The American Tort Reform Association (ATRA) today released its annual Judicial Hellholes® report, and once again Wisconsin received good news from the report’s “Points of Light” section. Continue reading “Wisconsin Recognized As Leader in Judicial Hellholes Report”
Tag: Tort Reform
Wisconsin’s Business Climate Continues to Improve Thanks to Civil Justice Reforms
Wisconsin’s business climate continues to improve thanks to the pro-growth reforms enacted during the 2011-12 legislative session, including recently enacted civil justice reforms.
Wisconsin jumped up to No. 13 in the nation according to Site Selection Magazine’s “Top U.S. Business Climates” survey. The study listed a state’s legal climate as a top issue for corporate executives when deciding where to locate its business. The study included other factors, such as regulatory procedures and ease of permitting, economic development, taxes, utility and transportation infrastructure, and workforce skills.
Continue reading “Wisconsin’s Business Climate Continues to Improve Thanks to Civil Justice Reforms”
Poll: 9 out 10 Say Lawsuit Abuse Is a Problem
A recent poll conducted by the American Tort Reform Association and the grassroots Sick of Lawsuits released a national survey finding that a strong majority of people believe lawsuit abuse hurts economic growth, job creation, and U.S. competitiveness.
Below are a few specific findings from the poll:
- 89 percent surveyed think that lawsuit abuse is a problem (34 percent say a “major problem,” 35 percent say a “big problem,” and 21 percent say a “minor problem”). Only five percent say lawsuit abuse is not a problem at all.
- 60 percent believe that the number of lawsuits filed against businesses has hurt the U.S. economy.
- Nearly four of five surveyed (78 percent) believe there are too many lawsuits, with 8 percent thinking there are too few, and 3 percent who say there are about the right amount.
Click here to read the entire study.
Wisconsin’s Lawsuit Climate Ranking Increases Thanks to Tort Reforms Enacted in 2011-12
Wisconsin moved up seven spots, from No. 22 to No. 15, in the U.S. Chamber Institute for Legal Reform’s latest lawsuit climate study: 2012 State Liability Systems Survey, Lawsuit Climate: Ranking the States.[1] The survey of over 1100 corporate attorneys and executives focused on a number of criteria, including each state’s overall treatment of tort and contract litigation, treatment of class action lawsuits, damages, and judges’ impartiality.
“Thanks to the significant tort reforms enacted during last session by the Wisconsin Legislature and Gov. Scott Walker, Wisconsin’s litigation climate has improved and the state is a better place to do business,” said Bill G. Smith, President of the Wisconsin Civil Justice Council (WCJC) and Wisconsin Director of the National Federation of Independent Business (NFIB).
The first bill introduced was comprehensive tort reform legislation, which eventually became 2011 Wisconsin Act 2. The legislation brought Wisconsin back into the mainstream and overturned a number of negative decisions issued by the Wisconsin Supreme Court in the 2005-06 term.
During Gov. Walker’s second special session in the fall of 2011, the Legislature enacted three more substantive tort reforms.[2] Continue reading “Wisconsin’s Lawsuit Climate Ranking Increases Thanks to Tort Reforms Enacted in 2011-12”
Legislation Repealing Punitive and Compensatory Damages under the Wisconsin Fair Employment Act Officially Becomes Law
In a victory for Wisconsin businesses, Gov. Scott Walker signed into law Senate Bill 202, which repeals punitive and compensatory damages under the Wisconsin Fair Employment Act.
In 2009, Gov. Jim Doyle signed into law 2009 Wisconsin Act 20, which for the first time imposed punitive and compensatory damages in discrimination cases under the Wisconsin Fair Employment Act. WCJC scored yet another major victory by helping pass Senate Bill 202, which repeals Act 20.
Contrary to claims being made by SB 202’s opponents, this legislation does NOT take away equal pay for women or any other protected class. Once the new law goes into effect, employees alleging workplace discrimination can still sue at the state level and seek the following remedies:
- Reinstatement;
- Back pay up to two years;
- Attorney fees and reasonable court costs.
- Moreover, employees can elect to sue in federal court, where they can still seek punitive and compensatory damages.
Senate Bill 202, now 2011 Wis. Act 219, protects Wisconsin businesses from meritless and costly lawsuits by returning the law as it was in 2009.
