New CALA Study Says Litigation Costs Californians $2,567 Each, Fueling Fresh Tort-Reform Push

Overview

• The CALA-commissioned Perryman analysis estimates a $2,567 per-person “tort tax” in California and about 850,915 jobs suppressed statewide.
• The report calculates $101.2 billion in annual losses to gross product and $64.5 billion in direct costs, with retail, business services, manufacturing and health services most affected.
• Estimated fiscal effects include $5.3 billion in lost state revenue and $4.4 billion less for local governments each year.
• Regional disparities are pronounced: the Bay Area shows a $4,297 per-person burden with 189,192 jobs lost, Los Angeles–Long Beach–Anaheim $3,972 and 427,377 jobs, and the Inland Empire $416 with 16,414 jobs.
• Advocates cite the data to urge action on measures like SB 84, highlighting small-business ADA claims such as an $11,000 restaurant settlement as examples of costs.