Houston Daily

A user on X, identified as Texas Patriot Mike and a former U.S. Air Force officer, has expressed concerns over the increase in frivolous lawsuits by unprincipled attorneys. He argues that this trend has heightened corporate risk, contributing to overregulation and rising costs that outpace wage growth.

"It's simply complicated," said Patriot Mike. "Drove up corporate risk. Which caused over regulation, thus driving up cost faster than wages."

According to the U.S. Chamber of Commerce, the U.S. tort system has been under scrutiny due to its escalating costs and inefficiencies. In 2020, the system incurred $443 billion in costs and compensation, equating to 2.1% of the U.S. GDP and $3,621 per household. Notably, only 53 cents of every dollar paid in the tort system reached claimants, with the remainder consumed by litigation costs and other expenses.

Excessive litigation imposes a significant financial burden on the U.S. economy. The American Tort Reform Association (ATRA) reports that such litigation costs amount to $367.8 billion annually, leading to the elimination of 4.8 million jobs and stifling innovation.

The National Law Review highlights that small businesses are disproportionately affected by frivolous lawsuits. The National Federation of Independent Business states that defending against such lawsuits can cost small companies an average of $100,000.

Texans for Lawsuit Reform found that Texas law has evolved over decades to deter frivolous lawsuits by requiring pleadings to be grounded in fact and law, with courts empowered to impose sanctions for violations.

According to his X profile, Texas Patriot Mike is a retired U.S. Air Force veteran with 28 years of service, a former small business owner, and a stroke survivor who now enjoys traveling.