麻豆传媒映画

A leading expert on lawsuit abuse says the U.S. Congress must act quickly to adopt reforms to protect businesses from excessive litigation as society starts to reopen.  

One of the biggest fears businesses have right now is that they will be the target of lawsuits related to COVID-19, Harold Kim, president of the U.S. 麻豆传媒映画 of Commerce Institute for Legal Reform told 麻豆传媒映画. 

鈥淚鈥檝e been doing legal reform for nearly 20 years now and I have never seen a groundswell of concern about the liabilities that are going to emerge out of the coronavirus outbreak,鈥� said , who is recognized as a leader in helping to reshape the nation鈥檚 litigation climate.    

鈥淚t doesn鈥檛 really matter if you are a Fortune 500 business or a coffee shop in downtown Phoenix,鈥� he said. 鈥淭hese are real issues and the fear and the concern and the cloud of liability is something that policymakers in Washington — but also throughout the country —  are taking a really close look at because it’s a huge, huge issue as the country starts to reopen and restarts the economy moving forward.鈥�  

Protections needed coast-to-coast 

Litigation reforms are needed to address the unique challenges of COVID-19, said Kim, who applauded Arizona and other states that have passed measures or are moving forward to adopt similar laws to protect industry. On Monday, the Arizona House Rules Committee approved the introduction of a bill to provide protections for businesses and organizations that follow safety guidelines to prevent outbreaks of the disease.  

The best way to move forward is an 鈥渁ll hands on deck鈥� approach to the problem with both the federal government and state legislatures enacting protections to assure liability concerns are covered coast-to-coast, Kim said. 

Liability reforms, however, would not protect companies or employers that engage in recklessness or wilful or gross negligence involving COVID-19, he said. 

鈥淲e are encouraging Congress to enact at the federal level a safe harbor for companies to receive liability protections if they follow the CDC and/or state or local guidance when it comes to social distancing; when it comes to protective equipment,鈥� he said. 鈥淎nd it’s important for companies and businesses, and even churches, and childrens鈥� care centers, and charities, that they know what the standard of care is in moving forward.

鈥淚f you have that standard of care then you should not be subject to a negligence lawsuit.鈥�

Four critical areas for protection 

The Institute is recommending four areas for protection in the next federal stimulus package:

Exposure 

As businesses open up, they are vulnerable to lawsuits from customers and employees who may claim they did not take reasonable precautions to safeguard against the virus. Businesses that follow state and federal guidelines for protections would be shielded from these kinds of claims. 

Product liability 

Manufacturers and other businesses that have been taking measures to help fight COVID-19 including producing personal protection equipment (PPE) and hand sanitizers. Individuals or companies who voluntarily provide PPE also would be protected. 

Medical liability 

Front line medical workers who care for coronavirus patients.

Securities class action lawsuits 

Companies that had to take actions in response to the coronavirus would be shielded from class action lawsuits claiming those actions caused stocks prices to drop.

鈥淭he things we鈥檙e focused on doing in Washington is to look for reforms that are timely because it’s got to happen quickly,鈥� Kim said. 鈥淭his can鈥檛 happen over the course of the next five years. It will be too late. They have to be targeted so that they鈥檙e narrow enough and tailored enough to address the solutions and they have to be temporary so that it responds to the COVID-19 crisis.鈥�

Historically, Congress has come together as a bipartisan force to address liability reform after other disasters and major events like 9/11 and Y2k, Kim said. Now, is the time for lawmakers to do it again. 

Americans support protections against COVID-related lawsuits 

Most Americans support the idea of protections for businesses, according to a national released this month by the Institute for Legal Reform. A coalition of Republican, Democrat and Independent voters were polled for the survey. 

More than six in 10 Americans believe that Congress should extend liability protections to employers. 

Other findings reveal that:   

-84 percent of Americans believe essential businesses like grocery stores and pharmacies need protection from lawsuits related to the coronavirus

-82 percent believe that — aside from cases of gross negligence — employers who follow public health guidelines to protect their onsite customers should be shielded from exposure lawsuits

-75 percent agree that makers of hand sanitizers and other cleaning products should be protected as well

Safety guidelines protect businesses and consumers

It鈥檚 clear that many Americans support these kinds of protections as long as businesses act responsibly and follow guidelines laid out by the CDC and the states, said Glenn Hamer, president and CEO of the Arizona 麻豆传媒映画 of Commerce and Industry. 

鈥淚f this is done right, this is part of the solution in terms of not just economic health but  physical health. By bringing that safe harbor and encouraging good behavior you鈥檙e going to have safer workplaces and safer places for customers to visit.鈥