Tiger Joyce, president of the American Tort Reform Association (ATRA), expressed concerns regarding Colorado's House Bill 1291. He said that the bill enables trial lawyers to bypass traditional tort law, inflate liability, and burden both rideshare companies and consumers with higher costs.
"Colorado already faces the seventh-highest tort tax in the nation, with residents paying nearly $2,000 each year and almost 100,000 jobs lost annually due to excessive litigation costs," said Joyce. "H.B. 1291 would only make matters worse by encouraging a new wave of lawsuits that do nothing to protect consumers and everything to enrich trial lawyers. If enacted, this bill would allow lawyers to sidestep traditional tort law requirements and tack on consumer protection claims to nearly every lawsuit involving rideshare operations, purely to threaten businesses with additional liability and drive-up settlement demands. This approach is unnecessary and risks increasing costs for rideshare companies, drivers, and riders alike."
According to ATRA, the organization is urging the Colorado Senate to reject HB 1291. They warn that it would open the door to widespread lawsuit abuse under the state’s Consumer Protection Act. ATRA argues that the bill would allow trial lawyers to bypass traditional tort law and add consumer protection claims to rideshare-related lawsuits, thereby inflating liability and settlement pressure. The group cautions that this could raise costs for rideshare companies, drivers, and consumers while enriching lawyers without significantly protecting the public. ATRA also warns that passage of the bill could earn Colorado a "Lawsuit Inferno" designation due to rising litigation costs already burdening residents and businesses. If passed by the Senate, ATRA calls on Governor Jared Polis to veto it.
Colorado’s HB 1291 has sparked intense debate, with Uber threatening to leave the state if it becomes law. The bill was originally prompted by a lawmaker’s personal experience of assault and has undergone major revisions, dropping controversial provisions like mandatory ride recording and real-time identity checks. It still mandates semiannual background checks, quick driver deactivation after complaints, and a private right of action for riders in cases of assault, injury, or death. Uber and Lyft oppose the bill due to high compliance costs, legal inconsistencies, and potential violations of arbitration law. Civil liberties groups also warn it creates unfair employment barriers.
Joyce's organization has labeled Colorado a "Lawsuit Inferno" in its latest Legislative HeatCheck report. This label comes amid a surge of liability-expanding legislation passed by the state’s Democratic-controlled legislature. Despite vetoes from Governor Polis on some controversial bills, lawmakers have advanced numerous measures creating new private rights of action and dramatically increasing caps on noneconomic damages through House Bill 1472. ATRA warns these changes will lead to excessive litigation, higher insurance costs, and economic strain. They estimate a $1,874 annual "tort tax" per resident and nearly 100,000 jobs lost statewide. According to their analysis, recent legislative actions have empowered trial lawyers at the expense of consumers and businesses.
A report from the U.S. Chamber’s Institute for Legal Reform highlights that lawsuit costs in the U.S. tort system are skyrocketing—reaching $529 billion in 2022—equaling 2.1% of national GDP and $4,207 per household. The average annual growth rate of tort costs has been 7.1% since 2016 and 8.7% for business-related cases; projections estimate these costs could exceed $900 billion by 2030. While intended to deliver justice for actual harms, some plaintiffs’ lawyers exploit the system through abusive lawsuits and deceptive advertising. In Colorado alone, tort costs total over $9.4 billion or 1.9% of state GDP with an average growth rate of 7.3%. These rising costs impact not just defendants but all consumers through higher prices and economic strain.
Sherman "Tiger" Joyce is a graduate of Princeton University and Catholic University Law School who served as Legislative Assistant to U.S Senator John C Danforth until 1984 before becoming minority counsel to Senate Committee on Commerce Science & Transportation where he worked on product liability legislation; he assumed his current position in August 1994.