After Bumpy 100-Year Ride, Georgia Legislature Taps Brakes on Direct-Action Litigation Against Liability Insurers of Motor Carriers

John Bonnie and Steve Rapp
Daily Report
March 20, 2024

In an article published on March 20, 2024, in the Daily Report, John Bonnie and Steve Rapp discuss changes to Georgia’s direct-action statutes regarding motor carrier liability insurers, bringing the state into line with all but three other states.

“Revisions to Georgia’s two direct-action statutes (O.C.G.A. Sections 40-1-112 and 40-2-140) will largely prevent a plaintiff from directly suing a motor carrier’s liability insurer in the absence of a judgment, ending a nearly 100-year-old peculiarity in Georgia law that was at odds with the otherwise universal prohibition on direct-action claims against liability insurers,” say Bonnie and Rapp. “This change in perspective and the resulting amendments to the direct-action statutes are noteworthy examples of the evolution of circumstances over time and the adaptation of law and public policy to reflect those changes.”

Subscribers can access the full article here.

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