Personal injury, trucking lawsuit bills die
AUSTIN (KXAN) — A pair of bills backed by Texans for Lawsuit Reform, aimed at reducing large jury verdicts in personal injury and trucking accident cases, died this legislative session.
Senate Bill 30 — filed with the goal of "curbing nuclear verdicts" — and Senate Bill 39 were two of Lt. Gov. Dan Patrick's priority bills for this legislative session.
Under SB 30, a jury would have heard if an attorney referred their client — and others over the past two years — to a specific doctor. That provider would have had to submit an affidavit that treatment was reasonable and disclose any agreement guaranteeing they are reimbursed for treatment costs in a settlement. Medical expenses would be reimbursed based off rates paid by Medicare and workers’ compensation insurance. Critics said the bill would have required victims to introduce evidence unrelated to their case or care and could have unintentionally made it harder for sexual assault survivors to hold abusers accountable.
The bill was amended in the House, but those changes were not approved by the Senate.
“Today, a kind of fraud is occurring in courtrooms across Texas, as personal injury attorneys and collaborative doctors manufacture medical bills and present them to jurors as if they are legitimate," said TLR President Lee Parsley. "This unethical activity is increasing insurance premiums for every business operating in Texas. Ultimately, the increased cost of doing business is being paid by every Texan. We are disappointed the legislature did not enact laws necessary to stop this well-documented, barely hidden abuse of our legal system.”
Another bill, SB 39, took aim at commercial vehicle lawsuits. Patrick said the bill was about "protecting Texas trucking." Critics said it would have presented new legal hurdles to make it harder for injured victims to introduce evidence about a company's alleged negligence. Debate about the bill occurred at the same time a truck driver was arrested for causing an 18-vehicle pileup on Interstate 35 in north Austin, killing five people and injuring 11 others, according to Austin Police.
TLR, along with the Texas Trucking Association and the Lone Star Economic Alliance, released a joint statement urging the legislature to "prioritize" both bills next session.
"The meaningful reforms included in SB 30 and SB 39 would have been an essential step forward curbing the meritless lawsuits plaguing Texas businesses of all sizes, across all sectors, by preventing unjustified damage awards, and restoring fairness and transparency to the courtroom," the statement read.
Last year, a KXAN investigation first revealed TLR and LSEA's intention to back bills this legislative session aimed at lawsuit reforms. The industry groups wanted to stop what it called "nuclear verdicts" and bring down rising insurance rates.
"For four decades, Texans' legal rights have been under constant assault by corporate lobbyists at the Texas Capitol," countered consumer advocate Ware Wendell, with the nonpartisan group Texas Watch. "This session, lawmakers said 'no more,' rejecting SB 30 and SB 39. The bills' backers sought to undermine the Rules of Evidence, putting their thumbs on the scales of justice. Juries deserve to hear the whole truth upfront, and judges deserve to rule on these matters. Our independent judiciary was protected when these bills died."