Press Releases

Local CPA Testifies on Need for Civil Justice Reform in Pennsylvania

HARRISBURG, Pa. – Eric P. Wallace, a certified public accountant from Pittsburgh, testified on the need for civil justice reform before the Pennsylvania House Republican Caucus this week.

Wallace, president-elect of Pennsylvania Institute of Certified Public Accountants (PICPA), was one of various professional representatives urging legislators to reform Pennsylvania’s doctrine of joint and various liability doctrine. Wallace explained the unfairness of the doctrine that allows for “deep pocket” parties, who may not be responsible for any wrongdoing – or who may only be responsible for a fraction of a claim – to be found fully financially liable in a lawsuit.

Many accountants and accounting firms have suffered under the unfair burden of this doctrine, as well as many in the medical profession. Wallace voiced his support for House Bill 850, also known as the Fair Share Act, which would replace joint and several liability with a more just system of proportionate liability.

Wallace, a partner and coordinator of construction and real estate services for Carbis Walker LLP in Pittsburgh, believes these lawsuits are costing CPA firms large sums of money, both to litigate and to settle. Consequently, insurance costs have soared, resulting in firms dropping their liability insurance policies, without which they are far more vulnerable to bankruptcy.

Founded in 1897, the Pennsylvania Institute of Certified Public Accountants is a professional association of more than 19,000 CPAs who work in public accounting, industry, government, and education. PICPA is the second-oldest state CPA organization in the United States. To find a member CPA in your area, visit our Web site at www.picpa.org and click on CPA Locator. Students and educators can visit PICPA's specially designed site www.CPAzone.org to get the latest information about careers in accounting and the CPA profession.