Chronicling the high cost of our legal system

Overlawyered

September 14th, 2008 at 12:51 pm

Update: Pennsylvania politician Vincent Fumo

Longtime readers may recall (Oct. 24-25, 2001) what we described as the “unusually bare-knuckled” tactics, “even by Philadelphia standards”, of the Philly political machine when a business-oriented advocacy group called Pennsylvania Law Watch organized with a plan to issue ratings of judges statewide. We quoted the Philadelphia Daily News at the time:

“State Sen. Vincent Fumo prompted some controversy last month when he told the Philadelphia Chamber of Commerce that anyone who helped [Republican judge/candidate Michael] Eakin by donating to Pennsylvania Law Watch ’should expect to be arrested,’ according to a witness at the chamber meeting, who also said Fumo mentioned Richard Sprague as a member of a team of attorneys ready for action.”

Although no one was literally arrested, three local Democratic politicians proceeded to file a suit against Pennsylvania Law Watch seeking “a freeze on Law Watch’s assets, the right to go through its books, an injunction against its activities, and more.” Almost before the episode got any national attention, the case settled, “with Law Watch agreeing with Pennsylvania Democrats that ‘it would not attempt to influence the statewide judicial elections through advertising, ‘push polling’ or any other kind of communication with the public’”.

Now, six years later, and with no direct relation to the above, longtime powerbroker and State Sen. Fumo is going to trial in federal court “on charges he used $3.5 million in what he called ‘OPM’ _ other people’s money _ to keep his political machine well-oiled and fund a high life that included three vacation homes and heated sidewalks outside his mansion. Jury selection is expected to last a week, and the trial three months.” [AP/Wilkes-Barre Times-Leader, AP/York Daily Record, Philadelphia Daily News, Pittsburgh Tribune-Review].


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August 14th, 2008 at 11:45 am

Criminals who sue dept.: the case of Danieal Kelly

» by Ted Frank

The old joke is that chutzpah is defined as the case of the orphan who kills his parents and then begs the court for mercy because he’s an orphan.

A pair of Philadelphia parents, however, may redefine the idea for all time.  Danieal Kelly, who suffered from crippling cerebral palsy, was 14 when she starved to death in a West Philadelphia rowhouse, covered in bedsores, weighing just 42 pounds.  Her mother, “Andrea Kelly was charged with murder on July 31. Daniel Kelly, who authorities say abandoned his daughter despite knowledge of her mother’s neglect, was charged with endangering the welfare of a child.” (Three friends of the mother were charged with perjury for lying to a grand jury; four social workers were also charged with felony endangerment, which will no doubt screw up incentives further for over-reacting child protective services everywhere.)

The parents responded as any parents would, and sued the city, the state, city and state agencies, and four social workers, blaming them for Kelly’s death, and seeking damages for “love, tutelage, companionship, support, comfort and consortium” as well as the “economic value of her life expectancy”–which couldn’t possibly be anything other than the taxpayer-funded disability benefits.  Public outrage has caused the lawyers, Brian Mildenberg and Eric Zajac, to substitute other parties as plaintiffs so that there is no direct hint of Daniel and Andrea Kelly profiting, but the underlying appallingness of the suit remains.  (Julie Shaw & Catherine Lucey, “Lawsuit by Danieal’s parents called ‘disgusting’”, Phil. Inquirer, Aug. 13; Nancy Phillips and Kia Gregory, “Danieal Kelly’s parents sue the city”, Phil. Inquirer, Aug. 13; John Sullivan and Craig R. McCoy, “Nine indicted in fatal neglect of girl”, Phil. Inquirer, Aug. 1; ongoing Inquirer coverage).


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July 22nd, 2008 at 10:23 am

Great moments in expert witness work

Philadelphia and New York City prosecutors say Richard Gottfried (who is not the New York state assemblyman of the same name) wrongfully obtained hundreds of thousands in court-appointed work as a sentencing expert for indigent criminal defendants, in the process collecting money for work never performed. Gottfried, who allegedly invented degrees for himself, knows a bit about sentencing from the other side: he’s an ex-convict whom authorities say had been involved earlier in mail fraud and a real estate scam. (AP/Washington Post; Bronx D.A. Robert Johnson release, Jul. 8; Philadelphia DA Lynne Abraham case listing, Mar. 13, 2006).


