Chronicling the high cost of our legal system

Overlawyered

August 19th, 2008 at 9:59 am

“New Talk” discussion of loser-pays

Philip Howard’s new online discussion series, New Talk, is back today with a discussion of loser-pays, moderated by Rebecca Love Kourlis. I’m one of the discussants, as is Marie Gryphon of the Manhattan Institute’s Center for Legal Policy, and a galaxy of others, including several law professors who can be expected to oppose the idea strongly. You can tune in here (cross-posted from Point of Law).

More: publicity from Kevin Williamson at NRO Media Blog.


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June 16th, 2008 at 9:40 am

Rebutting Bill Lerach in Portfolio

The editors at Conde Nast Portfolio were kind enough to invite me to contribute a rebuttal, which is now online, to William Lerach’s egregious apologia pro crookery sua. The allotted space permits me to address briefly only a couple of Lerach’s worst howlers, in particular his bald assertions that his concealed kickbacks did no harm to class members or to competing lawyers. (It’s true that named class representatives do a very poor job at their intended mission of standing in for other class members’ interests, but secretly aligning their incentives with the size of fee awards, rather than the value of the settlement to the class, is a corruption meant to keep them from ever living up to their theoretical watchdog role.)

For a more extended look at what’s wrong with Lerach’s article, let me recommend Joseph Nocera’s excellent column a week ago in the Times:

In the article, Mr. Lerach expresses zero remorse, positions his crimes as having hurt no one while serving a greater good and makes the absurd claim that he was railroaded by his political opponents.

It is a brazen, shameful piece of work — and it must infuriate the prosecutors who made the plea agreement with him, and the judge who accepted it, especially since Mr. Lerach wrote his own remorseful letter to the judge ahead of his sentencing. It also ought to infuriate anyone who cares about the law. Plenty of criminals head to prison still believing they’re above the law, but Mr. Lerach takes the cake.

Ted Frank has some further thoughts on that point. And note (from Nocera) that Lerach’s “everyone did it” swipes at his colleagues — which many, including we, have read as grounds for an investigation — are by no means passing without contradiction from colleagues:

Mr. Lerach’s statement has infuriated other plaintiffs’ lawyers. “It would just be unthinkable” to give kickbacks to lead plaintiffs, said Max Berger, of the firm Bernstein, Litowitz, Berger & Grossman. Added Sean Coffey, another Bernstein, Litowitz partner: “It is bad enough that this confessed criminal cheated for years to get an unfair advantage over his rival firms. But for this guy, on his way to prison, to say that everyone does it is just beyond the pale.”

(cross-posted from Point of Law; & welcome San Diego Union-Tribune blog readers).

P.S.: For another example of just how slippery Lerach’s careful phrasings can be, check this Roger Parloff post from an earlier point in the scandal. And Stephanie Mencimer, whose writings are nearly always criticized in this space, deserves due credit for seeing through Lerach’s “liberal folk-hero status” to the “pretty sleazy” realities beneath in this February article.


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March 11th, 2008 at 9:51 am

Spitzer and white-collar prosecution: live by the sword…

I’ve got a piece in this morning’s National Review Online on some of the ironies of the Spitzer scandal, which recalls echoes of the former prosecutor’s own “imperial CEO” rhetoric and may hinge on a crime — the “structuring” of cash transactions — whose enactment was very much part of the trend toward more ferocious white-collar law enforcement that you might call Spitzerization. (Walter Olson, “Saving Spitzer”, Mar. 11). P.S. I’ve also rounded up a lot of web coverage of the scandal over at Point of Law.


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December 19th, 2007 at 12:21 am

Scruggs WSJ piece now a free link

Thank you, OpinionJournal.com, which has now published a free link for my Saturday op-ed laying out some of the story of the Scruggs indictments.


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October 5th, 2007 at 9:03 am

Lynne Stewart/Hofstra furor

I’ve got a new piece up at City Journal (a slightly different version appears in today’s New York Post) on the controversy over the disbarred lawyer’s role as designated faculty at the upcoming Hofstra legal ethics conference. Thanks for links to Instapundit, NRO “The Corner”, Brothers Judd (cross-posted from Point of Law).


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April 20th, 2007 at 3:40 pm

New Times column — the costs of health privacy

My new column in the Times (U.K.) is on the many costs of HIPAA, the federal law which even now prevents institutions from releasing the Virginia Tech psychopath’s health records (privacy rights extend after death) and played a notable role (along with the Buckley Amendment/FERPA) in restricting the chances for relevant actors to compare notes on his symptoms of madness before it was too late (Walter Olson, “Could less rigid privacy laws have prevented the Virginia tragedy?”, Apr. 20).

More: Dr. Wes has some additional HIPAA thoughts, as does Jeff Drummond at HIPAA Blog.


