Pennsylvanians Bear the Cost of Overly Litigious Legal Climate

The Wall Street Journal recently highlighted the personal costs associated with our country’s lawsuit-friendly legal environment. In an editorial printed earlier this month, the news outlet referenced a recent study by the U.S. Chamber’s Institute for Legal Reform that analyzed the economic costs – and the costs to taxpayers – of America’s tort system. As PCCJR noted in a previous newsletter, the report found that in 2020, tort costs reached $443 billion nationally – equating to $3,621 per household.

The WSJ piece points out that tort costs are rising nationally, with the tort system growing by 6 percent a year between 2016 and 2020. The news outlet went on to comment on how these increasing costs negatively impact the economy. “Litigation costs make businesses slower to debut new products, since they must first assess potential liability risk. Big companies that are setting up new factories weigh the litigation and insurance costs in the states they’re considering, and manufacturing overseas might be cheaper.”

The editorial can be viewed here.

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