Significant progress was made on S. 244, the tort reform bill, this week. 

A compromise amendment addressing Sections 2-17 passed the Senate late Tuesday night. The amendment introduces meaningful improvements for businesses in South Carolina by promoting personal responsibility, providing clearer legal frameworks, enhancing predictability and reducing financial burdens.

Notably:

• Sections 2-5 target the high liquor liability rates affecting the hospitality industry. The measures aim to lower premiums, penalize bad actors, support reputable operators and enhance transparency in the liquor liability market through improved reporting.
  
• Sections 14 and 15 address challenges in the construction industry by removing provisions that allowed South Carolina to operate under an indefinite statute of repose.

Due to the excused absences of several senators due to illness, the decision was made to postpone consideration of Senator Massey’s amendment addressing Section 1: joint and several liability until next week. 

We remain committed to ensuring stronger legal protections for all businesses. Stay tuned for a full amended bill summary once the debate concludes.

Another bill taken up this week was H. 3497, commonly referred to as the Diversity, Equity and Inclusion (DEI) bill. The bill was amended in full committee to apply only to higher education, state agencies and quasi-state agencies. Under the current bill language, DEI programs cannot be mandated. Importantly, the bill does not impact Title IX compliance and draws language directly from the Civil Rights Act of 1964 regarding discrimination.

As Rep. Shannon Erickson clarified, “No private businesses will be impacted by this legislation.”

Rep. Tim McGinnis told reporters after the meeting, “I just don’t think we need to go in and tell private businesses that this is how you have to operate.”

The bill also includes carve-outs for grants and accreditation purposes. It is scheduled for a House floor vote next week.

We will continue to keep you updated on pertinent legislation in Columbia. If you have any questions or would like to get more involved, please email me at bvincett@charlestonchamber.org.

Have a great weekend!