In a recent article by Lana Sonnier Venable of Louisiana Lawsuit Abuse Watch (LLAW) posted on dailycaller.com explained the dire situation of the legal system in Louisiana and the need for reform.
In order to bring the legal system into check, it is imperative to understand the brokenness of the current situation, Venable said.
One issue is the cost to American families, which in 2016 totaled $429 billion, which is $3,329 per household, a U.S. Chamber of Commerce Institute for Legal Reform study said. The high costs are only made more disturbing upon the realization that only 57 percent of the expenditures in the tort system went to plaintiff compensation, with the rest being diverted elsewhere.
One of the biggest obstacles facing the Louisiana lies with the toll on jobs that the broken tort system is taking. According to LLAW, more than $15,000 jobs are being lost every year, as well as $1.1 billion in annual direct costs as a result of the tort system.
One industry which is suffering greatly is the oil and gas industry, as trial attorneys, who are notorious for urging their clients to seek massive settlements for minor incidents, are attacking the energy industry.
Lauren Chauvin, director of civil justice reform for the Louisiana Association of Business and Industry (LABI), recently spoke with the Louisiana Record about the legal climate in the state and what needs to be done to address the challenges facing it.
“We have seen the cost of Louisiana’s legal climate drive business out of the state for years," Chauvin said. "These numbers aren’t surprising, but they are alarming and something needs to change if Louisiana wants to see more jobs and a better business climate.”