Community banker: it’s better in the U.K. at this point

“When I went to Britain I thought the regulatory environment would be much worse,” he says. “It’s infinitely better there,” says Vernon Hill, who headed for the U.K. after a career in the community bank sector in the United States. The founding of new banks has fallen virtually to zero in the U.S. since the enactment of Dodd-Frank [Stephen Moore, W$J via Kevin Funnell]

Rachel Maines on the evolution of asbestos guilt

In the past forty years some 8,000 businesses and other entities have been named as defendants in American asbestos litigation. The story has often been told (among other places, in my book The Rule of Lawyers) of how this litigation spread in widening concentric rings to ever more peripheral defendants. The first major targets were companies that had been deeply involved with mining, processing and distributing asbestos; after these companies went bankrupt, the second ring included manufacturers of construction materials, heating and electrical products, and other goods that had included asbestos for the insulation or flameproofing properties for which it was long almost ubiquitous. By the time many of those companies were at length pulled into insolvency, the litigation had spread further to a much wider circle of defendants that had not themselves done any manufacturing involving asbestos, but had used such materials in factories, offices, schools, power plants, and so forth.

I’ve also discussed (in this 2007 Reason piece) some of the ways in which government itself promoted the injurious use of asbestos in industrial settings, above all wartime shipbuilding. But I didn’t get into another dimension of the issue, which Rachel Maines (visiting scientist at the Cornell School of Electrical and Computer Engineering) develops in a compelling article on “The Asbestos Litigation Master Narrative: Building Codes, Engineering Standards, and ‘Retroactive Inculpation.'” [via TortsProf, 2012, and very belatedly being linked here]. Maines:

As Cardozo Law School professor Lester Brickman correctly observes, most asbestos claims “were the result of defendant’s retroactive inculpation for acts committed decades earlier that were not wrongful at the time.” I concur with Brickman in this but go beyond him in arguing here that the vast majority of current asbestos claims result, in fact, from past efforts to enable compliance by property owners and building contractors with building codes and engineering standards at the Federal, state, and local levels that specified and approved asbestos in code-compliant assemblies. In many cases, the use of asbestos was required by law; no asbestos-free assemblies were approved in, for example, cathodic wrap for underground steel gas pipe, hot-air register insulating paper, and electrical insulation for conductors in switchboards. There is still no equivalent-performance substitute for asbestos in high-temperature gaskets and some types of high-performance motor vehicle brakes….

In effect, the tort law system that has supported asbestos litigation since 1973 drove much older and well-established building law, and the engineering standards incorporated into it, into a legal shadow from which it has yet to emerge, penalizing the makers and owners of products manufactured in compliance with construction regulations as negligent and characterizing all products that contained asbestos as “defective” and “unreasonably dangerous.” Historians will recognize this as an economically consequential case of the fallacy of presentism: the imposition of modern values on the past. In 1987, Federal judge Christine Cook Nettesheim accurately characterized the initial 1973 asbestos case, Borel v. Fibreboard, as “an icon of hindsight analysis.”

Read the whole thing, which has much other interesting material about the triumph of the “master narrative” of asbestos litigation promoted by plaintiff’s lawyers and their allies.

Schools roundup

  • “A legal challenge at Scotland’s top civil court failed earlier this year, but the No To Named Persons (NO2NP) campaign group has secured a hearing at the Supreme Court in London in March.” [Scotsman, earlier on named person scheme]
  • “The auditors found students in two schools who carried contraband salt shakers” [WSJ editorial on 4.5% drop in participation in school lunch program]
  • Teachers’ union AFT spends tens of millions a year on politics, policy, influence [RiShawn Biddle]
  • “A Short, Sad History of Zero-Tolerance School Policies” [Nick Gillespie, Reason]
  • Divergent Paths: The Academy and the Judiciary is a new Richard Posner book forthcoming from Harvard University Press [Paul Caron, TaxProf] Shouldn’t the program offerings at the Association of American Law Schools include at least as much range of diversity of thought as, for example, the panels at the Federalist Society convention? [John McGinnis, Liberty and Law] Heterodox Academy is a new website and project with its goal to “increase viewpoint diversity in the academy, with a special focus on the social sciences.” [Nicholas Quinn Rosenkranz] More: Jonathan Adler on a widely noted Arthur Brooks op-ed on ideological imbalance in the academy. And don’t forget my book;
  • “Judge Tosses Concussions Lawsuit Against Illinois Prep Group” [Insurance Journal]
  • In case you were wondering, yes, law school trade associations did support that “law school’s a bargain, there’s no real economic crisis for grads” research [Outside the Law School Scam]

“Monkey see, monkey sue” — but not monkey standing

The talk of legal Twitter over the weekend has been Andrew Dhuey’s motion to dismiss for the defendants in the monkey-selfie case. His brief begins (h/t Pogo Was Right):

INTRODUCTION

A monkey, an animal-rights organization and a primatologist walk into federal court to sue for infringement of the monkey’s claimed copyright. What seems like the setup for a punchline is really happening. It should not be happening. Under Cetacean Community v. Bush, 386 F.3d 1169 (9th Cir. 2004), dismissal of this action is required for lack of standing and failure to state a claim upon which relief can be granted. Monkey see, monkey sue is not good law – at least not in the Ninth Circuit.

RELEVANT FACT

The only pertinent fact in this case is that Plaintiff is a monkey suing for copyright infringement.

