Lawmakers Bring Major Changes to Florida’s Legal System

Florida’s lawmakers passed a sweeping tort reform law earlier this year. The reform law aims to change large swaths of the state’s civil justice system. The items covered include statutes covering liability, attorney fees, and medical reimbursement in negligence cases. Let us consider these significant changes and how Floridians accept them—or not. 

The Bill

Sometimes, in March 2023, it was reported that the Florida House of Representatives, which is majorly Republican, passed HB837 largely along the lines of partisan. The same week, the Florida Senate, also Republican-majority, voted on their measure, SB 236. Several Republican governors, including Governor Ron DeSantis, have signaled their support for the new bill.

One of the areas the bill addresses is the one-way attorney fees, stating that each party would now pay their legal fees. Meanwhile, the old law stated that insurance companies must pay the policyholders’ attorney fees if their claim is successful. This law has changed, but the Florida House added an amendment allowing the insured to file a separate declaratory judgment case.

The Purpose of the New Bill

One major purpose of the bill is to reduce bad faith claims with insurance companies. It lets insurance companies pay the claim or lesser end of policy limits, but only if they pay within 90 days.

Also, a section of the bill deals with negligence lawsuits, starting with reducing the statutes of limitations from four to two years. Furthermore, under the new law, the defendants will only compensate plaintiffs if the latter is less than 50 percent responsible.

Also, liability lawsuits are not left behind as they are catered to in the new bill. For example, if someone was attacked on a property, a jury will factor in the criminal’s fault, inadvertently limiting other parties’ liability. This provision of the new bill did not sit well with the majority.

Also, the new law deals with medical claims; plaintiffs must inform a jury if an attorney refers them to a medical provider. It also limits the cost of care; supporters say this will mitigate doctors’ habit of inflating costs.

The New Reform Law: Supporters

The supporters of the newly passed reform law include the Florida Retail Association and the Florida Chamber of Commerce. In defending the new law, they say the state witnesses too many frivolous lawsuits, of which small businesses bear the brunt. Also, say the supporters, these lawsuits have raised insurance rates too high.

Those who support the legislation call Florida a judicial hellhole that exalts billboard trial lawyers above consumers. A Floridian CEO says the many frivolous lawsuits have restricted their ability to hire additional team members. Also, they have prevented them from building additional stores and reinvesting in the local communities they serve.

Floridians’ Disagree

Meanwhile, critics of the new bill say the law will hurt the most vulnerable, although that is what it aims to protect. Some say the claims will not lower insurance rates as claimed by the legislation supporters. According to personal injury attorney Mitchell Feldman of Feldman Legal Group, “If insurance rates are what the Legislature is genuinely concerned about, then they should propose something in the rates statute.”

Floridians disagree with the backers of the new legislation, saying apartment complexes and hotels must be financially liable where necessary. That includes when an injury or death occurred on their property due to the unavailability of standard security.

Many more Floridians note that health insurance companies that deny compensation for necessary treatments should pay attorney fees. They should bear the consequences of forcing victims to sue them for compensation.