A coalition of county commissioners from across Minnesota have formally voiced their opposition to a bill in the legislature that they claim would grant wealthy trial lawyers a pay raise at the expense of the state’s families and businesses.
The commissioners say that if passed by the Minnesota State Senate, SF 528 would grant personal injury lawyers – on behalf of their clients – damages and attorney fees from insurance companies that are over and above what is already allowed under law. Attorneys would not have to prove any wrongdoing on the part of the insurance companies, according to the commissioners’ release.
The House version of the bill, HF 417, was approved April 16.
In an open letter to Minnesota state senators, Commissioner Bill Pulkrabek, vice chair of the Washington County Board of Commissioners, and 14 other signatories urged the legislative body to reject the bill, calling it “a pay increase for wealthy trial lawyers paid for by Minnesota consumers.”
Insurance companies already operate under regulations that punish bad faith, and current regulations protect consumers and penalize insurance companies if they act unreasonably, they said.
“The insurance industry is one of the most highly-regulated industries in America,” the letter states. “Current regulations protect consumers and penalize insurance companies if they act unreasonably. We don’t need another law that further enriches wealthy trial lawyers at the expense of Minnesota’s consumers. A climate that invites frivolous lawsuits increases the cost of doing business, with working families and small businesses picking up the tab.
“This proposal is bad for business, especially small business,” the letter continues. “Companies will spend more on liability insurance and avoiding lawsuits. That means they won’t spend money on improving their facilities, buying new equipment, creating new jobs, and increasing the wages and benefits of current employees.”
Critics of the bill are also urging Governor Tom Pawlenty to oppose the measure.
Source: Office of Bill Pulkrabek, Vice Chair, Washington County Board of Commissioners
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