Kemp’s litigation overhaul clears first major hurdle

The proposal would restrict when businesses can be sued for injuries on their property, regulate how damages are calculated in personal injury cases, and allow certain lawsuits to be split into stages where lawyers can argue liability and damages separately. A separate measure to limit outside groups from bankrolling third-party litigation is also pending.

The overhaul is opposed by trial lawyers, patient advocates and progressive groups who argue his plan would strip Georgians of their right to challenge powerful corporations in court while doing little to lower insurance rates.

The latter was a point even supporters were willing to concede. Insurance Commissioner John King said he doubts there will be an immediate drop in premiums. But he said it could lead to a “slow decline” in insurance costs or — at minimum — help halt their increase.

“By passing this, you give me a lot more bargaining tools as I negotiate with insurance companies,” King said.

The bill cleared the committee on Monday after Kemp and his allies agreed to minor tweaks, including one that would give attorneys more leeway to suggest noneconomic awards to a jury — so long as they aren’t considered arbitrary or unsubstantiated.

The generations-old battle over the complex rules governing who can sue for damages and how much they can recover divides some of Georgia’s most powerful lobbies — and could cut across party lines.

While Kemp is courting Democratic support, Monday’s vote exposed roadblocks within his own party.

Republican state Sens. Blake Tillery and Bo Hatchett, both attorneys with experience as plaintiff’s lawyers, raised concerns about provisions of the overhaul.

Both, however, voted to approve the measure.