Senate Limits Class-Action Lawsuits
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From The Washington Post (http://www.washingtonpost.com). Headline is linked.
Senate Limits Class-Action Lawsuits
By Jesse J. Holland
Associated Press Writer
Thursday, February 10, 2005; 4:15 PM
The Senate approved a measure to help shield businesses from major class action lawsuits on Thursday, giving President Bush the first legislative victory of his second term.
Under the legislation, long sought by big business, large multistate class action lawsuits like the ones that have been brought against tobacco companies could no longer be heard in small state courts. Such courts have handed out multimillion-dollar verdicts.
Instead, the cases would be heard by federal judges, who have not proven as open to those type of lawsuits.
The Senate passed the bill 72-26. The House is expected to take it up next week and send it to President Bush for his signature.
"The Senate has taken a critical step toward granting families, consumers and employers relief from the heavy burden of lawsuit abuse," said Thomas Donohue, president of the U.S. Chamber of Commerce. "Now it's time for the House to finish the job and take back our civil justice system from plaintiffs' lawyers seeking jackpot justice."
The Association of Trial Lawyers of America said insurance, tobacco, drug, chemical and other companies had financed the push to get the legislation through the Senate. "Every American's legal rights are diminished by this anti-consumer legislation," said association president Todd A. Smith said.
Bush and other bill supporters -- who have pushed for the legislation for almost six years -- say it is needed because greedy lawyers have taken advantage of the state system by filing frivolous lawsuits in state courts where they know they can get big verdicts.
Senators who back the bill say lawyers make more money from such cases than do the actual victims, and that lawyers sometimes threaten companies with class action lawsuits just to get quick financial settlements. Regular people, they assure, will not lose their day in court.
Opponents say Bush and other bill supporters are trying to help businesses escape proper judgments for their wrongdoing -- and also to hurt the trial lawyers who litigate the cases, some of whom are big Democratic contributors.
"Are there bad lawyers that bring meritless cases? Sure there are, and we should crack down on them," said Senate Democratic leader Harry Reid of Nevada, a former trial lawyer. "But this bill is not about punishing bad lawyers. It is about hurting consumers and helping corporations avoid liability for misconduct."
... more at linked article
YES!!!
This should be considered a victory for all.
Though the Trial Lawyer's hate this, and some will scream that victims will be hurt (as noted in some of the comments in the article), this should bring back some sanity to the legal system.
Additional improvements are still needed -- including implementing "loser pays" and other similar penalties that would discourage people from bringing frivilous lawsuits -- these measures should help to repair a badly broken system.
As usual, I would expect no less than to have the Democrats (such as Sen. Harry Reid) crying that this will hurt the everyman. Nothing is farther from the truth.
Let this just be the opening salvo in the battle of tort reform. Please.
Senate Limits Class-Action Lawsuits
By Jesse J. Holland
Associated Press Writer
Thursday, February 10, 2005; 4:15 PM
The Senate approved a measure to help shield businesses from major class action lawsuits on Thursday, giving President Bush the first legislative victory of his second term.
Under the legislation, long sought by big business, large multistate class action lawsuits like the ones that have been brought against tobacco companies could no longer be heard in small state courts. Such courts have handed out multimillion-dollar verdicts.
Instead, the cases would be heard by federal judges, who have not proven as open to those type of lawsuits.
The Senate passed the bill 72-26. The House is expected to take it up next week and send it to President Bush for his signature.
"The Senate has taken a critical step toward granting families, consumers and employers relief from the heavy burden of lawsuit abuse," said Thomas Donohue, president of the U.S. Chamber of Commerce. "Now it's time for the House to finish the job and take back our civil justice system from plaintiffs' lawyers seeking jackpot justice."
The Association of Trial Lawyers of America said insurance, tobacco, drug, chemical and other companies had financed the push to get the legislation through the Senate. "Every American's legal rights are diminished by this anti-consumer legislation," said association president Todd A. Smith said.
Bush and other bill supporters -- who have pushed for the legislation for almost six years -- say it is needed because greedy lawyers have taken advantage of the state system by filing frivolous lawsuits in state courts where they know they can get big verdicts.
Senators who back the bill say lawyers make more money from such cases than do the actual victims, and that lawyers sometimes threaten companies with class action lawsuits just to get quick financial settlements. Regular people, they assure, will not lose their day in court.
Opponents say Bush and other bill supporters are trying to help businesses escape proper judgments for their wrongdoing -- and also to hurt the trial lawyers who litigate the cases, some of whom are big Democratic contributors.
"Are there bad lawyers that bring meritless cases? Sure there are, and we should crack down on them," said Senate Democratic leader Harry Reid of Nevada, a former trial lawyer. "But this bill is not about punishing bad lawyers. It is about hurting consumers and helping corporations avoid liability for misconduct."
... more at linked article
YES!!!
This should be considered a victory for all.
Though the Trial Lawyer's hate this, and some will scream that victims will be hurt (as noted in some of the comments in the article), this should bring back some sanity to the legal system.
Additional improvements are still needed -- including implementing "loser pays" and other similar penalties that would discourage people from bringing frivilous lawsuits -- these measures should help to repair a badly broken system.
As usual, I would expect no less than to have the Democrats (such as Sen. Harry Reid) crying that this will hurt the everyman. Nothing is farther from the truth.
Let this just be the opening salvo in the battle of tort reform. Please.
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