Following the passage of House Bill 1204 by the Arkansas House, there is growing support from small business owners for the proposed legislation. The bill aims to bring fairness and transparency to the state’s judicial system.
NFIB State Director Katie Burns expressed her approval of the measure and called on the Senate to act quickly in approving it. “Small businesses want our judicial system to remain fair for all Arkansans. Our Main Street business owners operate on infamously thin margins, and excessive tort costs, rising insurance premiums, and inflation all make it more difficult for them to keep their doors open and workers employed,” she stated. Burns further added that ensuring plaintiffs only recover medical bills paid by an insurer is a “commonsense solution” that will promote fairness in Arkansas’ judicial system and end phantom damages.
The NFIB’s annual survey indicates strong support among its members for limiting excessive lawsuit awards in personal injury cases, with over 82% backing such legislation. Additionally, a study by the U.S. Chamber highlights that the average household in Arkansas incurs $2,942 in tort costs.
Katie Burns has urged the Senate to approve HB 1204 swiftly and send it to the Governor for signing into law.
