U.S. Chamber Institute for Legal Reform warns SB 328 would harm business, economic growth

The U.S. Chamber Institute for Legal Reform has announced that leading business groups have urged Governor J.B. Pritzker to veto Senate Bill 328 (SB 328). They warn that the bill could negatively impact business attraction and economic development by expanding state court jurisdiction.

According to the U.S. Chamber Institute for Legal Reform, the Illinois Manufacturers’ Association sent a letter to Governor Pritzker on June 8, 2025, urging him to veto SB 328. The letter cited concerns that the bill would further strain Illinois’ already overburdened court system. It argued that the proposed shift from "specific" to "general" jurisdiction would make Illinois a magnet for lawsuits unconnected to the state, ultimately damaging local business recruitment and expansion. The association emphasized that such litigation policies create a hostile environment for investment and undermine economic growth prospects.

In a statement by the American Tort Reform Association (ATRA), it was noted that SB 328 would "encourage attorneys to file lawsuits in Illinois state courts," making the state more attractive for forum shopping by plaintiffs. ATRA warned this would reinforce Illinois’ reputation as a "Judicial Hellhole," deterring companies from locating or growing operations in the state. The group observed that similar legislation in other states has led to rising legal costs and a less competitive economic climate.

The American Property Casualty Insurance Association (APCIA) warned in Insurance Journal that SB 328 could increase insurance and litigation costs for Illinois businesses. Representing a large coalition of insurers and other companies, APCIA said these higher costs could ultimately be passed on to consumers through higher prices. The coalition also cautioned that businesses might choose to leave Illinois for states with more predictable legal environments, negatively impacting job creation and state revenues.

The U.S. Chamber Institute for Legal Reform is an advocacy and research arm of the U.S. Chamber of Commerce focused on promoting civil justice system reforms. According to its official website, ILR conducts research, provides policy recommendations, and advocates for legislation aimed at curbing lawsuit abuse and improving the legal environment for businesses. The group routinely collaborates with policymakers, industry coalitions, and legal experts to advance reforms supporting economic growth and addressing litigation trends nationwide.