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March 26th, 2007 at 11:15 am

Welcome Dallas Morning News readers

The newspaper reprinted my warning labels column yesterday (Walter Olson, “Product labels have come unglued from reality”, Mar. 25). Reader Gary Neyens of Round Rock, Tex. wrote in to say he enjoyed the piece and added one of his own favorite stories:

I recently replaced the serpentine (fan) belt on my Ford pickup. The Ford Motorcraft packaging warned “Shut off engine before checking or replacing belt”. I know the reason for this warning - - Somebody, somewhere…

While on the subject of publicity, Legal NewsLine did a whole article (with file photo!) based on my recent column about not counting the trial lawyers out (Rob Luke, Anti-business suits still surging, warns tort-reform expert”, Mar. 21). Last month New York Post reporter Janon Fisher quoted me in an article on the “firefighter’s rule” which historically has barred injured public rescue personnel from suing the people they were rescuing, or others whose negligence allegedly led to disaster (”Firemen file arson lawsuits”, Feb. 2). And a couple of publicity clips from last year that I didn’t round up at the time: at the North County Times’ The Californian, Bridgit Jordan quotes me on Mayor Bloomberg’s anti-tobacco philanthropy (”Donation may go up in smoke”, Aug. 22); and Joseph Goldstein of the New York Sun quotes me in an illuminating article about the “creeping oversight” of New York City government operations obtained by the feds through consent decrees and the like (”Bush Administration, in Series of Federal Lawsuits Against New York Agencies, Gains Creeping Oversight of Local Government”, Aug. 15).


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March 13th, 2007 at 10:34 am

“Business has not trounced the trial lawyers”

My latest column in the Times Online explains why Business Week and some other media outlets are being at best premature (and that’s putting it diplomatically) in declaring the American plaintiff’s bar down for the count. Opening excerpt:

America’s litigation fever is cooling off, or so one hears. Merck & Co is doing reasonably well defending suits over its painkiller Vioxx, while actions blaming foodmakers for obesity have sputtered. Doctors’ malpractice-suit payouts are said to be flat (at what by other countries’ standards are still unthinkably high levels). Last month, the Supreme Court ruled on a punitive damage case in favor of tobacco giant Philip Morris, which has become a Wall Street favorite after wrestling down its perceived legal risks. Nearly every American politician claims to be on board with reform, even the nation’s most famous plaintiff’s-lawyer-made-good: “We do have too many lawsuits”, said John Edwards during the 2004 Presidential debates. A recent Business Week cover sums it up: “How Business Trounced the Trial Lawyers”.

And yet one wonders whether a contest is being called prematurely. … To call a high-water mark is going to require more evidence than we’ve seen so far.

P.S. Other reactions to the Business Week cover story came from Bizzyblog (”Year’s Most Unintentionally Comical”), Roger Parloff (article itself was better than headline), and me at Point of Law (see also this WSJ column).


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March 8th, 2007 at 12:05 am

Cocktail napkin not to be used for navigation

I’ve got a short piece in The American, the recently launched American Enterprise Institute magazine, about the problem of overzealous warning labels, taking as my point of departure Bob Dorigo Jones’s new book Remove Child Before Folding. Alert readers will notice that the piece is based on my Times Online column of a few weeks ago, adapted with about three paragraphs’ worth of new and added material, mostly on how liability law helps worsen the problem. (Walter Olson, “Warning: This Column Might Give You Something to Think About”, The American, Mar. 6).

For more coverage of Remove Child Before Folding, see Jan. 6, Jan. 26, etc. Reason magazine editor Nick Gillespie, incidentally, reviewed the book in the New York Post here.


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December 1st, 2006 at 8:35 am

New Times column — “US capital markets must learn from London”

My new column in the Times (UK) Online is up this morning, and discusses yesterday’s issuance of the much anticipated Paulson Committee report on the need to revive flagging U.S. competitiveness in international capital markets by reforming the workings of our securities and class-action law. (Dec. 1). For more on the work of the Committee on Capital Markets Regulation, see PoL Oct. 19, Nov. 30, Dec. 1, etc.


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November 5th, 2006 at 9:48 pm

Andrew Sullivan, “The Conservative Soul”

I’ve got a review in today’s New York Post of Andrew Sullivan’s new book, The Conservative Soul: How We Lost It, How To Get It Back. A brief excerpt:

The “conservatism I grew up with,” notes Sullivan, stood for “lower taxes, less government spending, freer trade, freer markets, individual liberty, personal responsibility and a strong anti-communist foreign policy.” Defining figures such as Ronald Reagan and Margaret Thatcher spoke regularly of human freedom as the great aim of political life. “It has long been a fundamental conviction of the Republican Party,” declared the 1980 GOP platform, “that government should foster in our society a climate of maximum individual liberty and freedom of choice.”

Somehow from there we arrived at the presidency of George W. Bush, whose pronouncement on the state’s proper role - “When someone hurts, government has got to move” - owes more to LBJ than to Barry Goldwater.

Pennsylvania Sen. Rick Santorum brusquely waves aside “this whole idea of personal autonomy,” this “idea that people should be left alone, be able to do whatever they want to do.” Ex-Democrats of the McGovern-Dukakis era once popularized the line “I didn’t leave the party, the party left me”; if the Santorums prosper, plenty of old-line Republicans will be ready to sing the same refrain.

(Walter Olson, “Reforming the Right”, Nov. 5). Andrew Sullivan responds here.


