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S.C. Chief Justice: Stable Judiciary Attracts Investment

February 9, 2012 — A strong court system should also be viewed as an economic development draw, said South Carolina Supreme Court Chief Justice Jean Toal during her State of the Judiciary address before the General Assembly Wednesday.
The core mission of the system -- to provide a fair, efficient forum for the resolution of disputes -- hasn't changed, said Toal.
But increasingly the state's judiciary is serving as a draw in businesses' pre-location considerations, she said. And "outsourcing" is now joined by "insourcing," due to the importance businesses place on a stable court system that protects their interests from piracy and other illegal activities.
"It's a highly important factor in economic development, as I am learning more and more as I interact with South Carolina and American business leaders on the importance of the courts here and abroad," the former legislator told the joint session from the House floor.
Toal said business courts that handle intellectual property, copyright, trademarks, and contracts represent "a significant consideration to the influx of such businesses as Amazon, BMW, Boeing, Bridgestone Firestone, Continental Tire, Michelin, and the many others who are now looking with new eyes at investment in South Carolina."
Her argument is one that advocates of other agencies, such the S.C. Department of Natural Resources, employ to press their case to state lawmakers focused on creating a business-friendly environment.
Toal, 68, started out in 1988 as an associate justice on the S.C. Supreme Court. She was re-elected in February of 1996 and was made chief justice in 2000. In 2004 the General Assembly re-elected her to a 10-year term.
In her address Wednesday, Toal reminded legislators of the growing expense of operating the judiciary.
In 2000, the department cost $46.5 million to run, and was funded almost entirely by state appropriations. Today however, the department costs $63 million to operate, and is funded 60 percent through appropriations, 30 percent through state fees and 10 percent federally funded.
She displayed data that show how burgeoning circuit court caseloads have landed South Carolina at the bottom of national rankings.
While the national average is 3.1 judges per 100,000 people, in South Carolina, the ratio is one judge per 100,000. Similarly, while the national average is 1,791 filings per judge, in South Carolina it is 5,011 filings per judge.
She said the spiking volume was affecting the system and the public, despite the department's efforts to increase efficiency and launch a variety of digitization initiatives.