Tiger Joyce, president of the American Tort Reform Association (ATRA), has expressed concerns regarding Colorado’s recent legislative activities, which he believes will increase costs and limit small-business investment.
“Colorado lawmakers seem hell-bent on making it easier and more lucrative to sue, while doing little to help the people who actually drive their state’s economy,” said Joyce. “The sheer volume of liability-expanding bills introduced this year is staggering. Every dollar spent fighting meritless lawsuits is a dollar not spent on hiring, innovation, or serving customers. Colorado’s small businesses are being squeezed from every direction, and families ultimately pay the price through higher costs and fewer job opportunities.”
According to ATRA’s 2025 Legislative HeatCheck report, Colorado has been labeled a “Lawsuit Inferno” due to a surge in proposals expanding civil liability and introducing new private rights of action. This designation places Colorado among several jurisdictions that ATRA views as aggressive in lawsuit expansion. The report argues that such trends deter investment and burden consumers with higher prices, although it notes some vetoes and blocked measures during the session.
Coverage of the HeatCheck findings highlighted the extent of legislative activity: during the 2025 session, Colorado lawmakers introduced 45 bills aimed at creating new private rights of action or broadening existing liabilities. More than half of these were enacted, according to local summaries based on reports from ATRA and the Colorado Civil Justice League (CCJL). This volume of proposals underscores business concerns about a more challenging litigation environment and rising defense costs.
Colorado’s small-business ecosystem is both large and dynamic. According to the Small Business Administration’s (SBA) 2025 state profile, between March 2023 and March 2024, there was a net gain of 1,189 establishments with 32,161 openings and 30,972 closures. Opening and expanding establishments added 291,067 jobs while closing and contracting ones lost 294,283 jobs, resulting in a slight net decline. Small firms accounted for most openings and a significant share of job turnover, highlighting how regulatory and legal changes can impact Main Street businesses.
Sherman “Tiger” Joyce has led ATRA since 1994 as president and chief executive officer. Under his leadership, ATRA has built national coalitions advocating for civil justice reforms and published research like Judicial Hellholes and Legislative HeatCheck to spotlight jurisdictions and trends.
