Overlawyered: Chronicling The High Cost Of Our Legal System

Rielle Hunter scandal: update on the Andrew Young real estate issue

(Bumping Aug. 14 6:43 pm post to keep at the top of the page.)

In a post I made yesterday, I noted a transaction between Andrew Young and Timothy Toben that I suggested may raise the possibility of a sweetheart deal on the purchase and sale of a 5000-square-foot Raleigh home. I have since done some additional research that rules out that possibility–it turns out that Young purchased a plot of land in a different county, which explains what had otherwise appeared to be a discrepancy–but raises other interesting issues about Young’s cash flow shortly after the National Enquirer allegations first appeared. I have updated the post, and regret the error in the premise.

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August 14 roundup

  • 47% of those polled believe traditional media should offer equal time to opposing viewpoints.  Although 57% polled say blog sites should not have to allow other viewpoints, 31% believe the government should “force” them to.  Can you believe that?  In a related story, help me in welcoming John Edwards as next week’s guest blogger.  (“47% Favor Government Mandated Political Balance on Radio, TV”, Rasmussen Reports, Aug. 14).
  • Speaking of John Edwards–is he the new Bill Clinton?  Some may think he’s the right person to carry on his legacy.  (“John Edwards is the new Clinton, Spitzer, Craig”, MiamiHerald.com, Aug. 13).
  • I thought the law was well-settled that you could say ignorant, mean and hurtful things (and, shame on those who do).  But, anyway the Oregon Supreme Court unanimously agreed.  (“Oregon court says racist, insulting speech is protected”, OregonLive.com, Aug. 14).
  • Also from Oregon–a young man’s family filed a wrongful death lawsuit in the police shooting death of their son.  “We were forced to go ahead and file this to shed light on the events of that night” his mother said.  Shed light?  So, what’s with the $14M demand?  And, what’s this about him threatening police with a knife? (“Tigard teen’s family sues for millions in fatal police shooting”, OregonLive.com, Aug. 13 & Sep. 17 ’06).
  • Let the plaintiff’s bar go to bat for you on this one–after a Utah school learned of a bat infestation it partnered with the county health department to exterminate them.  Meanwhile, the district made intercom announcements asking students who may have had contact with bats to seek assistance, and made voluntary payments to seven students for rabies vaccinations.  A student’s mother sues despite no evidence her son contracted rabies or suffered any other injury.  (“Lehi Mom sues Alpine School District over bats”, Deseret News, Jul. 17).

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Defensive training dept.: University of Iowa and Arthur H. Miller

University of Iowa professor Arthur H. Miller (who is not the NYU Law professor Arthur Miller) allegedly traded grades and offered to trade grades for second-base action with female students, appropriately resulting in criminal charges and being placed on leave by the university.  Paul Caron points us to this Chronicle of Higher Education blog post that says Iowa has ordered all of its professors to undergo sensitivity training to avoid sexual harassment.  Because obviously a professor who would demand students let him fondle their breasts for a grade would never have engaged in such a behavior if only he had an additional hour of sensitivity training.

What this is really about is lawsuit prevention.  Just as a doctor fearful of being sued will order an inefficient, wasteful, and possibly counterproductive medical test, an employer fearful of being sued will insist upon inefficient, wasteful, and possibly counterproductive sensitivity training.

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Criminals who sue dept.: the case of Danieal Kelly

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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Expert Witnesses – The American Rule

Here’s a good article on the American practice of allowing litigants to hire their own experts.  Each expert advocates a position favorable to “their” side often rendering the dueling experts’ opinions of limited usefulness to the jury.  Other countries implement different mechanisms for engaging expert testimony including having the judge select the expert.  That sounds less partisan and cheaper, too.  (“In U.S., Expert Witnesses Are Partisan”, The New York Times, Aug. 11).

And, I’m reminded of Ron Coleman’s post where he quotes an article describing hired experts as “witnesses having other rational explanations”.  (Try the acronym and you’ll get it).

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The Rielle Hunter scandal: where did Andrew Young get his money?

Update: See important update below. The Toben-Young transaction appears to be for a different parcel of land than the $1.2 million house–but the new documents reveal something else that’s interesting. More details below.

Andrew Young, who publicly claims to be the father of Rielle Hunter’s baby (though he hasn’t been heard from since John Edwards’s confession of an affair), was moved to Santa Barbara by the generosity of John Edwards’s campaign chairman, trial lawyer Fred Baron. He was paid $3,500/month to work for the Edwards campaign. Yet the Raleigh News & Observer reports that Andrew Young and his wife sold their Raleigh house to Carolyn Grissom for a jaw-dropping $1.2 million on February 14, 2007, and moved into the Chapel Hill Governors Club country-club gated community, where they rented a few doors down from Hunter. (Rentals there are available for as low as $1700/month, and home prices range from $289,000 to $2.3 million, so nothing necessarily unusual about that.)

(Update: New documents I’ve found show that the Toben-Young transaction appears to be for a different parcel of land than the $1.2 million house. More details below. This paragraph, based on the mistaken reading of the transaction that it was for the Raleigh home, is incorrect. I regret the error, but the correction reveals something else interesting about the Toben transaction; see the discussion below.) What’s more unusual is that North Carolina real-estate records on the web show that Andrew and Cheri Young purchased the 5000-square-foot house for $300,000 on September 28, 2005. (Update: this is incorrect. The house was purchased in 2001.) (The home was built in 1989, so they weren’t buying a vacant lot and building.) So either Andrew Young is a secret real-estate genius on a level not seen since Hillary Clinton’s commodities trading, and was able to flip a house for a 300% and $900,000 return in under eighteen months, or something else is going on.

It’s interesting to note that the Youngs purchased the place from North Carolina real-estate developer Timothy Toben–a long-time North Carolina Democratic fundraiser who donated $6,500 to the Edwards campaign in 2007 (which, if the FEC reports are accurate, exceeds the federal campaign limits substantially). If Toben gave Young an unusually good deal, the 2005 timing suggests that Young got the deal for some reason other than Rielle Hunter, but, if so, what?

Meanwhile, if one looks up the home on Zillow.com, one sees that Zillow is skeptical of the $1.2 million purchase price, and values the house for substantially less (though well over $300,000), because of “anomalies” in the deal, though it does not specify what those anomalies are. (I found no indication that Carolyn Grissom is anything other than an innocent homebuyer; she’s not listed in the FEC database.)

This could all be coincidence in hindsight, and there could be a perfectly innocent explanation for all of this. It could be that the $300,000 figure is wrong, though then that raises the question of how Young was able to afford a 5000-square-foot house on a $42,000/year salary. But reporters with more resources than I might want to look into whether an Edwards staffer was getting a sweetheart deal from an Edwards contributor, why, and whether campaign finance laws were violated.

And welcome Michelle Malkin readers; apologies that so many of you clicked through that you briefly crashed the site. For Overlawyered’s coverage of the Rielle Hunter scandal, see the tag, and don’t miss our years-long coverage of John Edwards and his trial-lawyer record.

(August 14: Welcome Kaus and Instapundit readers. Post was corrected August 14, because it incorrectly said “Chapel Hill” instead of “Raleigh” as the location of the $1.2 million house.)

Read On…

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“Is Big Caffeine the Next Target?”

Tim Sandefur asks this only half-facetiously as he reviews mass torts. Of course, as a must-read comment letter to FASB (via the indispensable Beck/Herrmann) submitted by six pharmaceutical companies notes, “A mass tort occurs when the plaintiffs’ bar decides to invest in it.”

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