The state Senate on Wednesday passed two bills to rein in frivolous lawsuits, with bipartisan support for both.

SB 1157, sponsored by Sen. Vince Leach, R-SaddleBrooke, would curb a trial lawyer strategy of suing several parties in personal injury lawsuits related to asbestos exposure, even if those potential defendants’ connection to an injury was negligible. 

“This is a commonsense bill,” Leach said when the bill was heard in the Senate Judiciary Committee. “We have a problem in this particular area where over-naming in a lawsuit creates more liability.” 

Mark Behrens, who testified in the committee on behalf of the United States �������� of Commerce, said asbestos litigation over the last several decades has devolved into an endless search for a solvent bystander. 

Behrens said the bill “simply requires the plaintiff to disclose upfront, the who, what, why, and where of their injury.” 

The legislation would accelerate the disclosure of information and make sure that innocent companies are not named erroneously or frivolously, which currently leads to a dismissal rate of more than 90% during the discovery period of the lawsuit. Of the companies dismissed from the suits, nearly all of them were not found to have any connection to the damages or injuries claimed by the plaintiff. 

The erroneously identified companies, however, must cover without reimbursement the cost of defense counsel during the early stages of litigation before they are dismissed. 

In one example cited by Behrens, Marine One, a steel company named in more than 182,000 different personal injury asbestos suits, was sued in cases they never should have been named in. While their product was never found to have harmed people, they were forced to file for bankruptcy due to the cost of defense attorneys. 

The bill passed the Senate 18-12.

The Senate on Wednesday also passed SB 1092, another bill by Leach, that places limits on product liability lawsuits brought against product sellers who find themselves the target of product liability lawsuits despite not having made any alterations to a product or doing anything else that could have caused an injury to the plaintiff.

“SB 1092 would protect retailers and other businesses from unfair product liability lawsuits while maintaining the right of the consumer to sue other parties in a product’s chain of distribution,” said Chad Heinrich, Arizona state director for the National Federation of Independent Business, one of the bill’s supporters. “The current law in Arizona places the burden of product liability at the doorstep of the retail business owner. This is unfair since most issues with products should be addressed through the manufacturer of the product, not the store owner who sold the product. SB 1092 would protect sellers of a product from the unfair financial burden of expensive attorney’s fees and the time required for litigation—simply to prove their lack of liability.”

The bill passed the Senate 17-12.

Leach said the state’s legal environment is important to its overall economic development prospects.

“I am proud to sponsor these two bills to promote a better legal environment in Arizona, which will only help our state attract jobs,” Leach said. “When trial lawyers bring bogus lawsuits, it’s job creators who pay the price by spending more time and money on defending themselves than on running their business.”

The Arizona �������� of Commerce & Industry, the state’s leading advocate for reforms to the civil justice system, applauded Leach and the Senate votes.

“Sen. Leach and the senators from both parties who supported these bills have our sincere thanks,” �������� spokesperson Annie Vogt said. “Unfortunately, we’ve seen several bills introduced this session that encourage litigation against employers, which the plaintiffs’ bar would be happy to see become law. Thankfully, Sen. Leach continues to stand up for job creators.”

Both bills now head to the House of Representatives.

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Click here to read the letter to President Fann referenced below.

The Arizona state Senate on Friday is expected to adjourn sine die, bringing the second regular session of the 54^th Legislature to a close.

But that’s not the end of legislators’ work for 2020. Not by a long shot.

The move to sine die is the right one by Senate President Fann. With no clear time horizon on when or whether the Legislature could begin work in regular order on pending legislation, she and legislative colleagues are winding down the regular session.

Now legislators can shift their attention to what the Legislature ought to address in a future special session focused on responses to the fallout from the Covid-19 pandemic.

The business community, including the Arizona �������� of Commerce & Industry, is ready to get to work with legislators in crafting the policies the Legislature should address in a special session, not the least of which are liability protections for employers.

No one wants our economic recovery to be unnecessarily slowed by fears of creating a fertile field for dubious lawsuits targeting businesses. We can find the right balance. We can adopt policies that instill confidence in employers to reopen, while protecting their employees and customers, without giving a free pass to anyone who irresponsibly disregards commonsense efforts to stop the spread of the virus.

At the outset of the pandemic, when it became clear that the business of the Legislature would be interrupted, legislators acted quickly and in a bipartisan fashion to pass a fiscal year 2021 budget, authorizing $55 million for the Arizona Department of Health Services to address the coronavirus public health emergency, and $50 million in flexible and targeted COVID relief for Arizona.

When the Legislature reconvenes in a special session later this year, we’ll need that same spirit of cooperation and collaboration to address some very real challenges. The business community is here to help.

Several of Arizona’s leading business organizations today are sending the letter below to President Fann and her colleagues stating our support for sine die and reiterating our desire to partner with the Legislature in accelerating Arizona’s economic recovery and efforts to return stronger.

Courtney Coolidge is vice president of government affairs for the Arizona �������� of Commerce & Industry

Attached below is a letter sent by the Arizona business community to President Karen Fann and all state Senators.

Dear President Fann,

On behalf of the Arizona business community, we thank you, Senator Bradley and the entire Arizona Senate for your service and commitment to the state and its residents during this difficult time. The COVID19 pandemic has created unprecedented challenges and uncertainty for all Arizonans, and as the leader of the State Senate, you have been faced with many difficult decisions.

We applaud your swift action as the public health emergency was declared during the middle of our legislative session. The Legislature acted quickly and in a bipartisan fashion to pass a fiscal year 2021 budget, authorizing $55 million for the Arizona Department of Health Services to address the coronavirus public health emergency, and $50 million in flexible and targeted COVID relief for Arizona.

We understand that many other legislative priorities were left unfinished as you face the difficult decision to sine die. However, we believe adjourning sine die is the right decision so that the Legislature’s focus can turn to those issues pertinent to the COVID19 pandemic and Arizona’s economic recovery.

As the regular legislative session comes to a close, we know your work is far from complete and we stand ready to help. Like you, the business community is evaluating policy proposals important to Arizona’s economic recovery, most importantly addressing liability concerns stemming from COVID19 and taking swift measures to address budgetary shortfalls at the appropriate time, we are confident these can be addressed during a special session.

We thank you for your continued leadership during this challenging time and willingness to take action in the best interests of Arizona. We appreciate your partnership and communication with the business community and look forward to working with you to address future policy needs.

We are confident that Arizona can return stronger and we support you and your colleagues in the Legislature and the Governor’s office to maintain the critical balance of prioritizing public health, while ensuring maximum economic activity continues safely. We know there is a lot of work ahead and we stand ready to assist in any capacity you may find helpful.

Thank you again for your leadership and service.

The post Opinion: Move to wrap-up legislative session the right one as we look ahead to Covid responses appeared first on ��������.

In the latest episode of Ham(m)er Time! Glenn Hamer, president and CEO of the Arizona �������� of Commerce and Industry, sat down with Arizona Senate President Karen Fann and talked about the transition to her new leadership role, the importance of the DCP and the hidden gems of Prescott.

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