Putting the Brakes on Costly, Frivolous Lawsuits
Terry Everett, March 15, 2004
Last week, the U.S. House of Representatives signaled that it is time to put the brakes on the tidal wave of frivolous lawsuits sweeping across the land driving up costs of doing business and depriving the public of vital affordable services, including health care.
America is a nation swamped by lawsuit or "tort" abuse. It has been estimated that the cost of such lawsuits on American business and the economy is double that of the average of other industrialized nations. A recent Tillinghast-Towers Perrin study revealed that lawsuit abuse cost America $205 billion in 2001.
Like taxes which are levied on business by government and are in turn passed down to the consumer through higher prices for goods and services, frivolous lawsuits drive up the cost of everything from medical care to food. Unfortunately, such abuse of the legal system is encouraged by a growing national culture where exercising responsibility and common sense is passé.
On March 10, the U.S. House passed the Personal Responsibility in Food Consumption Act (HR 339). I was a cosponsor of this legislation which prohibits civil liability lawsuits from being brought against food manufacturers, sellers or trade associations in Federal and state court for a person's consumption of food resulting in weight gain or obesity.
It would seem that such a legal stand by Congress would be unnecessary, yet frivolous lawsuits have become all too common in an America where people refuse to exercise proper judgment and responsibility in their personal life decisions. It is ironic that at the same time that the House passed HR 339 last week, the Centers for Disease Control announced that the death rate from obesity and sedentary lifestyles among Americans has risen dramatically.
As Americans are getting fatter from overeating and lack of exercise, the largest private employer in America, the food industry, has been targeted by trial lawyers anxious to feast on some $40 billion in potential profits from lawsuits against fast food restaurants. Where do such ridiculous lawsuits end? Will they next seek to sue the manufacturers of television remote control devices for making it easier for couch potatoes to remain seated?
The abuse of the legal system, unfortunately, does not stop with suing restaurants for serving oversized portions. It transcends our economy and is most apparent in the skyrocketing costs of health care. In March 2003, the U.S. House passed legislation to block frivolous malpractice law suits with astronomically high damage awards. These actions often result in higher medical insurance premiums for the consumer, depriving many of proper health care. The legislation would not hinder legitimate malpractice claims.
Also, last April I supported legislation to prohibit lawsuits against gun manufacturers, distributors, and dealers for the misuse of their products by others. The bill included language from a similar bill which I introduced last year.
Finally, last June the U.S. House passed the Class Action Fairness Act which bars most forms of state class action lawsuits, giving jurisdiction over most such suits to Federal district courts, and establishing a "bill of rights" for plaintiffs in Federal class action lawsuits. The intent of the bill is to prevent trial lawyers from shopping their cases to state courts with a record of handing out the largest jury awards in the country.
Lawsuit abuse must be addressed before it cripples our economy and steals jobs and services from consumers. It's time to restore fairness and responsibility to America's civil courts.
Congressman Terry Everett represents the 2nd Congressional District of Alabama in the U.S. House of Representatives.
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