Governor Signs Ski Hill Liability Protection Bill
On Monday, April 2, Gov. Scott Walker signed into law 2011 Wis. Act 199, which expands the “assumption of risk” doctrine to protect ski operators who follow certain safety protocols from lawsuits.
The assumption of risk doctrine provides that when an individual engages in a potentially dangerous activity, that person does so with the knowledge that the activity contains the possibility of injury.
Current law provides that one who has assumed a risk and sustained injury or death from the activity may still recover damages from the responsible party even if the injured party failed to follow prescribed protocols.
Under Act 199, if a ski area operator follows certain safety precautions, the operator will not be responsible for any injuries an individual may suffer while skiing on the operator’s ski hill.
Below are just a few of the duties a ski operator must comply with to obtain liability protection:
- Provide a notice on the ticket or hill pass that the ski hill operator is not liable for any injuries.
- Post signs containing warnings reminding participants of the dangers of skiing. Signs must be at least 10 feet inside the area where tickets are sold, and on slopes, tubing areas, trails, and terrains.
- Provide copies of trail and ski area maps in the ticketing area.
If the ski operator follows these and other requirements, then he or she is not responsible for any injuries sustained by an individual who has assumed the risk of skiing. WCJC supported Act 199.
Senate Passes Ski Hill Liability Protection Legislation
This week, the Wisconsin Senate passed Senate Bill 388 on a voice vote, expanding the “assumption of risk” doctrine to protect ski operators who follow certain safety protocols from lawsuits. The bill will now be sent to the Assembly for a vote.
The assumption of risk doctrine provides that when an individual engages in a potentially dangerous activity, that person does so with the knowledge that the activity contains the possibility of injury.
Current law provides that one who has assumed a risk and sustained injury or death from the activity may still recover damages from the responsible party even if the injured party failed to follow prescribed protocols.
Under SB 388, if a ski area operator follows certain safety precautions, the operator will not be responsible for any injuries an individual may suffer while skiing on the operator’s ski hill. Senate Bill 388 provides that the operator must comply with the following duties to obtain liability protection:
- Provide a notice on the ticket or hill pass that the ski hill operator is not liable for any injuries.
- Post signs containing warnings reminding participants of the dangers of skiing. Signs must be at least 10 feet inside the area where tickets are sold, and on slopes, tubing areas, trails, and terrains.
- Provide copies of trail and ski area maps in the ticketing area.
If the ski operator follows these requirements, then he or she is not responsible for any injuries sustained by an individual who has assumed the risk of skiing.
This post was authored by Hamilton intern Andrew Bassan, a 2L at the University of Wisconsin Law School.
Wisconsin Bar Article Explains How SB 202 is a Victory for Employers and Still Protects against Illegal Discrimination
An article by attorney Saul Glazer in the Wisconsin Bar Journal explains how a bill (SB 202) championed by the Wisconsin Civil Justice Council will help employers. The article also dispels the myth that SB 202 somehow negatively affects women.
Opponents of Senate Bill 202, which eliminates punitive and compensatory damages under the Wisconsin Fair Employment Act (WFEA), have attempted to paint the bill as negatively affecting a woman’s right to equal pay.
The argument goes something like this: Because SB 202 removes the ability of a person alleging workplace discrimination to seek punitive and compensatory damages, women are no longer entitled to equal pay. This is a rather dubious claim, but one that has been touted by the opponents of SB 202 nonetheless.
The Wisconsin Bar Journal article dispels this myth. The author explains that women will still be entitled to equal pay under the law. According the article, after SB 202’s repeal of punitive and compensatory damages:
“Discrimination claims for equal pay are still actionable under the WFEA. The repeal has no impact on whether a woman may file a discrimination claim based on unequal pay.”
SB 202 takes the law back to 2009, before 2009 Wisconsin Act 20 went into effect. Act 20 for the first time allowed a person to seek punitive and compensatory damages under WFEA.
As further explained in the Wisconsin Bar Journal article, plaintiffs still have plenty of recourse under current law. They can seek reinstatement, back pay up to two years, and be awarded considerable attorney fees and court costs.
The Wisconsin Bar Journal article nicely explains what a victory SB 202 is for WCJC’s members:
“On balance, the repeal of the compensatory and punitive damages is a win for innocent Wisconsin employers, although employers who engage in most forms of illegal discrimination will most likely suffer the same fate as before in front of a federal jury.”
Senate Bill 202 has passed both the Senate and the Assembly, and is expected to be signed into law by Gov. Walker.
