1. Ch. 15 Law in America

2. Is Legal Reform Needed? Lawsuit abuse “Litigious society” Tort reform Lawyer jokes

3. Areas of Alleged Legal Abuse Medical Malpractice lawsuits Product liability lawsuits Class action lawsuits

4. What Causes or Allows Lawsuit Abuse? Contingency fees –Typically 30-40% of award “Ambulance chasers” –Personal injury attorneys “Deep pockets” –Due to “joint and several liability”

5. Types of Damages Economic damages Pain and Suffering Punitive damages –Could go to a public interest fund rather than the plaintiff

6. Who Pays the Windfall Awards? We all do Insurance companies –Raises our insurance rates –Drives people from their professions Businesses –Bankruptcies result –People lost jobs –Costs are passed along to consumers

7. What are Other Effects of Lawsuit Abuse? Removal of playground equipment Prohibitions against “dangerous” pastimes Lax classroom discipline

8. In Great Britain Contingency fees are considered unethical and are illegal Judges rather than juries hear liability cases

9. What would Ralph Nader say? Product liability lawsuits keep companies from abusing consumers