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Legal System Abuse: What’s driving it and what businesses can do

Legal system abuse, a term describing tactics designed to increase the size and frequency of liability settlements and court verdicts, has an impact far beyond the courthouse.

This trend is forcing U.S. businesses and communities to pay a steep price, in the form of legal expenses, higher insurance costs, reputational damage, and more.

Key insights

Widening impact: Legal system abuse creates a ripple effect that is spreading well beyond the courthouse. As businesses struggle with the financial burden of litigation, legal system abuse also is impacting employees, families, and communities.

Trend drivers: Multiple factors are driving legal system abuse, and three are considered leading contributors. These are attorney advertising, changing attitudes toward lawsuits, and third-party litigation funding.

Mitigation strategies: Despite the nationwide trend in legal system abuse, businesses can take action to reduce their exposure to litigation. Improving risk governance, working with professional risk advisors, and engaging with stakeholders can help organizations defend against aggressive legal tactics.
 

Making the case for litigation risk management

Defend your organization from legal system abuse by taking action to mitigate liability risks.

Build your legal shield.