The president of Atlanta's largest association of multifamily housing owners says lawsuits and "jackpot jury verdicts" are hurting Georgia's reputation in the business community, driving investors and entrepreneurs to look to other states.
Jim Fowler, president of the Atlanta Apartment Association, made the comments in a March 5 editorial in James Magazine.
"Georgia’s standing as a great state to do business is losing its luster," Fowler wrote. "To blame are jackpot jury verdicts that have resulted in skyrocketing insurance premiums for housing providers, fewer insurers willing to provide coverage, and higher deductibles with policy exclusions and inadequate coverage."
"Worse, as these costs rise and risk intensifies, the more likely it is that housing providers, professional management companies and capital investment will leave Georgia to do business in neighboring states with more favorable legal climates," Fowler said. "The only way to stem this rising tide is through tort reform at the state legislature. And the time for reform is now."
Last August, Georgia Governor Brian Kemp called for the Georgia General Assembly to enact tort reform, telling the Georgia Chamber of Commerce that “laws on our books make it too easy to bring frivolous lawsuits against Georgia business owners which drive up the price of insurance and stop new, good-paying jobs from ever coming to communities that need them the most."
Chris Clark, CEO of the Georgia Chamber of Commerce, said rising car insurance costs are contributing to growing calls for tort reform.
Florida passed tort reform in 2023, leading the American Tort Reform Foundation (ATRF) to remove it from its "Judicial Hellhole" list.
Georgia ranked number one on the "Judicial Hellhole" list, replacing California in the top spot.
"Georgia state courts issue some of the country’s largest nuclear verdicts in state and superior courts, as personal injury lawyers cash in on plaintiff-friendly judges that benefit greatly from trial lawyer campaign contributions," ATRF said.
The Atlanta Apartment Association represents 350 companies managing more than 450,000 apartment homes, according to its web site.
Fowler assumed his role as president of the Atlanta Apartment Association in 2014, according to LinkedIn. Prior to taking on this position, he served as vice president of the Kellen Company, an association manager.