Posts Tagged ‘asbestos’

November 29 roundup

Justinian Lane: reform supporter?

Until now, we’ve ignored a small left-wing think-tank’s admitted attempt to create a Bizarro-world version of Overlawyered. The writers are a recent college graduate and a recent law-school graduate who don’t appear to have actually read anything reformers write in support of reform. (For example, one post links to Overlawyered when defending the infamous McDonald’s coffee lawsuit, but fails to address any of Overlawyered’s arguments for why the McDonald’s coffee case is meritless, and simply repeats ATLA propaganda that Overlawyered refuted.) The blog has consisted mostly of thoughtless regurgitation of trial-lawyer talking points; when original analysis is attempted, it rises to the level of self-parody, such as an analysis of Leonard v. Nationwide (see POL Sep. 7 and links therein) that ignores the language of the insurance policy, the relevant Mississippi precedent, the existing discussion in the blogosphere, and any semblance of public policy rationalization in lieu of a Wikipedia definition to argue that the decision (and the defendant) are racist because some African-American plaintiffs might lose as a result.

Another such post is Justinian Lane’s “The Myth of the Frivolous Lawsuit.” The standard trial-lawyer talking point on such issues is to redefine “frivolous lawsuit” to consist of an exceedingly narrow subset of what it is laypeople are talking about when using the term “frivolous lawsuits,” note that the legal system has some mechanisms to address this narrow subset of cases, and then conclude that there’s no problem and thus no need for reform. (Or, as per John Edwards, announce Potemkin legislation to tackle this artificially constrained set of “frivolous lawsuits” that does nothing to actually address the problems of the tort system.) But Lane, perhaps because of his unfamiliarity with the legal system, bites off more than he can chew and inadvertently proves the reformers’ point.

Read On…

But where are the customers’ Lamborghinis?

Houston plaintiff’s lawyer John O’Quinn, famed for his huge fee hauls in asbestos, tobacco and silicone breast implant cases, was the winning bidder at $500,000 at a Labor Day auction of a Lamborghini race car signed by celebrities. O’Quinn “also spent $335,000 on a Batmobile used in the film ‘Batman Forever.’ His other purchases at the auction included $250,000 for a 1938 Cadillac Town Car used by Pope Pius XII and $290,000 for a 1941 Packard limousine used by President Franklin D. Roosevelt.” (AP/Houston Chronicle, Sept. 5; Houstonist, Sept. 5)(title allusion).

Motley Rice and its 9/11 cases

September 11 litigation as an industry, courtesy of the asbestos/tobacco zillionaires from South Carolina:

While other lawyers have resolved most or all of their cases — at least 32 of the roughly 90 total lawsuits have settled — Motley Rice has settled only three. …According to several lawyers and plaintiffs in the case, Motley Rice has made unusually high settlement demands, often 5 to 10 times higher than similar plane crash cases. The higher demands stem from Motley’s calculations for what it calls “terror damages” — compensation for the amount of time frightened victims knew they were fated to die — of between $750,000 and $1 million a minute, according to those lawyers and clients, who requested that their names not be used because the settlement process is confidential.

The story deserves a place in the “Not About The Money” files because client after client informs the Boston Globe that their litigation stance is entirely unrelated to that disdained cash nexus; presumably it’s just happenstance that they have wound up represented by lawyers who are making monetary recovery a very high priority indeed. Somehow one is reminded of the character in Flannery O’Connor: “Mrs. Hopewell had no bad qualities of her own but she was able to use other people’s in such a constructive way that she never felt the lack.” (via Lattman)(cross-posted from Point of Law).

Big news day

When obtaining medico-legal diagnoses…

…do try to obtain one from a doctor who exists, rather than from one who doesn’t. Former railway worker Rodney Chambers, suing CSX Transportation on a claim of asbestosis, claimed to have been examined by a certain Dr. Oscar Frye on May 14, 2005 in support of his claim. Lawyers for CSX attempted to trace the doctor and found that the phone number Chambers had given for him belonged to someone else, state boards could find no record of ever licensing a doctor by that name, and the street address Chambers gave for the doctor in Huntington, West Virginia wasn’t a real street address. A further problem: the form Chambers submitted to attest to his asbestosis diagnosis “was identical to several other medical questionnaires received from doctors around the country.” Now the CSX lawyers would like to probe whether there is a wider pattern to be found among other asbestos claimants represented by Chambers’ lawyers. (Beth Gorczyca, “Claimant’s Diagnosis Challenged”, West Virginia State Journal, Jul. 27).

