The 2023 Kansas Competitiveness Blue Book compares data-driven information on the state’s economic health to the rest of the country on how it performs in a number of key indicators.
A project of the Kansas Chamber Education Foundation, Kansans are encouraged to use the Blue Book as a resource as we work together to remove barriers to our state’s business and economic success to increase prosperity for all Kansans.
This spotlight on how Kansas competes in Legal Reform is the eighth and final in a series of spotlights.
Spotlight on Legal Reform
Kansas must improve its legal climate by reducing incentives for litigation that disproportionately awards plaintiffs.
Businesses Rank Kansas 19th Worst in the U.S. for Its Liability System
Blue Book data point: The Institute for Legal Reform’s ranking of state liability systems puts Kansas at 32nd in the nation for legal fairness and reasonableness. Three neighboring states scored significantly better: Nebraska (8th best), Oklahoma (13th best), Colorado (18th best). Only neighboring Missouri scored lower with the 7th worst liability system in the U.S.
Why it matters: The business community’s experiences with and views of a state’s liability system can have a direct impact on that state’s job growth and company attraction opportunities, with 89% of businesses reporting that such factors do influence important decisions about where to locate or do business.
Kansas Scores Better Than Average in Two Liability System Subcategories
Blue Book data point: Although Kansas’ overall liability system ranking is considerably below average, the state does better than average in the two subcategories of “judges’ competence” and “jury fairness,” with rankings of 24th and 22nd in the nation respectively.
Why it matters: The score for “judges’ competence” was a five-spot improvement in the state rankings, a rare bright spot in light of the overall below-average score. Similar improvement will be needed in other subcategories such as “treatment of class actions” and “quality of appellate review” to significantly improve the business community’s view of the quality of the Kansas legal system.
Takeaway
This was Kansas’ worst overall showing in the Institute for Legal Reform’s ranking of state liability systems, with declines in nine subcategories, including a 31-position drop in the “treatment of class actions” category.
At the same time, Kansas has become the 18th best state for trial lawyers as our court system has eroded protections and expanded liability against businesses and individuals.
To improve conditions, we should enact legislation that requires disclosure of third-party financing of litigation and that lowers pre-judgement interest rates to bring Kansas in line with other states.
Click here to read more about how Kansas competes in the 2023 Blue Book.
