According to the 2019 Lawsuit Climate Survey, Louisiana ranks second-worst in the nation in the eyes of business owners. The study was released by the US Chamber Institute for Legal Reform and COO Harold Kim says the state has poor rankings thank to two ontributing factors.
“It’s probably a combination of the structure and the people," Kim said. "When we talk about the people, it’s not the wonderful people who live in Louisiana, but trial lawyers who are driving a culture of litigation.”
Kim says the results are important as many business decisions made by companies can hinge on the litigious environments.
“It’s a pretty hostile territory for businesses to operate," he said. "You’ve got to make payroll, you pay taxes. Your oil and gas industry is under complete assault.”
Kim says the environment is impacting insurance rates, adding the state needs to send a message to businesses that Louisiana is moving toward an environment that won't be steered by trial lawyers.
“It starts with perception, it starts with giving confidence that your legal system is at least aimed at creating some modicum of the rule of law and some consistency and some predictability,” said Kim.