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June 14th, 2008 at 10:42 am

Operation “Staged Impact”

The FBI undercover crash-fraud investigation netted 35 defendants, including 31 patients faking injury supposedly arising from car crashes and three “runners”. It also caught lawyer Jordan Luber (Luber & Cataldi) of Philadelphia. Per the Philadelphia Business Journal:

The sting included a fake chiropractic clinic the FBI set up in Northeast Philadelphia called Injury Associates. Instead of providing care it generated paperwork to make it appear patients received treatment so they could file fake claims.

According to prosecutors: Two agents posing as cleaning women told Luber they went to Injury Associates and wanted to pursue claims. They admitted on audio and video recordings to Luber that they had not received any treatment and had created fake medical records. Luber still pursued the claims, telling an insurer they were in an accident and received treatment. He negotiated a settlement of $7,500 each.

Luber, who is reported to have kept $6,000 of the $15,000 or 40% as his fee, drew a sentence of two months plus a year of supervised release and 100 hours of community service. He is “also prohibited from practicing law for a year.” The Philadelphia Daily News account says he’s surrendered his license, although the only report I could find online is of a suspension (PDF). So it sounds as if, assuming equal luck in any bar disciplinary process, he might reapply for the license and be back practicing law before too long. Won’t that bolster confidence in our court system? (IFA Webnews via P&S weekly roundup).


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May 20th, 2008 at 2:49 pm

Philadelphia civil service scandal

I’m quoted on the subject today in a piece by Ben Waxman on The Next Mayor, a “Rethinking Philadelphia” blog created by the Philly Daily News, WHYY and the Committee of Seventy. My City Journal article “Fixing the Civil Service Mess” from 1997 is here.


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May 12th, 2008 at 12:06 am

May 12 roundup

  • Canada free speech: Islamic group files complaint against Halifax newspaper over cartoon of burka-wearing terror fan; two more libel suits aimed at online conservative voices; growing furor over complaint against Steyn/Macleans [National Post]
  • More than 5,000 students committed crimes last year in Philadelphia schools, but none were expelled — consent decrees tying system’s hands are one reason [Inquirer]
  • U.K.: Man threatened with legal action for flying pirate flag as part of daughter’s birthday party [Guardian]
  • Bankruptcy judge doesn’t plan to accept at face value Countrywide’s claim that it generated false escrow documents by mistake in foreclosure [WSJ, WSJ law blog]
  • Amid bipartisan calls to step down, Ohio AG Marc Dann [Apr. 19, May 6] hires an opposition researcher [Adler @ Volokh] on top of Washington lobbyist [Legal NewsLine], after being rebuked by judge for political suit [Dispatch]. And where’s that ethics form on the Chesley flight? [Dayton Daily News]
  • Missouri med-mal claims fall sharply after legislated damages curb [Springfield News-Leader]
  • More on Dartmouth prof Priya Venkatesan, the one who wants to sue her students — as suspected, she’s a devotee of deconstructionist Science Studies [Allen/MtC; earlier]
  • Covert plan to sabotage Chinese economy? [Wilson Center event]
  • What, never? Well, hardly ever: Docs continue to assail notion that various complications such as patient delirium, clostridium difficile infection, iatrogenic pneumothorax, etc. — not to mention falls — are “never events” [KevinMD various posts; earlier]
  • Mich. high court agrees anti-gay-marriage amendment bars municipal health benefits for domestic partners, just what key proponents had claimed it wouldn’t do [Rauch @ IGF, Carpenter @ Volokh, earlier]
  • Private service rates the safety of charter air providers — but can it afford the cost of being sued after giving a bad rating? [Three years ago on Overlawyered]

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April 25th, 2008 at 12:05 am

Great moments in judicial campaigning

I’m all in favor of traffic court judges being fair to defendants, but was this one pledging to be more than fair?

Philadelphia Traffic Court Judge Willie F. Singletary was elected in November despite having had his driver’s license suspended until 2011 for accumulating $11,427.50 in fines for 55 traffic tickets.

Now Singletary is in danger of losing his three-month-old robe - and the $82,733-a-year paycheck that goes with it - for a campaign appearance videotaped and made public on the YouTube Internet site.

It was an appearance that raised $285 for his campaign.

The state Judicial Conduct Board filed five misconduct counts against him Tuesday for an April 22, 2007, campaign appearance in which he pressed a group of motorcyclists for campaign donations.

“You’re all going to need me in Traffic Court, am I right about that?” he asked the group.

