The American Tort Reform Association (ATRA) has placed New Jersey on its “Heat Watch” list in the new Legislative HeatCheck, citing potential liability-expanding legislation that could worsen the state’s legal climate.
“While New Jersey lawmakers are still in session, we’re seeing several concerning pieces of legislation advance that would significantly expand liability if enacted into law,” said Tiger Joyce, ATRA president.
One notable bill is the proposed “Green Amendment,” sponsored by Democratic Senators Linda Greenstein and Andrew Zwicker. Senate Concurrent Resolution 43 aims to enshrine a “right to a clean and healthy environment” in the state constitution. If passed, this would allow private litigants to bypass regulatory processes by filing lawsuits against the state under the New Jersey Civil Rights Act to enforce this environmental right.
“The Green Amendment is a litigation vehicle masquerading as an environmental protection measure,” Joyce stated. “Its potential to generate rampant litigation by allowing claims over any perceived lack of environmental regulation is deeply troubling for New Jersey businesses.”
Excessive tort costs in New Jersey impose a $1,757 “tort tax” on every state resident annually while sapping 149,241 jobs statewide.
“With a legislature dominated by allies of the personal injury bar, New Jersey is poised to continue its litigious trajectory unless leaders prioritize rebalancing the state’s civil justice system,” Joyce added.
New Jersey’s Democratic-controlled legislature includes Senate President Nicholas Scutari, a personal injury lawyer who actively opposes civil justice reform. With substantial campaign contributions from plaintiffs’ attorneys to both parties, advocates face significant challenges against liability expansions.
A bill that could improve the state’s civil justice environment is the “Consumer Legal Funding Act,” which seeks to regulate lawsuit lending. Bill A1931 is sponsored by Democratic Assemblywoman Ellen J. Park and its Senate companion, Bill S1475, is sponsored by Democratic Senator John McKeon. However, this legislation has not progressed during the current legislative session and faces expected resistance from the trial bar.
New Jersey remains a fixture on the American Tort Reform Foundation’s annual “Judicial Hellholes®” report and was included on its 2023-2024 “Watch List” due to last year’s influence of trial lawyers over lawmakers.
ATRA’s Legislative HeatCheck report evaluates select states’ progress in enacting meaningful tort reform measures during their most recent legislative sessions.
New Jersey joins California and Michigan on ATRA’s “Heat Watch” list. The full Legislative HeatCheck report can be accessed at heatcheck.atra.org.
