Comparative negligence is a legal doctrine that determines how fault is shared when multiple parties contribute to an accident. Under pure comparative negligence (used in Mississippi and Louisiana), an injured party can recover damages even if they are 99% at fault — their award is simply reduced by their percentage of fault. Under modified comparative negligence (used in Tennessee, Georgia, Wyoming, and Florida), an injured party cannot recover if they are 50% or 51% or more at fault, depending on the state. Alabama and North Carolina use contributory negligence, which bars recovery entirely if the plaintiff is even 1% at fault. See how this affects GL claims in North Carolina.
For business owners, understanding your state comparative negligence rule matters because it affects how likely you are to face successful lawsuits. In contributory negligence states like Alabama, plaintiffs have a harder time recovering — but if they do, your business pays 100%. In pure comparative negligence states, partial payouts are more common. Adequate general liability limits protect your business regardless of the rule. Get a GL quote from Bridgeway to make sure you are properly covered.