Update: “Victims and Families United”

Judy Buckles, one of the “founders” of the Astroturf group Victims and Families United (Feb. 20, 2004, Sep. 13, 2004) has suddenly discovered that the prominent plaintiffs’ firms of Madison County may not have plaintiffs’ best interests at heart, and is suing prominent asbestos firm SimmonsCooper for allegedly shortchanging her in its representation of her and her late husband. That she’s represented by the Lakin Law Firm suggests interesting machinations afoot in the county. (Steve Gonzalez, “Victims’ advocate sues asbestos attorneys for gypping her”, Madison County Record, Jul. 13; “Pawn Shop”, Madison County Record, Jul. 16).

Party like you’re a tobacco lawyer

To celebrate Beaumont tobacco/asbestos lawyer Walter Umphrey’s seventieth birthday, fellow Texas Tobacco Five member John Eddie Williams took over a private aircraft hangar — Umphrey’s own, in fact — “moved out the two private jets and the helicopter, added on a two-story party tent and threw a no-holds-barred tribute to Umphrey.” Music was provided by Chuck Berry, Jerry Lee Lewis and Rotel and the Hot Tomatoes, performing on two different stages, and there was some pretty decent food too. Among the 400 attendees: gubernatorial candidate Carole Keeton Strayhorn. (Shelby Hodge, “Wild soiree in hangar was Western to the hilt”, Houston Chronicle, May 14). Of course it was a mere kaffeeklatsch compared with a Willie Gary or Mark Lanier party.

Now back to your previously scheduled news story about excessive CEO compensation.

Safety mask litigation

Today’s W$J has an editorial about the ill consequences of the trend in recent years for lawyers prosecuting asbestos and silicosis cases to add makers of commonly used industrial masks and respirators as defendants in their suits:

The Coalition for Breathing Safety, an industry group, reports that between 2000 and 2004 plaintiffs attorneys filed more than 326,000 claims against its five members. Some of these are asbestos-related, although the recent deluge has been all silicosis. One manufacturer (which prefers not to be named lest it become a bigger target) says that prior to 2002 it faced about 200 silicosis claims a year. In 2003-4, it got hit with 29,000….The industry coalition estimates its members have spent the equivalent of 90% of their 2004 net income fighting suits in recent years.

The suits have fared poorly — none of the respirator makers have lost a case in court — but the making of industrial respirators and masks is a low-margin line of business, and companies that invest heavily in the business may simply be buying themselves legal risk. And now comes the scare over avian flu:

Respirator manufacturers are still going strong overseas, but the U.S. could find itself unable to purchase these products in a crisis. Worried about a possible flu pandemic, many governments are snapping up masks; France is acquiring 685 million. In previous disease scares (say, China and SARS), countries have blocked mask exports. Local U.S. governments and hospitals are already having a hard time finding supplies.

It might be added that the plight of respirator makers is attributable in large part to the economics of what has been called the shotgun approach to defendant-naming. It is very unlikely that lawyers would have filed 300,000 claims against mask makers, or anything approaching that number, if each suit had to be filed as a freestanding matter. However, it costs very little to add 3M or another respirator defendant when a case is already been judged to be worth filing against other, more vulnerable defendants. For more on the mask litigation, see Sept. 15, 2004 and Jan. 22, 2005. More: Point of Law, May 9.

AEI Liability Outlook: “Making the FAIR Act Fair”

The first edition of the AEI Liability Outlook is out today, and features my analysis of pending asbestos legislation:

The AEI Liability Project hereby inaugurates its Liability Outlook series, designed to guarantee a paper trail to exclude any of its authors from Article III appointments. This Outlook examines the congressional attempts at asbestos liability reform. The eventual cost of asbestos litigation is estimated in the hundreds of billions of dollars, the majority of which will end up in the hands of attorneys, thus affecting thousands of corporate defendants with little or no culpability and costing tens of thousands of jobs. The trust-fund approach is a congressional attempt to reach a compromise on the liability problem, so long as nationwide reform is not politically feasible. While a trust fund has the potential to save tens of billions of dollars, the current legislation suffers from dangerous flaws that could make the cost of the asbestos litigation crisis far worse.

Other Point of Law coverage of S. 852. (Cross-posted at Point of Law.)