Understanding Texas Tort Reform and Its Impact on Personal Injury Claims

When seeking compensation through a Texas personal injury claim, it is essential to know the laws that will impact your case and to understand the Texas legal system. Over the years, the legal system has undergone several reforms and seen diverse changes, one of the most significant being Texas tort reform, aimed to limit liability and reduce the number of lawsuits.

This blog will discuss all you need to know about Texas tort reform and its impact on personal injury claims. We’ll explore the key aspects of the reform, ensuring you have additional context when seeking justice.

We will clearly explain what we think you should know and answer your questions. We are committed to helping victims understand their rights, so we offer free initial consultations to discuss what to expect when filing a claim. Call us now at (713) 973-8888 or toll-free 1 (800) 444-5000 for a free and confidential consultation.

Why Hire Our Attorneys for Personal Injury Claims in Texas?

Insurance companies are never the friends of injury victims and are more likely to offer a lowball settlement or deny a claim to protect their bottom line. This is why, at Terry Bryant Accident & Injury Law, we leave no stone unturned in upholding our clients’ rights and safeguarding their interests. Having helped thousands of personal injury clients since 1985, we know the applicable laws and understand how the Texas legal system works.

Our personal injury lawyers are expert negotiators and trial lawyers who have recovered significant compensation, totaling more than $1 billion dollars. Our 98% positive online ratings and client testimonials show our successful track record. We serve victims throughout Texas, so wherever you are, you can contact us if you need a legal team to provide quality representation and that will fight to get you the best possible outcome.

Our seasoned lawyers and support staff will use their experience to help you daily and guide you in making the best decisions for your case. 

Understanding Texas Tort Reform

Tort reform is designed to change the legal system to reduce personal injury litigation and limit damage awards. Texas started making tort reforms in the 1980s and 1990s, but the most significant reform was House Bill 4 (HB 4), passed in 2003. House Bill 4 is also the last recorded tort reform act in Texas.

The push for tort reform started because of concerns over rising medical malpractice insurance costs and the fear that increasing litigation was affecting businesses and medical providers. Thus, tort reform was introduced to reduce litigation costs. Although rising medical malpractice insurance costs led to tort reform, it affected most personal injury claims, from car accidents to premises liability.

Key Provisions of Tort Reform in Texas

The following are the key provisions of House Bill 4:

Caps on Non-Economic Damages

In medical malpractice cases, non-economic damages like pain and suffering and emotional distress are capped at $250,000 per defendant. However, plaintiffs cannot receive more than $750,000 if there are multiple defendants. No caps were placed on economic damages, so victims can still receive up to the full amount they requested or the defendant’s policy limit. Note that the cap on non-economic damages applies to all personal injury claims in Texas, irrespective of injury severity.

Limit on Punitive Damages

Punitive damages are paid to punish defendants for their egregious or reckless conduct and deter them from repeating it. The tort reform capped the amount of punitive damages plaintiffs can receive. Punitive damages are limited to the greater of $200,000 or twice the amount of economic damages, plus up to $750,000 in non-economic damages.

Proportionate Responsibility (Modified Comparative Fault Rule)

Proportionate responsibility, or the modified comparative fault rule, allows plaintiffs to receive compensation even if they have shared fault. If the plaintiff’s fault percentage does not exceed 50%, they can receive compensation. So, if you are 48% liable for the accident or event that harmed you, you will receive 52% of the amount paid as settlement or awarded in a verdict.

The Texas tort reform allowed parties in a personal injury claim to consider shared fault when negotiating a settlement, to prevent lengthy legal battles.

Medical Malpractice Reforms

Under House Bill 4, two significant medical malpractice reforms occurred. First, plaintiffs in a medical malpractice claim must typically submit an expert report within 120 days of filing a lawsuit. (*Always speak directly to an attorney for the exact deadlines that apply to your potential claims.) Second, emergency care doctors are protected from most lawsuits if they provide care in good faith. However, they can be sued if they were grossly negligent, there was wilful or wanton misconduct, when providing care.

Expert Testimony Requirements

The tort reform provisions set strict requirements for calling expert witnesses. These witnesses must have adequate qualifications and expertise to provide valuable insights into a case. Thus, only qualified professionals can serve as expert witnesses and offer only expert opinions, reducing the possibility of biased testimonies.

Limits on Product Liability and Asbestos Lawsuits

Generally, if a product meets federal safety requirements, the manufacturer is protected from liability. However, tort reform added an extra layer of security. It led to stricter standards for asbestos and silica-related claims, preventing fraudulent or excessive lawsuits.

The Impact of Tort Reform on Personal Injury Claims in Texas

Tort reform in Texas significantly impacted how personal injury claims are handled, affecting plaintiffs, defendants, legal professionals, and insurance companies. Below are some of the ways the Texas tort reform act impacted claims:

• Reduction in Personal Injury Lawsuits: The tort reform act reduced the number of personal injury lawsuits by introducing stricter filing times for medical malpractice lawsuits, caps on damages, and the proportionate liability rule.
• Lower Malpractice Insurance Premiums: Due to caps on non-economic damages, doctors and hospitals pay lower insurance costs, attracting more healthcare providers to Texas. However, it also made it harder to fully hold negligent doctors and other healthcare providers accountable for their actions.
• Defendants Have More Leverage: Placing caps on settlements meant that plaintiffs got less than they would have before the reform. As a result, defendants had more leverage, and insurance companies were less inclined to settle quickly.

In addition to the above, caps on punitive damages mean that the compensation paid by the defendant in order to punish them for their wrongdoing will not adequately reflect the severity of their actions.

Getting Justice Despite Tort Reform

Although Texas tort reform favors defendants and insurance companies, victims can work around the new constraints to ensure their rights are not infringed on and they get the desired outcome. We recommend taking the following actions to protect your case:

Take Prompt Action

Timing is essential when filing a personal injury lawsuit. In Texas, you typically have two years to take legal action; failing to do so within that time means forfeiting your right to sue. However, in many cases, there are notice requirements and other deadlines that may apply within a much shorter timeframe. Also, remember the typical 120-day deadline for filing the expert report if it is a medical malpractice case. (*Therefore, always speak directly to an attorney for the exact deadlines that apply to your potential claims.)

Gather Evidence

You need evidence to build a strong case and prove the other party was responsible for your injuries. The type of personal injury case determines the proof required, but it must include your medical records, accident/incident report, witness statements, and other forms of documentation.

Get Legal Representation

Texas personal injury claims are never straightforward, compounded with the intricacies of tort reform. Therefore, get legal representation. Our qualified attorneys can guide you through the process and work tirelessly to get you fair compensation.

We Are Here to Help You With Your Personal Injury Claim in Texas

Personal injury claims can be challenging and complex, but our team at Terry Bryant Accident & Injury Law has helped Texas injury victims since 1985 and will leverage their experience and knowledge in their fight to get you justice. We will handle your claim from start to finish, including investigating, gathering evidence, negotiations, and, as needed, taking your case all the way to trial. Call us now at (713) 973-8888 of toll-free 1 (800) 444-5000 for a free and confidential Texas personal injury case review.