By a 51 to 49 percent margin, Texas voters have approved Proposition 12, thus restoring to the legislature the power to set limits on damages in civil lawsuits, which a 1988 Texas Supreme Court opinion had arrogated to the courts alone. See our earlier coverage at Sept. 4, Sept. 6). Proponents of the measure were modestly outspent ($6 million vs. $7 million) by trial lawyers who opposed it. “Lawyers [also] enlisted a wide range of consumer, anti-crime, senior citizen and environmental groups to tap into their membership bases” — to no avail. (Janet Elliott, “Texans pass Prop. 12 in statewide election”, Houston Chronicle, Sept. 14).
Archive for 2003
Update: Nike settles speech case
Shoemaker Nike Inc. has settled a California activist’s lawsuit over its allegedly wrongful speech by agreeing to make a $1.5 million payment to a workplace monitoring organization (see Jul. 9 and links from there). (Bob Egelko, “Nike settles suit for $1.5 million”, San Francisco Chronicle, Sept. 13). “Any other company under attack from activists of any stripe — and there are so many of them — will have to think twice now about its efforts to tell its side of the story, at least in California.” (“Free speech loses a round” (editorial), The Oregonian, Sept. 13).
AAA settles murdered-motorist suit
The AAA auto club has reached a settlement on confidential terms of the lawsuit by the survivors of Melissa Gosule, attempting to hold it liable for her murder by a stranger who gave her a ride after a AAA tow truck driver took too long to get her on her way (see Sept. 8). (John Ellement, “Family settles suit against AAA, driver”, Boston Globe, Sept. 11).
“N.C. Jury Clears HP in Printer Lawsuit”
In the first trial of 34 state class actions brought against Hewlett-Packard for selling printers with “economy cartridges” that did not have a full reservoir of ink, a jury took two and a half hours to clear the company against a plaintiffs’ attorney seeking $11.5 million for alleged misrepresentations. (AP, Sep. 12). Lead plaintiff Staples Hughes “acknowledged he didn’t think about the cartridges or how much ink was in them until a co-worker told him her father, attorney Adam Stein, was looking for a plaintiff in a class-action lawsuit against Hewlett Packard. After talking with Stein, Hughes said he agreed to be that plaintiff. ‘I didn’t know I had a grievance until I really discussed the situation with Mr. Stein,’ said Hughes, who is, himself, an attorney, with the state’s appellate defender office.” Since bringing the suit, Hughes has bought another HP printer. (Beth Velliquette, “Suit: Firm filled ink cartridges halfway,” The Herald-Sun, Sep. 5).
“Suits on Silica Being Compared to Asbestos Cases”
Plaintiffs’ lawyers are trying to turn silica into the next asbestos; though government statistics indicate reduced health problems from the critical industrial sand used to make glass, fiberglass, paints, and ceramics, claims are skyrocketing. Insurers are accusing lawyers of bringing claims of silicosis on behalf of people who have already recovered for alleged asbestosis for the same symptoms. (Jonathan Glater, New York Times, Sep. 5). Using a prominent search engine to find silicosis on the web has a strong chance of leading one to one Texas personal injury law firm or another.
“Slip ‘N Slide makers sue ‘Dickie Roberts'”
By reader acclaim: “The makers of the Slip ‘N Slide filed a lawsuit Monday over a scene in the hit movie ‘Dickie Roberts: Former Child Star’ that shows actor David Spade skidding to a painful halt on the summertime water toy. … In the movie, Spade jumps belly first on the yellow plastic sheet without first inflating it with air and water,” contrary to guidelines. “He then coats the slide with oil and crashes into a fence. … The company is concerned that the scene might prompt adults to imitate Spade’s action, which could lead to injury and lawsuits.” (CNN, Sep. 8; Ed Finn, “Can Wham-O Sue Over Dickie Roberts?”, Slate, Sept. 10).
“Venue wish upon a star”
Okay, we picked it in part just as an excuse to quote that headline, but the story actually does show how litigation reform can work as intended: the Philadelphia Inquirer editorially hails a precipitous drop in filings of malpractice cases in that city since the state legislature enacted a bill (meant to curb forum-shopping by plaintiff’s lawyers) which requires that suits against doctors be filed where the care was delivered. It is not yet clear to what extent the drop in Philadelphia filings will be counterbalanced by an expected rise in filings in suburban and rural counties; some cases, which had been premised on the generosity or unpredictability of juries in the center city, may wind up not being filed at all. (editorial, Sept. 4; Josh Goldstein, “Medical lawsuits plummet in Phila.”, Aug. 31). The Pennsylvania Medical Society comments (other liability resources at its site).
