Archive for June, 2004

Guest blogger coming tomorrow

It’s guest blogger season again, and our first guest blogger of the summer begins a week of posting tomorrow — be sure to stop by. We’ve lined up another distinguished guest who will be joining us next month, and more volunteers/nominations are welcome: just email.

Tasteful moments in lawyer advertising

The Hartford, Ct. law firm of Haymond, Napoli & Diamond runs an ad that particularly annoys the state’s chief justice, William J. Sullivan. According to the Connecticut Law Tribune, the ad “show[s] bags of money being dropped off by an armored truck, in a presumed showing of the attorney’s courtroom prowess.” (Keith Griffin, “Conn. Justice Attacks ‘Aggressive’ Lawyer Ads”, Connecticut Law Tribune, Jun. 15). Meanwhile, New York Times columnist Bob Herbert today continues his vehement attack on those who suggest the medical liability system might be in need of some reining in, charging: “This is all about greed.” (“Malpractice Myths”, Jun. 21).

Lawmaker proposes reinvigorating Rule 11

Between 1983 and 1993, federal courts maintained relatively strong rules authorizing the levying of sanctions against lawyers or clients who pursue ill-grounded lawsuits, pleadings, motions or defenses. In 1993, following a quiet but determined lobbying campaign by organized litigation interests, Congress more or less gutted those rules, making sanctions much harder to obtain. Reinvigorating Rule 11 has long been high on our list of reform priorities, so we’re glad to see that Rep. Lamar Smith (R-Tex.), who chairs the House Judiciary subcommittee on courts, last week announced that he was introducing a bill entitled the Lawsuit Abuse Reduction Act, restoring a strong Rule 11. According to the Congressman’s Jun. 15 press release, the bill (begin direct quote):

* Makes sanctions against attorneys or parties who file frivolous lawsuits mandatory rather than discretionary;

* Removes a “safe harbor” provision that allows plaintiffs and their attorneys to avoid sanctions for frivolous suits by withdrawing them within 21 days;

* Allows sanctions for frivolous or harassing conduct during discovery, which is the phase of litigation where parties disclose documents;

* Permits judges to order plaintiffs to reimburse reasonable litigation costs, including attorney?s fees.

(end direct quote). According to the release, the bill also contains a provision to curb forum-shopping, and “[e]xtends Rule 11 sanctions to state cases that affect interstate commerce”. The last-mentioned clause sounds more than problematic from a federalist point of view, but presumably can be left on the cutting room floor at some point so that the other provisions can be considered on their own merits. More: Point of Law, Aug. 17.

Supremes dispose of Pledge case on standing grounds

And good for them: “rules about standing, however inconvenient, serve a purpose: limiting the power of the federal courts over our lives and government policies.” (Steve Chapman, “On the pledge, the Supreme Court punts”, Chicago Tribune, Jun. 17). An earlier court ruling had already established the girl’s mother as guardian of her legal interests, and California plaintiff Michael Newdow (who was never married to the mother) should not be permitted to evade that determination by pursuing proceedings in a second court (more on standing).

Plea bargaining

Nearly 95 percent of felony convictions result from plea bargains rather than trial, and acclaimed documentary-maker Ofra Bikel scrutinizes the process in a PBS “Frontline” show that aired last night (“The Plea”, Jun. 17). Last year (Fall 2003) the Cato Institute’s Regulation magazine published pro and con articles on the practice (Timothy Lynch, “The Case Against Plea Bargaining” (PDF); Timothy Sandefur, “In Defense of Plea Bargaining” (PDF)).

John O’Quinn for Texas governor?

The Houston-based mass tort specialist, who has long played a prominent role in these columns for his exploits in asbestos, tobacco, silicone implants and most recently fen-phen (Apr. 28, Feb. 26 and many more), is now being talked of by activists as a potential Democratic candidate for governor of the Lone Star State. (W. Gardner Selby, “Democrats appear to be in no rush to challenge Perry for governorship”, San Antonio Express-News, Jun. 15). One factor helpful to him: last fall (see GregsOpinion.com, Oct. 25) Texas Democrats elected as their chairman San Marcos attorney Charles Soechting, who happens to practice at none other than the law firm of O’Quinn, Laminack & Pirtle.

Massachusetts tobacco fees: “Greed on Trial”

“The question before the jurors was not whether legal fees amounting to $7,700 an hour were ‘unreasonable.’ It was whether the lawyer-plaintiffs should get $1.3 billion more.” Detailed account of tobacco-fee buccaneering and the resulting courtroom antics (complete with “trained-seal” expert witnesses) in one state. When contemplating the tobacco crusade, the chief of litigation at Brown Rudnick said, “I had dollar signs in my eyes, even back at that early stage. And I know that they were large dollar signs.” (Alex Beam, The Atlantic, Jun.). For our coverage of Massachusetts tobacco fees, see Nov. 4 and links from there.

Baron to co-chair Kerry’s “Victory ’04”

Almost enough to make you want to vote for Bush: Dallas mass tort operator Fred Baron, poster boy for legal ethics and co-finance chairman of John Edwards’ presidential campaign (see Feb. 19), has been named co-chairman of Kerry Victory ’04, a joint effort by the Democratic National Committee and the campaign of presumptive nominee Kerry. “Baron says his contacts with contributors who can write big checks which, no doubt, include high-profile Texas plaintiffs lawyers were, in part, responsible for him getting the new post.” (“Texas Lawyer With Edwards Ties Joins Kerry Team”, Texas Lawyer/New York Lawyer, Jun. 2). More: detailed article on how Kerry, whose “voting record shows strong support for the plaintiffs bar”, has inherited the support of John Edwards’ trial-lawyer-based fund-raising machine (Lily Henning, “Edwards’ Army Recruited for Kerry Cash Push”, Legal Times, Jun. 18). Includes quotes from Washington mass tort attorney John Coale (“Kerry has just about a perfect record on issues that interest lawyers and trial lawyers,”) and our friend Lester Brickman. What if Kerry names Edwards as his v.p. pick? “If he’s on the ticket, you can reasonably predict that the amount of giving from trial lawyers will double or triple,” Brickman says. “They will unzip their wallets like they never had before. This would be unprecedented.” Yet more: the AP is on the story (Sharon Theimer, “Trial lawyers boost Kerry’s campaign effort”, AP/Houston Chronicle, Jun. 20)

Double-counting OK in N.Y. child support formulas

Despite objections that it is institutionalizing “double dipping”, New York’s highest court has given its assent to a manifestly unfair practice in family court of counting the same income stream twice in calculating support payments. The issue arises because New York, alone among the 50 states, treats enhanced income attributable to a professional license as community property and awards a share of it to the other spouse. The court may then proceed to assess child support payments on top of that against a non-custodial spouse. In doing so, however, courts have been basing child support formulas on the full professional income stream, even though part of that stream is no longer available, having been awarded to the other spouse. “The immediate effect of the [new Court of Appeals] ruling is that an Albany, N.Y., physician must pay his ex-wife two-thirds of his net income, about $91,000 a year, since his child support calculation ignores the fact that she is already drawing from the value of his medical license.” According to the majority of justices, this result simply follows from the phrasing of the state’s child support statute, and the legislature in Albany is free to change it if it is unfair. Dissenting Justices Robert Smith and Susan Phillips Read, on the other hand, point out that the statute in question “expressly permits departure from its formula to avoid an ‘unjust or inappropriate’ result.” (John Caher, “N.Y. Panel Upholds Disputed Child Support Formula”, New York Law Journal, Jun. 14; Holterman v. Holterman opinion, Jun. 10).