Democrats block US tort reform
Democrats in the US Senate have succeeded in blocking passage of a reform bill that would have put the brakes on frivolous class actions. Insurance groups have decried the move, which they see as a victory for the American Trial Lawyers Association, a major financial supporter of the Democratic Party.
It was a close thing, with the bill defeated in its bid to get up for a vote. It was passed by the lower House of Representatives earlier this year by 253-170, but failed by one vote to receive the necessary 60 votes to proceed to the next stage.
The bill called for all class action cases involving plaintiffs from more than one state and involving more than $US5 million ($7.1 million) to be heard in a federal court. It was intended to put an end to “forum shopping”, under which lawyers would try to have their cases heard in states and courts that were known to be sympathetic.