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August 31st, 2006 at 12:07 am

New Times column — Katrina verdict

My new column at the Times (U.K.) Online is on last week’s Mississippi Katrina insurance verdict. (Walter Olson, “Insurers can breathe easier over Katrina lawsuits”, Aug. 30). Concluding paragraph:

Major coverage issues remain to be resolved (and appealed), but at least we can take note at this point that America is not Zimbabwe or Bolivia. As Dickie Scruggs said before the Leonard ruling, “If you win it, it’s a huge win. If you lose it, you spin it the best way you can.”

Also, I was a guest last evening (6:30 p.m. Eastern) on Marc Bernier’s high-rated radio show, “The Talk of Florida” to discuss the article.


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July 31st, 2006 at 7:25 am

“Rumpelstiltskin, LLP”

[Bumped to make it the top post Monday morning; originally posted Saturday. Also check out the comments section on this post, which includes comments from readers who've been on both sides of junk-fax lawsuits.] I’ve got a contribution in the “Rule of Law” section of Saturday’s Wall Street Journal (Jul. 29, sub-only) on the ongoing litigation (especially class action litigation) over junk faxes, a topic often addressed in this space. It concludes:

No doubt you can make a case that getting at the most heinous wrongdoers through bounty-hunting is preferable to never getting at them at all. But note that where crimes are indisputably serious, the rewards for informing are fixed and often modest. The typical reward for helping solve a bank robbery is $5,000. At rewardsforjustice.net, the U.S. government offers bounties for information leading to the capture of leading terrorists: Even notorious masterminds tend to be worth at most $5 million, while turning in Osama bin Laden will win you $25 million.

If Osama had sent 100,000 junk faxes, there’d be a bigger price on his head.


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July 19th, 2006 at 12:24 am

New London Times column: MySpace suit

I’ve got a new online column up at the British paper, my second. I discuss the recent lawsuit seeking to blame the social-networking site for not providing a virtual chaperone for a 14-year-old Texas user who went out on an inadvisable date. (Walter Olson, “Teens, sex, and MySpace”, Times (U.K.), Jul. 18). For earlier coverage of the MySpace suit, see Jun. 21, Jun. 23, and Jun. 26.


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June 30th, 2006 at 10:08 am

Spitzer, Faso, and the New York high court

I’ve got an op-ed today in the New York Post about one of the less obvious issues in the high-profile race for Governor of New York: whoever wins will get to reshape the state’s highest court, the Court of Appeals, with implications long into the future for the state’s legal well-being. Would a Gov. Spitzer appoint anti-business crusaders to the court? (Walter Olson, “N.Y. Judge Wars: Hidden ‘06 Issue”, New York Post, Jun. 30)(cross-posted at Point of Law) (& welcome readers of Prof. Bainbridge, who says kind things).


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June 28th, 2006 at 12:18 am

New column — Times Online

I’m pleased to announce that I’ve begun a new periodic gig as a columnist on American law for the online Times (the London-based one). My first effort examines the possibility, discussed in this space recently, that fans of Barbra Streisand might file a class-action lawsuit against the singing legend because she is again doing a concert tour years after a tour that was supposed to be her farewell. (Walter Olson, “The long, long, long goodbye”, The Times Online, Jun. 27).

Incidentally, British readers visiting this site for the first time will find an archive of UK-related material here.


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June 15th, 2006 at 8:28 am

“Lawsuit Heaven — NYC’s Hell”

I’ve got an op-ed in today’s New York Post about the rising tide of liability lawsuits against New York City and its taxpayers (cross-posted from Point of Law). For more on how Assembly Speaker Sheldon Silver’s office disposes of reform legislation in Albany, see Henry Stern’s NYCivic, Jun. 14.


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April 27th, 2006 at 12:35 am

Forbes: “My Kingdom for a Casino”

As regular readers of this space know (Apr. 14, etc.), I’ve long taken an interest in the injustices that have been visited on innocent landowners in New York, Connecticut and many other states by lawsuits seeking to revive long-defunct Indian land claims. I’ve got a guest column in the latest Forbes (”On My Mind”, May 8, reg) briefly summing up a few of the things wrong with this litigation. A sample:

Until lately Anglo-American law sought a careful balance between the goal of restoring wrongfully taken property to its rightful owners, on the one hand, and the equally valid goal of securing everyone’s property against the danger that a claimant will show up some day to assert a speculative defect in title. Hence doctrines aimed at preventing old disputes from staying alive indefinitely: statutes of limitation, adverse possession, “acquiescence” in unchallenged political boundaries.

In a series of rulings over the past 30 years, however, the U.S. Supreme Court has decided that Indians are wholly different from other land claimants. Law professors have cheered: What cause is more romantic than that of dispossessed Indians? (Somehow owners of small farms in upstate New York never seem to merit the underdog label.) The rulings also constitute a stunning victory for a scrappy cadre of Legal Services lawyers; a few of these antiestablishment types have found themselves, over the arc of a career, gradually transmuted through their tribal connections into highly paid casino promoters, in a transformation worthy of a Balzac or Stendhal novel.

(cross-posted at Point of Law)


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