In other Pennsylvania-related malpractice news, a website of doctors in neighboring New Jersey is posting the text of the “Liability Update” newsletter put out by PaMedSoc Legislative Issues Chair Donna Baver Rovito (sample), packed with news clips of interest to anyone interested in the medical liability crisis whether resident in Pennsylvania/New Jersey or not (mirror AOL site with comments) (also available at Politically Active Physicians’ Association (www.fightingdocs.com), click through “News and Information” on left column). [Corrected Sept. 13 to repair/improve nonworking links]
Texas tort reform update
The Texas tort reform initiative is unique because it seeks to accomplish reform through constitutional amendment; on some other occasions, plaintiff-friendly judges have struck down state tort-reform measures by claiming that they conflict with state constitutions. Early voting for tomorrow’s election shows larger-than-normal turnout. (Kris Axtman, “Texas vote tests a new tactic to curb jury awards,” Christian Science Monitor, Sep. 12). Lara Squires writes at length in support of Proposition 12 in the Fort Worth Business Press, noting a 400% increase in some insurance costs:
[Dr. John] Durand is an interventional cardiologist with Consultants in Cardiology of Fort Worth. He says that in a three-year period, his 12-physician group?s insurance premiums have gone from $125,000 a year to close to $700,000 a year, despite an impeccable claims history.
?We had been setting aside funds for our practice growth. We were going to build an outpatient congestive heart failure clinic, to meet the needs of a growing population facing this major health problem,? Durand said. ?Instead, we had to cut back on services, freeze hiring of more medical staff and scrap plans for the outpatient center. It?s the first time in 35 years of our practice that we?ve identified a need in the community and haven?t been able to implement the solution.? (Sep. 10).
One unintended consequence of the ballot initiative: a backlog of over a thousand medical malpractice cases filed in Harris County in a three-month stretch in an effort to beat the deadline that would be imposed by the amendment. (AP, “Backlog of malpractice cases results from deadline,” Sep. 11; previous Overlawyered discussion Sep. 6).
SEP. 14 UPDATE: The constitutional amendment passes, 51-49. (Kelly Shannon, “Texans Vote to Limit Lawsuit Awards”, AP, Sep. 14; Janet Elliott, “Texans pass Prop. 12 in statewide election”, Houston Chronicle, Sep. 14; amendment text). (via Bashman)
UK: “New rules are thatchers’ final straw”
When authenticity menaces authenticity: the head of Britain’s National Society of Master Thatchers is warning that the 2,000-year-old craft of roof-thatching could be killed off if historic-preservation authorities enforce rules insisting on the use of locally grown thatching materials, such as Cotswold long straw and East Anglia water reed. Because the English materials are not as durable as thatching supplies imported from growers in Turkey, Russia and South Africa, some homeowners face frequent need for rethatching which can make it uneconomical for them to keep up centuries-old cottages. “There are about 50,000 thatched buildings in Britain, around half of which are listed buildings and therefore come under the jurisdiction of English Heritage.” “We are traditionally a passive bunch,” said the head of the thatchers’ group. “But we are livid that English Heritage are determined to kill off new developments in thatching.” (Rajeev Syal, Daily Telegraph, Sept. 7).
“Grief does not justify greed”
A few more excerpts from Gregg Easterbrook’s devastating commentary of yesterday: “Now some 9/11 families are saying $1.6 million isn’t enough. Set aside whether they should be receiving anything from taxpayers, given the myriad other circumstances in which Americans die in various horrible events every bit as traumatic and devastating to their families, who receive nothing at all. Assume for the sake of argument that something about 9/11 justifies offering victims’ estates a very large special payment. Yet some 9/11 families are saying very large is not large enough. … If the families for whom $6.1 million is not enough persist in their avaricious desire to sue — and if the lawyers who would get shares of court awards, but get no shares of federal fund awards, persist in their ghoulish desire to encourage such suits–the country’s two largest airlines, and largest aircraft manufacturer, may fail. This will cause significant harm the United States. And it seems unlikely that the dying thoughts of the noble victims of 9/11 were, ‘I hope my survivors really screw the United States for money.'” (unnamed new Gregg Easterbrook weblog, The New Republic, Sept. 10). See also Apr. 1-2, 2002 (Roger Parloff); Nov. 21-22, 2001; John Lehmann, “Rush to file $uits”, New York Post, Sept. 11 (Lisa Beamer and other survivors suing airport screening equipment makers).