(Joseph A. Slobodzian, “Traffic court judge may lose his seat”, Philadelphia Inquirer, Apr. 24)(via ABA Journal)


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April 18th, 2008 at 9:57 am

“$982 An Hour for Fen-Phen Plaintiffs’ Lawyers”

Philadelphia federal district court judge Harvey Bartle III has awarded $567.67 million in fees to plaintiff’s lawyers in the gigantic fen-phen litigation, which has lasted nine years. Judge Bartel accepted 70 firms’ claim to have spent 578,048 hours on the suit (Alison Frankel, American Lawyer, Apr. 10). Ted, at Point of Law, notes that the sum does not include large contingent fees obtained on behalf of claimants who opted out of the group settlement.


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April 8th, 2008 at 9:28 pm

Worst places to get sued, cont’d

William Pentland’s Forbes article (see yesterday’s post) has sparked a fair bit of coverage, including: NAM “Shop Floor”, Mark Obbie’s LawBeat, Law and More, the Baton Rouge Advocate, Philadelphia personal injury firm Pomerantz Perlberger & Lewis LLP (proud of their city’s reputation as bad news for libel defendants), and KGBT (Harlingen, Tex.).


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April 7th, 2008 at 10:55 am

“The Worst Places To Get Sued in America”

Forbes compiles its list and is kind enough to quote me at some length. Scariest of the scary? Los Angeles (ADA filing mills); Miami (med-mal); Atlantic County, N.J. (pharmaceutical); Starr County, Tex. (personal injury); Cook County, Ill. (product liability; I’m quoted on the Cook premium for otherwise routine injury cases); Mississippi (class actions; more properly, group and other mass actions, given the state’s peculiar way of handling such claims); Clark County, Nev. (construction litigation); West Virginia (environmental lawsuits); Philadelphia (I’m quoted on the city’s tradition of libel suits by public officials); (William Pentland, Forbes, Apr. 7; slideshow).


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March 20th, 2008 at 12:03 am

Update: English-only cheesesteak ordering

Not unlawful in Philadelphia after all (”Ruling: English-only sign at cheesesteak shop not discriminatory”, AP/Examiner, Mar. 19; Inquirer, Michelle Malkin; earlier).


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March 19th, 2008 at 9:07 am

Taking Russian business feuds to American courts

Back in the U.S., back in the U.S.: “Philadelphia lawyer Bruce Marks makes a business suing [Russia's business] oligarchs on behalf of other oligarchs. Getting a money verdict seems almost beside the point.” (Nathan Vardi, “Justice, Russian Style”, Forbes, Mar. 24).


In
February 23rd, 2008 at 10:15 am

February 23 roundup

» by Ted Frank
  • Easterbrook: “One who misuses litigation to obtain money to which he is not entitled is hardly in a position to insist that the court now proceed to address his legitimate claims, if any there are…. Plaintiffs have behaved like a pack of weasels and can’t expect any part of their tale be believed.” [Ridge Chrysler v. Daimler Chrysler via Decision of the Day]
  • Retail stores and their lawyers find sending scare letters with implausible threats of litigation against accused shoplifters mildly profitable. [WSJ]
  • Kentucky exploring ways to reform mass-tort litigation in wake of fen-phen scandal. [Mass Tort Prof; Torts Prof; AP/Herald-Dispatch; earlier: Frank @ American]
  • After Posner opinion, expert should be looking for other lines of work. [Kirkendall; Emerald Investments v. Allmerica Financial Life Insurance & Annuity]
  • Judge reduces jury verdict in Premarin & Prempro case to “only” $58 million. And I still haven’t seen anyone explain why it makes sense for a judge to decide damages awards were “the result of passion and prejudice,” but uphold a liability finding from the same impassioned and prejudiced jury. Wyeth will appeal. [W$J via Burch; AP/Business Week]
  • Judge lets lawyers get to private MySpace and Facebook postings. [OnPoint; also Feb. 19]
  • Nanny staters’ implausible case for regulating salt. [Sara Wexler @ American; earlier: Nov. 2002]
  • Doctor: usually it’s cheaper to pay than to go to court. [GNIF BrainBlogger]
  • Trial lawyers in Colorado move to eviscerate non-economic damages cap in malpractice cases [Rocky Mountain News]
  • Bonin: don’t regulate free speech on the Internet in the name of “campaign finance” [Philadelphia Inquirer]
  • “Executives face greater risks—but investors are no safer.” [City Journal]
  • Professors discuss adverse ripple effects from law school affirmative action without mentioning affirmative action. Paging Richard Sander. Note also the absence of “disparate impact” from the discussion. [PrawfsBlawg; Blackprof]
  • ATL commenters debate my American piece on Edwards. [Above the Law]

