Georgia has reached a pivotal moment in its litigation environment with the successful passage of comprehensive legal reform legislation. On April 21, 2025, Governor Brian Kemp signed into law SB 68 and SB 69, marking a transformative shift towards a more balanced and equitable legal environment. These landmark reforms are set to take effect on July 1, 2025, and promise to deliver significant protections and savings for Georgians.
Governor Kemp’s dedication to reforming Georgia’s legal landscape has finally borne fruit, addressing the rampant litigation that has long burdened the state. His efforts aim to reduce costs and establish a more equitable system that serves the interests of businesses, property owners, workers, and families alike. “Today is a victory for the people of our state who for too long were suffering the impacts of an out-of-balance legal environment,” said Governor Kemp. “As a result of this collective effort and outpouring of support from Georgians of all backgrounds, Georgia continues to move in the right direction as we work to stabilize costs and compete for economic opportunities that will create good paying jobs for hardworking Georgians across our state.”
SB 68: A Comprehensive Tort Lawsuit Reform Package
SB 68 introduces eight key reforms designed to strike a balance in Georgia’s courts and curb legal abuses that harm consumers, small businesses, and the community. These reforms include:
- Limiting negligent security liability to factors businesses can directly control.
- Ensuring truth in damages by eliminating phantom damages and requiring that medical expenses reflect actual costs.
- Allowing trials to be bifurcated into liability first, and only if found liable, then damages.
- Permitting the admission of seatbelt evidence in auto accident cases.
- Preventing the recovery of double attorney’s fees.
- Requiring actual evidence of pain and suffering, prohibiting anchoring during closing arguments.
- Saving litigation costs by eliminating plaintiff dismissals in the middle of trial.
SB 69: Transparency in Third-Party Litigation Funding
SB 69 aims to protect consumers from predatory lenders and foreign adversaries by increasing transparency in third-party litigation funding (TPLF). Key provisions include:
- Banning foreign funders from engaging in U.S. litigation through TPLF agreements.
- Prohibiting litigation financiers from controlling litigation.
- Preventing funders from recovering more than the plaintiffs.
- Making funders jointly and severally liable for costs or sanctions for loans.
- Allowing for discovery of the existence and terms of agreements for funding over $25,000.
- Considering willful violations a felony.
Stephen Waguespack, President of the U.S. Chamber of Commerce Institute for Legal Reform, praised Georgia’s efforts, stating, “Georgia is the first legal reform success story of 2025 thanks to the leadership of Gov. Kemp and state lawmakers to ensure Georgia consumers, families, workers, and businesses benefit from a balanced legal environment, not trial lawyers and third-party litigation funders. Georgia’s landmark reforms should serve as a model for other states wanting to bring fairness and certainty to their court systems and drive down costs for everyone. Keep going and keep fighting—what happened in Georgia can happen in your state.”
A Bold Step Forward
These legislative victories are more than just reforms; they are a testament to the power of collective action in preserving the integrity of Georgia’s civil justice system. By demanding transparency and accountability, Georgia is setting a precedent for other states to follow. This is not just about legal reform—it’s about creating a stronger, more competitive Georgia where businesses can thrive, physicians can focus on patient care, and property owners can invest with confidence.
The Bottom Line
Georgia’s new legislation is a game-changer for the state’s lawsuit climate. Lawmakers have seized this opportunity to support critical reforms that protect businesses and property owners while creating cost savings for all Georgians. Georgia is setting an example for other states, paving the way for a more balanced and just legal system. It’s time for lawmakers across the nation to act and support similar reforms to ensure a brighter future for all.
To view an interactive map of tort costs per household on the U.S. Chamber website, click here.