Posts Tagged ‘taxpayers’

Update on Mraz v. Chrysler

Readers might remember the Mraz case, where a driver was run over by his own truck because he failed to engage the parking brake, and a jury nevertheless awarded $55 million. (March 8 and March 21, 2007.)

The Chrysler bankruptcy threw a wrench into the appellate process. Given the number of unsecured (and secured!) creditors who were taking a haircut on what Chrysler owed them, and the weakness of the case, one would expect the claim to be extinguished. But Chrysler unilaterally (and almost certainly politically) decided not to extinguish product-liability lawsuits against it, and the Mraz case has settled for $24 million. (Amanda Bronstad, “Chrysler bankruptcy judge approves $24 million personal injury settlement”, National Law Journal, Sep. 25). Of course, the likely $8-$10 million attorneys’ fee in this case is being funded by taxpayers’ bailout money.

September 17 roundup

“Lawsuits are the latest roadblock for California budget”

The L.A. Times reports (via PoL and Bainbridge) that just in case Golden State government were not dysfunctional enough otherwise, you-know-who has gotten involved:

Lawyers are being drafted in droves to unravel spending plans passed by the Legislature and signed by the governor. The goal of these litigators is to get back money their clients lost in the budget process. They are having considerable success, winning one lawsuit after another, costing the state billions of dollars and throwing California’s budget process into further tumult.

Miami fire fee, cont’d: Adorno faces possible bar discipline

“Hank Adorno, head of the nation’s largest minority-owned law firm, violated nine Florida Bar rules when he engineered a $7 million class action settlement that distributed money to only seven people instead of all Miami taxpayers, the state regulatory agency for attorneys claims.” [Billy Shields, Daily Business Review and Law.com; earlier here and here]

John Avlon, “Sue City”

Manhattan Institute Senior Fellow John Avlon, in Forbes:

New York City spends more money on lawsuits than the next five largest American cities — Los Angeles, Chicago, Houston, Phoenix and Philadelphia — combined. The city’s $568 million outlay in fiscal year 2008 was more than double what it spent 15 years ago and 20 times what it paid in 1977.

And the odd and extreme cases continue:

A Brooklyn insurance investigator won $2.3 million this year after he tumbled onto the subway tracks with a 0.18 blood-alcohol level and lost his right leg. (“They’re not allowed to hit you just because you’re drunk and on the track,” his lawyer explained.) A corrections officer received $7.25 million after unsuccessfully attempting suicide, on the grounds that the city should not have permitted her to have a gun. (“Ms. Jones could just have easily turned her city-authorized firearm on anyone,” her lawyer said.)

The piece is adapted from a contribution to a City Journal symposium, “New York’s Tomorrow”, and there’s also an associated podcast (cross-posted from Point of Law). More: Eric Turkewitz talks back from a plaintiff’s point of view (“when you account for inflation, there really hasn’t been much change at all” [compared with 15 years ago)] (& welcome Above the Law, WSJ Law Blog readers)

Fractious in Framingham

A long-running controversy pits some elected officials and townspeople of Framingham, Mass., west of Boston, against a social service agency that has proposed the town as a site for halfway houses and other residential facilities for recovering addicts, the homeless and others. Two years ago things turned particularly unpleasant:

…[South Middlesex Opportunity Council] filed suit in federal court this week demanding damages not just from town officials, but from citizens who have dared criticize the agency and challenge its plans.

SMOC’s 99-page complaint [which alleged violations of the Fair Housing Act, federal Rehabilitation Act, Americans With Disabilities Act and Civil Rights Act — ed.] piles up charges against selectmen and planning board members not just in their official capacity, but as individuals. It targets town employees, both named and unnamed. It calls for damages against four Framingham Town Meeting members and two citizens for comments made on a private Web site and e-mails distributed on a privately-operated mailing list.

The ACLU of Massachusetts expressed unease at the naming of private citizens as defendants over their advocacy efforts. While the lawsuit has been narrowed somewhat in the two years since then, it continues to engender much acrimony as it drags on:

Aggravating the ill will is a recent revelation that a man charged with shooting a local police officer had lived in a home run by the agency, the South Middlesex Opportunity Council, or SMOC.

Police lenient? Skagit County jury: taxpayers should pay

Washington state jails are overcrowded, so—presumably to avoid lawsuits over overcrowding—Washington State Patrol policy is to arrest nonviolent offenders without jailing them. In the case of Bellingham resident Janine Parker, drunk driving in the early morning hours of January 4, Trooper Chad Bosman arrested her, and drove her home, telling her not to drive until she was sober. Nevertheless, Parker, an hour later, found a taxi to take her nine miles to her car left by the side of the road, and drove drunk head on into Hailey French’s auto, causing the innocent 22-year-old driver many injuries.

French sued Parker, of course, but also the Washington State Patrol and Whatcom County (the latter apparently failed to put an ignition-interlock device in her car as Parker’s probation from an earlier conviction provided). (Miraculously, she doesn’t seem to have sued the taxi company.) A Skagit County jury found the two governmental entities jointly liable for $5.5 million. According to press accounts, the two defense attorneys each tried to get the jury to blame the other deep pocket: apparently, making the suggestion the person responsible for the drunk driving was the person responsible was beyond either hope or comprehension, though a web commenter to the article claims that Parker testified that the accident was entirely her fault. (Peter Jensen, “Whatcom County woman’s suit against county, State Patrol in jury’s hands”, Bellingham Herald, Apr. 24; May 1 post-trial press release of victorious plaintiff’s attorney).