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January 30th, 2008 at 4:28 pm

January 30 roundup


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December 19th, 2007 at 12:03 am

“Hundreds upon hundreds and hundreds of fake accidents”

Philadelphia authorities have indicted Center City lawyer D. Allen Litt and 14 others over what they say was a quarter-century-old scheme of bogus personal injury claims employing 100 runners and working with about ten physicians. Slip-falls were a favorite: “He would send his runners to look for cracks in sidewalks in front of businesses large and small, supermarkets, large drugstore chains, mom-and-pop stores, any commercial business whatsoever,” said Philadelphia D.A. Lynne Abraham. “The imposters would obtain medical care from physicians selected by Litt and rack up inflated medical bills via numerous visits to the Litt-selected doctors, the grand jury charged,” per the Legal Intelligencer. Some claimants had genuine injuries incurred elsewhere which they brought to the scene of the intended staging. “Abraham said Litt would pay people fees ranging from a couple of hundred to a thousand dollars to find the sites and stage the fake accidents. The lawsuits would yield thousands of dollars for Litt, officials said.” (Vernon Clark, “Lawyer charged with running 25-year fraud”, Philadelphia Inquirer, Dec. 12; Amaris Elliott-Engel, “Pa. Attorney Charged in Insurance Fraud Case”, The Legal Intelligencer, Dec. 13).


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November 27th, 2007 at 12:12 am

Defamation-suit roundup

A hearing officer has recommended a reprimand for Boston judge and libel-suit winner Ernest B. Murphy over those “fascinatingly repellent” letters he sent to the publisher of the Boston Herald demanding a settlement of what proved a winning $2 million libel suit (Jessica Van Sack, “Public reprimand urged for Judge Murphy”, Boston Herald, Nov. 21; see Sept. 28, etc.). The operators of the Irish Pub & Inn in Atlantic City, New Jersey are suing the publishers of Philly magazine over their description of the tavern as a “dive bar”, and aren’t buying the magazine’s claim that the description was intended as complimentary. (Michael Klein, Philadelphia Inquirer “Inqlings”, Nov. 18). And a New York lower court judge has declined to order Google/Blogspot to divulge the identity of “Orthomom”, whom a Lawrence, N.Y. school board member had sought to sue on the theory that it was defamatory to have termed her a “bigot”. (Nicole Black, Nov. 18, with links to other blog coverage).

More: And Eugene Volokh (Nov. 27) posts today on a disturbing case from Canada in which a lawyer involved in the shutting down of “hate speech” websites proceeded to sue for defamation — successfully so far in the Ontario courts — over having been called (among other things) an “enemy of free speech”.


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November 18th, 2007 at 1:09 am

Tax e-filing class action

Philadelphia law firm Feldman, Shepherd, Wohlgelernter, Tanner & Weinstock wants $1 billion from members of an income tax software group, Free File Alliance, including H&R Block and Intuit (Gina Passarella, “Tax Preparers Face Proposed Billion-Dollar Class Action Over E-Filing”, Legal Intelligencer, Nov. 15; Paul Caron, Nov. 15).


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November 5th, 2007 at 12:08 am

Don’t

Another bunch of things not to do if you’re a member of the legal profession, all courtesy Law.com:

  • Don’t forge a judge’s name to a judicial order to lull your clients into thinking you’re properly pursuing their case [Laurence S. Jurman of Dix Hills, N.Y., who's pleaded not guilty to the above allegations; NYLJ]
  • Don’t fail to inform your client in a criminal-defense trial that you yourself are facing criminal charges on charges of stalking in the same court [Steven Olitsky of Irvington, N.J., whose convicted client is arguing ineffectiveness of counsel on the grounds that the eventually-disbarred Olitsky was in no position to negotiate effectively with prosecutors; NJLJ]
  • Don’t read golf magazines during depositions or leave your client alone and unrepresented by walking out of an important deposition [Jonathan D. Herbst of Philadelphia's Margolis Edelstein; client's loss of $11 million defamation case led to professional liability award recently reinstated by Pa. high court; Legal Intelligencer]
Earlier entries in this series: Jun. 4, etc.


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