Assembly Repeals Punitive and Compensatory Damages under WFEA
On February 21, 2012 the Wisconsin Assembly passed SB 202, which repeals punitive and compensatory damages under the Wisconsin Fair Employment Act. The bill is a significant victory for the Wisconsin Civil Justice Council and the entire business community.
By repealing punitive and compensatory damages and removing an incentive for plaintiff attorneys to sue so-called deep pockets, Wisconsin businesses will face fewer meritless lawsuits.
Moreover, businesses will see smaller damages claims now that the threat of being hit with punitive damages is removed. Businesses have reported that plaintiff attorneys seeking higher damages claims in employment discrimination cases use the threat of punitive damages as a hammer. This in turn has forced businesses to enter into settlements for higher amounts instead of risking going to trial and facing the possibility of paying huge damage awards, even if no discrimination actually occurred.
The bill leaves in place existing protections for employees who allege workplace discrimination, including back pay for up to two years, reinstatement, and reimbursing the employee for his or her plaintiff’s fees and court costs. Employees can still seek punitive and compensatory damages under federal law.
SB 202 was supported by the Wisconsin Civil Justice Council and the major business associations. The bill repeals 2009 Wisconsin Act 20, which was enacted last session and signed into law by then Gov. Jim Doyle. The business community vigorously opposed the legislation in 2009 and made passage of SB 202 a top priority for the 2011-12 legislative session.
For more information about SB 202, please visit the WCJC’s website.
Gov. Walker, Wisconsin Legislature Receive National Accolades for Enacting Lawsuit Reforms
The American Tort Reform Association (ATRA) today came out with its annual Judicial Hellholes report, and instead of receiving negative scrutiny, Wisconsin received acclaims for the significant lawsuit reforms recently signed into law by Gov. Scott Walker and the Legislature.
Although ATRA’s Judicial Hellholes report is renowned for documenting abuses of the civil justice system in jurisdictions that are among the most unfair and out of balance in the nation, the report also highlights those jurisdictions and states where positive reforms are taking place.
“As anemic economic growth and high unemployment continue to plague much of the country, many governors and state legislators were determined to make their states more competitive and attractive to employers with a variety of tort reform measures,” said ATRA President Tiger Joyce.
“None were more successful than Gov. Scott Walker and lawmakers in Wisconsin. They pushed a comprehensive civil justice reform package to enactment early in the year, before coming back for three more significant measures in a special session this fall,” added Joyce.
In its “Points of Light” section (p. 38), the Judicial Hellholes report highlights Wisconsin as a leader when it comes to lawsuit reforms.
ATRA’s report summarizes the major provisions contained in Special Session Senate Bill 1, which was enacted into law as 2011 Wisconsin Act 2:
- Adoption of more reasonable product liability standards for manufacturers and sellers.
- Elimination of the deeply flawed “risk contribution” theory in manufacturing lawsuits.
- Adoption of sound science principles (Daubert principles).
- Limits on punitive damages at $200,000 or twice compensatory damages, whichever is greater.
- Sanctions on frivolous lawsuits.
The Points of Light section in the report further notes that Gov. Walker and the Legislature didn’t stop there. In the fall of 2011, the Legislature passed into law three more bills introduced by Gov. Walker in his second special session focusing on job creation. The three new lawsuit reform bills include:
- Interest on Judgments – Reduces interest on pre- and post-judgments awarded to plaintiffs (2011 Wisconsin Act 69).
- Trespasser Liability – Protects landowners and land possessors from greater liability by prohibiting courts from expanding the duty of care owed to trespassers (2011 Wisconsin Act 93).
- Limiting Attorney Fees – Creates certain criteria courts must consider when awarding attorney fees, and creates a rebuttable presumption that attorney fees can be no more than three times compensatory damages (2011 Wisconsin Act 92).
The Wisconsin Civil Justice Council, which supported these measures, commended ATRA for recognizing Wisconsin in its report.
“Once again, Gov. Walker and the Wisconsin Legislature are being recognized as a national leader when it comes to lawsuit reforms,” said Bill G. Smith, Wisconsin Director of the National Federation of Independent Business and President of the Wisconsin Civil Justice Council.
“These positive reforms will enhance Wisconsin’s business climate by protecting employers from costly and meritless lawsuits,” added Smith.
To learn more, read ATRA’s Judicial Hellholes report.