HARRISBURG, Pa., Jan. 14, 2003 (PRIMEZONE) -- The Pennsylvania Chamber of Business and Industry today praised Senators Corman, Piccola, and the other co-sponsors of Senate Bill 50 for introducing legislation that will amend Pennsylvania's Constitution to allow for caps on non-economic damages in civil litigation in Pennsylvania.
"Senate Bill 50 represents yet another step in our long journey towards fairness, common sense, and personal responsibility in Pennsylvania's legal system," said Floyd Warner, President of the Pennsylvania Chamber of Business and Industry. "These legislators know the importance of addressing the many problems of Lawsuit Abuse and its effect on jobs and job opportunities."
Large jury awards dramatically impact businesses in this state and across the nation. Such awards lead to loss of jobs, reduction in economic status for employees, and reduced retirement assets for Pennsylvania employees. No industry group has seen more of an economic impact due to large jury awards than those companies that faced asbestos litigation. A recent study estimates that 60,000 workers lost their jobs after the companies for which they worked were forced into bankruptcy. The loss in employment status cost each employee between $25,000 and $50,000 in wages over their lifetime, and their retirement assets experienced a drop of approximately 25%.
"Governor-elect Rendell recently announced a few stop-gap measures designed to address the medical malpractice crisis here in Pennsylvania," Warner noted. "As the Chamber reviews the impact of these short-term solutions on business in Pennsylvania, we know for certain that what is truly needed are long range systemic changes to our judicial system. Caps on damages are a critical element in a comprehensive solution to the lawsuit abuse problem facing Pennsylvania and an essential ingredient in addressing the medical malpractice crisis in this state."
Last year, the General Assembly enacted legislation to correct the decades-old problems caused by Joint and Several Liability -- the archaic doctrine where defendants with minimal blame were made responsible for paying 100% of damages. Said Warner: "We thank our elected officials for taking on that initiative and we look forward to addressing yet another critical legal reform issue -- caps on non-economic damages."
With more than 10,000 members representing every county in the Commonwealth, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association and the fastest-growing state chamber in the United States.