We’ve previously written about ILR’s recent research paper showing that nuclear verdicts—jury verdicts worth $10 million or more—continue to increase in size and frequency. These massive verdicts make common household items more expensive, increase the cost of insurance, and generally contribute to an unequal legal system. Besides highlighting this troubling trend, the paper also breaks down which states had the most nuclear verdicts in personal injury and wrongful death cases between 2013-2022. Let’s look at the top five states, which in combination deliver half of the nation’s nuclear verdicts.
California
California hosted the most reported nuclear verdicts between 2013 and 2022, with a total of 199 verdicts amounting to $9 billion in jury awards. While the state’s massive economy will always make it a target for plaintiffs’ lawyers, California’s plaintiff-friendly laws and courts are a major reason the state is a hotspot for such extraordinary awards. Notably, Los Angeles County is a magnet for high-dollar lawsuits, accounting for over one-third of California’s nuclear verdicts. One stand out case in 2023 was in Orange County, where a court awarded $161 million against a motorcycle manufacturer. The plaintiff, who struck an SUV that abruptly stopped while crossing three lanes to turn left, blamed the accident on the motorcycle’s faulty front brake.
Florida
Florida rivals California for the most nuclear verdicts, with 197 reported cases totaling an eye-popping $33 billion in awards. With a population roughly half that of California, Florida hosts the most nuclear verdicts per capita by far, indicating a significant susceptibility to these awards. The high frequency of nuclear verdicts in Florida is problematic as it can lead to increased litigation costs and higher insurance premiums. This, in turn, can make it more difficult for businesses to operate and for consumers to afford necessary products and services. However, Florida has made strides in the right direction by passing legal reforms, such as the landmark 2023 bill that aims to protect consumers and businesses from abusive trial lawyer tactics and improve the legal environment.
New York
New York is another top state for nuclear verdicts, with 131 reported cases and $4 billion in cumulative awards. The state’s legal environment, particularly in New York City, Kings County (Brooklyn), and Bronx County, is known for producing significant noneconomic damage awards. One unique law that contributes to the abundance of nuclear verdicts in New York is called the “Scaffold Law.” It imposes “absolute liability” on employers for construction site falls, bypassing the workers’ compensation system. This means that even if a worker was at fault for an injury, the employer is still liable. This law has led to significant verdicts, including a $48 million verdict in 2022 and a $53.5 million verdict in 2023.
Texas
Texas is a leading state for nuclear verdicts, with 130 reported cases and $16 billion in awards in our study. Anchoring techniques, where attorneys suggest specific, often arbitrary amounts for damages, significantly contribute to these high verdicts. These techniques manipulate jurors’ perceptions, leading to inflated awards. In 2023, a Texas automobile accident case saw the plaintiff’s attorney suggest awarding “two cents” per mile per decedent for every mile the defendant company’s trucks drove. The jury awarded $39 million, closely matching this suggestion. The Texas Supreme Court later ruled that these “unsubstantiated anchors” and other improper tactics required a new trial.
Georgia
Georgia is moving up these unfortunate rankings, from seventh-most nuclear verdicts in 2010-2019 to tying with Illinois for fifth-most in 2013-2022, when the Peach State had 64 reported cases amounting to $6 billion in awards. Georgia’s unique legal framework, which allows jurors to award damages for the “full value of life,” has led to some of the most extraordinary verdicts in recent years. Notably, Georgia saw a $1.7 billion punitive damages award in a product liability case in 2022. As Georgia’s rise in the rankings demonstrates, the state’s courts have become particularly prone to excessive awards, which can undermine confidence in the civil justice system.
The numbers coming out of these states are trending in the wrong direction, but the effects can be reversed with commonsense reforms. As the report outlines, policymakers can adopt reforms to prohibit manipulative courtroom tactics, curb forum shopping, and ensure damages are fair and proportionate. These and other changes would create a fairer legal environment. Enhancing transparency and accountability in the litigation process can also help curb the influence of profit-driven investors and misleading lawsuit ads. These steps will protect businesses and consumers and restore confidence in the civil justice system.
