website (you can find a list at the ATA’s site; chose your state from the menu at the left) as well as your state legislative body’s website to find out where tort reform efforts stand and how it protects the trucking industry in your area.