AUSTIN – A bill seeking to deflate inflated medical damages in civil actions has failed to clear the Texas Legislature.
The Lone Star Economic Alliance strongly advocated for the passage of Senate Bill 30, maintaining that the legislation would have sought to stop the manipulation and wrongful inflation of medical damages by personal injury lawyers and collaborative healthcare providers.
The founding members of LSEA, which includes Texans for Lawsuit Reform, released a statement saying that the reforms included in SB 30, as well as SB 39, which relates to civil liability of a commercial motor vehicle owner or operator, remain vital for Texas job creators and families.
“Every day, unfair litigation practices are threatening the viability of Texas businesses, forcing job creators to raise prices, lay off employees or close their doors altogether,” the statement reads.
“The meaningful reforms included in SB 30 and SB 39 would have been an essential step toward 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.”
Although SB 30 passed both chambers of the Legislature, a disagreement on final language in the conference committee kept the bill from making it over the finish line.
“The costs of inaction on lawsuit reform are massive,” LSEA said in its statement. “We urge the Texas Legislature to prioritize this issue in the 90th Texas Legislative Session, and to put an end to the blatant fraud on the legal system which jeopardizes Texas’s longstanding reputation as the best place in the nation to do business and create jobs.”
Part of SB30 was in response to a 2023 Texas Supreme Court decision wiping out a $15 million award in a wrongful death lawsuit involving an 18-wheeler collision that cost four people their lives.
A jury had awarded $16.8 million to the plaintiffs, $15 million of which was for noneconomic damages.
Justices held the award was excessive, opining that nothing in the record demonstrated a rational connection between the injuries suffered and the amount awarded.
