ATRA warns of increased litigation risks in Maryland's latest legislative actions

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Bailey Aragon Director Of Public Affairs | American Tort Reform Association

The American Tort Reform Association (ATRA) announced today that the Maryland Senate is creating a “Lawsuit Inferno” in its new Legislative HeatCheck report, citing the upper chamber’s focus on liability expansion.

“Maryland faces a litigation wildfire due to the trial lawyer lobby’s stranglehold over state lawmakers, particularly those in the Senate,” Tiger Joyce, president of ATRA said. “Legislative leaders’ inability to stand up to the personal injury bar’s agenda is crippling businesses, jobs and access to affordable goods and services.”

ATRA identifies Senate Bill 452 as the most problematic liability-expanding measure passed this session. The bill bans liability waivers at most recreational facilities across Maryland, potentially exposing a wide range of businesses — from camps and fairs to agritourism and sporting events — to costly lawsuits over minor incidents.

“We are deeply disappointed that Maryland lawmakers and Gov. Moore eliminated these reasonable liability protections,” Joyce said. “This new law puts family entertainment and recreation jobs at risk while inviting a litigation free-for-all against small businesses.”

According to ATRA, Maryland residents already pay a $1,576 “tort tax” each year due to excessive tort costs, with nearly 89,000 jobs being sapped from the state’s economy annually. These costs are expected to increase following this year’s legislative session.

The Senate also advanced Senate Bill 538, which would have drastically increased limits on noneconomic damages in injury cases from $935,000 to $1.75 million — an 87% spike. Although the House did not vote on the bill this year, its passage in the Senate highlights what ATRA calls Maryland’s lawsuit crisis.

“Allowing such excessive awards for subjective damages like ‘pain and suffering’ inevitably leads to unpredictable ‘nuclear’ verdicts driven by emotion over facts,” Joyce said. “This bill represents an open invitation for runaway litigation that would result in higher costs for Maryland drivers, homeowners, and businesses. We find some encouragement, however, in the House’s refusal to entertain a vote on this bill.”

Maryland's legal climate has placed it on the American Tort Reform Foundation’s Judicial Hellholes® “Watch List” for years due to its lawsuit-friendly environment.

“Rather than reverse course, Annapolis lawmakers continue capitulating to the trial bar’s agenda by entertaining liability expansions like these,” Joyce said. “ATRA urges state leaders to finally pursue reasonable legal reforms that promote affordability and access to justice.”

ATRA's Legislative HeatCheck report evaluates select states' progress — or lack thereof — in enacting meaningful tort reform measures during their most recent legislative sessions.

The Maryland Senate was named a “Lawsuit Inferno” alongside state lawmakers in Colorado, Missouri, New Hampshire, and New York. The full Legislative HeatCheck report is available at heatcheck.atra.org.

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