Commentary’s Jennifer Rubin notices:
A friend points out a little nugget of absurdity and political mendacity in the Pelosi health-care bill. Remember Obama’s effort to try a “test” for tort reform? (We don’t actually need a test, since it has worked to lower medical malpractice coverage and help increase access to doctors in states that have tried it.) Well, Pelosi’s bill has an anti-tort-reform measure. On pages 1431-1433 of the 1990-page spellbinder, there is a financial incentive for states to try “alternative medical liability laws.” But look — you don’t get the incentive if you have a law that would “limit attorneys’ fees or impose caps on damages.”
In other words, Congress is providing a financial incentive to uncap damages. Marvelous.
Tagged as:
medical,
Nancy Pelosi,
noneconomic damages,
politics,
tort reform,
trial lawyer earmarks
“It was obvious from the facts that she did not intend to steal any items from Wal-Mart,” says Denise Macon’s St. Clair County Circuit Court lawsuit, which seeks $150,000 plus punitive damages. Macon left the store with two unpaid items underneath her purse in the shopping cart, and claims this was just forgetfulness, but Wal-Mart called police who charged her with misdemeanor shoplifting. Macon was acquitted after a two-day trial and says she never should have been charged. The Wal-Mart security officer is a co-defendant, presumably to keep the case in state court by defeating complete diversity. (Kelly Holleran, “Shopper who forgot to pay for pajamas sues Wal-Mart over her arrest”, Madison-St. Clair Record, Oct. 7).
Tagged as:
Illinois,
personal responsibility,
Wal-Mart
Readers might remember the Mraz case, where a driver was run over by his own truck because he failed to engage the parking brake, and a jury nevertheless awarded $55 million. (March 8 and March 21, 2007.)
The Chrysler bankruptcy threw a wrench into the appellate process. Given the number of unsecured (and secured!) creditors who were taking a haircut on what Chrysler owed them, and the weakness of the case, one would expect the claim to be extinguished. But Chrysler unilaterally (and almost certainly politically) decided not to extinguish product-liability lawsuits against it, and the Mraz case has settled for $24 million. (Amanda Bronstad, “Chrysler bankruptcy judge approves $24 million personal injury settlement”, National Law Journal, Sep. 25). Of course, the likely $8-$10 million attorneys’ fee in this case is being funded by taxpayers’ bailout money.
Tagged as:
autos,
bankruptcy,
California,
Chrysler,
taxpayers
Let me whole-heartedly recommend the Federalist Society National Lawyers Convention coming up in November. The list of speakers–including Justice Alito, Judge Douglas Ginsburg, Judge Frank Easterbrook, former Judge McConnell, Judge Edith Jones, Richard Epstein, and on and on–is all you need to know, and the panels are designed to provide debate on the issues, including affirmative action, preemption, and bailouts. I learn something with every panel I attend. It’s not just for Federalists, and is perhaps the most entertaining source of CLE credit out there.
Tagged as:
Federalist Society
Two sisters were repeatedly raped and sexually abused by their older half-brother. This is, a federal jury decided, the fault of their pediatrician, Dr. Patricia Monroe, who failed to report the abuse–though there was no evidence she was aware of the scope of it. Monroe’s attorney “says that’s because the girl refused to speak to Monroe and because the incident wasn’t reportable to Child Protective Services.” The decision will be appealed. (Chris Knight, “Monroe to appeal $11M verdict”, Adirondack Daily Enterprise, Sep. 3).
A message has been sent: make defensive reports to Child Protective Services, and parents will all be worse off when CPS overreacts.
Tagged as:
child protection,
Child Protective Services,
medical,
New York state,
third party liability for crime
In an op-ed in the Examiner last week, I express curiosity why the trial bar continues to insist that the infamous McDonald’s coffee case came out correctly decided, to the point that trial lawyer blogs express excitement that a documentary is going to be made about the subject. Of course, if the movie just parrots the urban legends trial lawyers have spread about the case, that would be something else—the fact that the filmmaker was fundraising at the AAJ convention but hasn’t shown her face around any of the tort reform conventions suggests a certain direction about the film.
Speaking of McDonald’s, I’ll be in the Bay Area next week at a couple of law schools giving a presentation called “The Law of McDonald’s: Hot Coffee, Obesity, and Prank Phone Calls” : Golden Gate University Law School on September 10, and UC-Davis on September 11. I’ll also be at UC-Berkeley Law on September 8, and Santa Clara University Law on September 9 talking more generally about tort reform and patent reform specifically.
Tagged as:
AAJ,
hot coffee,
McDonald's,
Stella Liebeck,
Ted Frank,
urban legends about lawsuits
As its press release says, Take Two Software settled a securities class action, yet multiple sources–including Dave Itzkoff’s story in the New York Times and Bloomberg–incorrectly report that it settled the consumer class action, complete with incorrect docket number. The consumer class action settlement was made in 2007 and, as Overlawyered readers might remember, rejected by the court, with the court’s decision to decertify the class still on appeal.
It’s unclear to me why either of those got it wrong, given that I contacted both Glovin and Itzkoff to let them know their error; Bloomberg issued two updates after my email, and Itzkoff had a chance to rewrite his incorrect blog post before it appeared in today’s Times, but neither has the story straight.
Tagged as:
Grand Theft Auto,
media bias
The Sep. 21 issue of Forbes magazine, now on newsstands, has a lengthy profile by Dan Fisher of my founding of the Center for Class Action Fairness, complete with a photo of my ugly mug gracing the story.
Of interest is a new revelation in the infamous Toshiba class action:
After few consumers availed themselves of a $2 billion settlement over supposedly defective laptop computers in 2000, for example, Toshiba America handed $353 million to a Beaumont charity whose chairman was plaintiff attorney Wayne Reaud, the lawyer on the case. Six years later the charity was still sitting on $250 million and the Texas attorney general sued for breach of fiduciary duty, including paying its president, W. Frank Newton, $560,000 in 2004. Newton is the former president of the State Bar of Texas.
Tagged as:
CCAF,
class action settlements,
class actions,
cy pres,
ethics,
South Texas,
Ted Frank
The New York Post reports on a putative class action brought by Marc Verzani complaining that Costco’s 16-oz shrimp platter doesn’t hold 16 ounces of shrimp. The SDNY judge noted that the platter holds other materials such as sauce and lemon wedges, and simultaneously denied and ridiculed the preliminary injunction motion. Verzani was alleging $40 million in annual damages.
Tagged as:
class actions,
fraud,
New York
