Overlawyered: Chronicling The High Cost Of Our Legal System

Shaker abstinence: FDA to regulate salt in food

The Food and Drug Administration is planning a crackdown meant to lead to “the first legal limits on the amount of salt allowed in food products,” reports the Washington Post. We’ve been warning of such developments for a while, and they come as little surprise given President Obama’s pick of hyper-regulator Margaret Hamburg as FDA commissioner.

P.S. Perhaps we should invite comment from the New York Times journalist who sternly admonished an interview subject recently: “You shouldn’t trivialize issues of health and safety by calling them nanny issues.”

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Our socially concerned business leaders

Amid wall-to-wall reporting on the SEC’s action against Goldman Sachs over an aromatic mortgage-securities deal, this bit of NYT coverage of one of the central figures in the investigation, hedge funder John Paulson, should not pass without notice:

Amid criticism of investment strategies that profited from mortgage defaults, home foreclosures and other miseries, Mr. Paulson has also given $15 million to the Center for Responsible Lending for a center devoted to providing foreclosure assistance to troubled borrowers.

At the time of the donation, Mr. Paulson said of the center and its work, “We are pleased to help them provide legal services to distressed homeowners, many of whom have been victimized by predatory lenders.”

More on Paulson and the CRL in a March paper by Sean Higgins for the Capital Research Center. Background: Eric Gerding, The Conglomerate.

P.S. Pattern here? Ira Stoll at Future of Capitalism notes later news developments involving the contributor of a Financial Times op-ed piece that ran under the headline, “Obama Must Act to Curb Executive Greed.”

P.P.S.: And more: At Pajamas Media, Stoll takes a closer look at Paulson’s public policy involvements. And yet more. To summarize the modus operandi: Place huge bets that mortgage portfolios will suffer losses in value. Then plow millions into advocacy efforts whose effect is to worsen those losses. Maybe this is business as usual in some sense, but it’s curious to imagine lauding Paulson for his public-spiritedness.

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April 20 roundup

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New at Point of Law

Things you’re missing if you’re not keeping up with my other site:

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Backs propeller boat into victim, manufacturer liable

Jacob Brochtrup jumped into the water to retrieve a tow rope, and was gravely injured when the boat’s driver, who didn’t know he was there, backed the boat up. A Texas federal jury has now found the Brunswick Corp. partly to blame and told it to pay $3.8 million. His attorney argued that “manufacturers could make boats and motors safer by installing guards on propellers and placing a shield over the back,” something that current boat designs do not do. [Austin American-Statesman via Continuous Wave] Related: March 19 (tablesaw design not adopted by industry). More: Abnormal Use.

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Las Vegas lawyer’s radio ad “grossly misstated the law”

The ten-second commercial for Anthony “Tony the Tiger” Lopez Jr. on Spanish-language radio told listeners: “If you have had an auto accident, by law you have the right to receive at least $15,000 for your case.” The Nevada Supreme Court reprimanded Lopez, upholding the findings of a bar disciplinary panel that said his marketing had “harmed the public by fostering unnecessary and unwarranted litigation by people who were not necessarily entitled to any recovery.” [Las Vegas Review Journal via ABA Journal]

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