Uber Leads Charge on New Push for Tort Reform

Uber is looking for new passengers as it seeks to curb personal injury lawsuits against it. Uber has set aside $462 million for the last quarter of 2024 for legal, tax, and regulatory matters. Uber’s CEO cited higher costs from insurance coverage for the increased costs to consumers. The company contends that its prices have increased by about 50% per trip over the last three years in states like California, Georgia, Nevada, and New Jersey. The cost of rides is the top reason customers don’t use ridesharing services more often.

Uber’s push for tort reforms comes at a time when many Americans are still concerned about inflation and the price of insurance. Uber has pushed a national ad campaign for changes in insurance policies that Uber and other companies claim have been exploited by personal injury lawyers.

Tort Reform Campaigns are Misguided

Tort reform refers to changes in the civil legal system that aim to reduce the ability of plaintiffs to bring lawsuits or at least to reduce the amount of money they can recover from a lawsuit. Tort reform advocates argue that many lawsuits filed are frivolous or that lawsuits are too expensive to defend against. Tort reforms are periodically advocated for every few decades in the United States, particularly by large companies that have recently lost lawsuits, such as McDonalds after the infamous hot coffee case in the 1990s. Proposed reforms have included:

• Limits on punitive damages, non-economic damages, and other types of damages.
• Eliminating judicial elections.
• Use of court-appointed experts.
• Limiting the venue or jurisdictions where a lawsuit can be filed.
• Eliminating pre-judgment interest.

There is a narrative underlying tort reform that lawsuits are frivolous or too expensive. However, most personal injury suits seek to recover damages for medical costs from injuries due to automobile accidents, coffee spills, or other accidents. If settlements or verdicts for trial are expensive, it is because the medical bills are often that high.

Targeting personal injury lawyers overlooks the larger issue – America’s healthcare system promotes litigation due to the costs of healthcare. There are legitimate claims involving real people who need help with extensive medical expenses. Many plaintiffs incur these bills not by their own fault, but because of an accident that was out of their control. Although there are some cases where a plaintiff may exaggerate or even fabricate their injuries, the legal system and defense lawyers are more than capable of separating the viable cases from the false positives. Instead of attempting to influence the public, Uber should focus on retaining better drivers or reforming the healthcare system that led to six or seven-figure medical bills that require a patient to litigate just to remain solvent.      

Do I Need the Help of a Personal Injury Attorney?

If you have sustained a personal injury through the unlawful act of another, then you should contact a personal injury attorney. A skilled personal injury lawyer near you can review the facts of your case, go over your rights and options, and represent you at hearings and in court.