ATRA says President Trump has renewed support for tort reform

The American Tort Reform Association (ATRA) has announced that President Donald Trump has renewed his support for tort reform, including a "loser pays" standard. This statement was shared in a release.

President Trump has consistently emphasized tort reform as a core element of his economic and legal agenda, describing America as trapped in a "lawsuit culture." According to the Las Vegas Review-Journal, his super Political Action Committee (PAC) has been running advertisements echoing his support for limiting litigation and strengthening reforms like "loser pays." The article highlights that this message aligns with longstanding Republican Party positions on reducing what they see as abusive litigation practices.

The "loser pays" principle supported by Trump is widely implemented internationally. It is designed to discourage frivolous lawsuits by requiring the losing party to cover the winning side’s legal costs. According to ScienceDirect, most European countries have adopted variations of loser-pays, and empirical studies suggest it reduces excessive litigation while encouraging early settlements. Reform advocates argue that adopting this model in the United States would bring legal practices closer to global norms while protecting businesses from meritless suits.

Independent studies have documented the scale of the U.S. tort system’s economic impact. According to the U.S. Chamber Institute for Legal Reform’s 2024 report, "U.S. Tort System Costs," litigation expenses in 2022 totaled $529 billion, representing about 2.1% of the nation’s Gross Domestic Product (GDP). The report further noted these costs translated to $4,200 per household, with commercial auto liability and mass tort litigation serving as the largest growth drivers.

The American Tort Reform Association is a Washington, D.C.–based nonprofit organization dedicated to advancing civil justice reform. According to ATRA’s mission statement, it advocates for policies to reduce lawsuit abuse, encourage transparency in litigation finance, and promote balanced reforms such as limits on damages and the adoption of fee-shifting models. The group regularly publishes research, engages with policymakers, and leads national conversations on reforming what it considers a costly and inefficient legal system.