Meanwhile, on what I suppose you could call a parallel track, from Broward County, Fla.: “Attorney Kenneth Trent says the turtles themselves have standing to sue in federal court” [AP/Fox DC]

Another step toward climate speechcrime: New York subpoenas

Months of agitation promoting a government investigation of supposedly wrongful advocacy on the issue of climate change have begun to pay off. As Holman Jenkins [paywall] notes, purportedly levelheaded Democrats and environmentalists are now jumping on the bandwagon for a probe of possible unlawful speech or non-speech by energy companies and advocacy groups they’ve backed. Perhaps the most remarkable name on that list is Hillary Clinton, who said the other day in New Hampshire, referring to Exxon, “There’s a lot of evidence that they misled people.” That’s right: Hillary Clinton, of all people, now wants to make it unlawful for those who engage in public controversy to mislead people.

The first high-profile law enforcer to bite, it seems, will be Eric Schneiderman, whose doings I’ve examined at length lately. “The New York attorney general has launched an investigation into Exxon Mobil to determine whether the country’s largest oil and gas company lied to investors about how global warming could hurt its balance sheets and also hid the risks posed by climate change from the public,” reports U.S. News. Show me the denier, as someone almost said, and I will find you the crime: “The Martin Act is a nearly empty vessel into which the AG can pour virtually any content that he wants,” as Reuters points out. More on the Martin Act here and here.

At Forbes, Daniel Fisher notes the possible origins of the legal action in an environmentalist-litigator confab in 2012 (“Climate Accountability Initiative”) in which participants speculated that getting access to the internal files of energy companies and advocacy groups could be a way to blow up the climate controversy politically. Fisher also notes that Justice Stephen Breyer, in the Nike v. Kasky case dismissed 12 years ago on other grounds, warned that it will tend to chill advocacy both truthful and otherwise by businesses if opponents can seize on disagreements on contentious public issues and run to court with complaints of consumer (or presumably securities) fraud.

Perhaps in this case chilling advocacy is the whole point. And very much related: my colleague Roger Pilon’s post last week, “Whatever Happened to the Left’s Love of Free Speech?“; Robert Samuelson (“The advocates of a probe into Exxon Mobil are essentially proposing that the company be punished for expressing its opinions.”)

St. Louis suburb runs town hall on ticket money. Is that illegal?

We’ve reported many times on the syndrome of towns outside St. Louis which, often lacking another promising tax base for municipal services, run ticket mills so as to get by on fine and fee revenue. Missouri law limits the share of their budget that can be derived from traffic fines, but not other fines, which means that some towns like Pagedale hammer their homeowners and other locals with regular fines over untrimmed trees, barbecue sets left in front yards, and other minor offenses. But is this illegal? An Institute for Justice lawsuit seeks class-action status on behalf of persons fined for violations as minor as mismatched blinds. [Scott Shackford, Reason]

The thin blue ego: head of police union menaces Tarantino

Forget boycotts and protests: the executive director of the Fraternal Order of Police knew what he was doing when he warned Quentin Tarantino about a “surprise” at the hands of police who would wait until seizing the “right time and place” to “try to hurt” the filmmaker (who has lately criticized police shootings). Asked to clarify, Fraternal Order of Police executive director Jim Pasco said he wasn’t talking about physical violence, but didn’t rule out the other ways police can use the powers of their office to hurt people. I’ve got a post at Cato wondering where this sort of talk will lead. Meanwhile, Scott Shackford at Reason suspects that Pasco’s we-know-where-you-live hinting will end in an anticlimax, like bringing out an inflatable rat or something.

NYT public editor: yes, nail salon series had problems

Poynter: “A blockbuster investigation from The New York Times that provoked officials to intervene in poor workplace conditions in nail salons throughout New York ‘went too far in generalizing about an entire industry,’ Public Editor Margaret Sullivan wrote Friday morning.” That’s, well, cautiously worded: as critics have demonstrated, the series got basic facts wrong and its falsehoods have hurt thousands of New Yorkers, especially struggling immigrants, in multiple ways.

Major congratulations to Jim Epstein, Elizabeth Nolan Brown, and the others at Reason and elsewhere who relentlessly exposed the faults in the Times coverage. And Sullivan’s letter is revealing about just why editors until now ignored Epstein’s Reason coverage, which blew up some of the series’ central allegations about advertised pay rates in the Chinese-language press and about supposed clusters of health effects. “The Times has not responded [because] editors think the magazine, which generally opposes regulation, [is] biased.” Some Twitter responses:

My adventures in redistricting reform

What the reform panel is proposing is about as far removed from party bosses as feasible. …. one thing is clear, the commission is headed in the proper direction.

Baltimore Sun editorial, November 2

Gerrymandering is rife across the country, resulting in artificially drawn districts intended to protect or defeat certain incumbents, maximize one party’s share of power, or achieve other political goals. My own state of Maryland suffers from a famously awful Congressional gerrymander, including the notorious District 3, compared with a “broken-winged pterodactyl” or the blood splatters from a crime scene.

I’ve had a chance to do something about this problem over the past three months as co-chair of the Maryland Redistricting Reform Commission, created by Gov. Larry Hogan in August to gather information and draft recommendations for a new and better way of doing things. Following public hearings, testimony from experts and considerable research, we filed our report with the governor on Tuesday.

Len Lazarick at Maryland Reporter sums up some of the key points. If enacted, our plan would make Maryland the only state in which elected legislators and the governor would no say at all — zero — in deciding who should sit on a line-drawing commission. Our plan follows several elements of California’s ground-breaking plan, including screening of volunteers and randomized pools, simplified and adapted to the circumstances of our smaller state. In addition to requiring congruence with county and city boundaries where possible, contiguity, and compactness, we would join a very few states in instructing the drafters of lines to ignore partisan indicators such as voter registration and past voting results, as well as the place of residence of incumbents or any other person.

Full report here. Some more coverage: Carroll County Times editorial; Naomi Eide, Capital News Service; Josh Hicks, Washington Post; Erin Cox, Baltimore Sun; Fox Baltimore; Jen Fifield, Frederick News-Post (this last quoting me at length, and see also this profile in August).