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Senate Passes Bill Curbing Class-Action Lawsuits

WASHINGTON -- The U.S. Senate approved a bill to curb class-action lawsuits by shifting most of them from state to federal courts as part of President Bush's effort to overhaul the civil justice system.

by Staff
February 11, 2005
2 min to read


WASHINGTON -- The U.S. Senate approved a bill to curb class-action lawsuits by shifting most of them from state to federal courts as part of President Bush’s effort to overhaul the civil justice system.


Advocates said the measure would reduce lawyers’ forum-shopping for state courts with track records of big settlements, Reuters reported. Federal courts are historically less friendly toward such cases.

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The House of Representatives is expected to pass the bill next week and send it to Bush for signing into law. "The class-action bill is a strong step forward in our efforts to reform the litigation system and keep America the best place in the world to do business," Bush said in a statement.


Senate opponents poured scorn on the class-action bill.


"This bill is one of the most unfair, anti-consumer proposals to come before the Senate in years," said Senate Minority Leader Harry Reid, Democrat of Nevada. "It slams the courthouse doors on a wide range of injured plaintiffs."


"It turns federalism upside down by preventing state courts from hearing state law claims. And it limits corporate accountability at a time of rampant corporate scandals."


The American Association of Trial Lawyers derided the bill as "dreadful public policy" sought by insurers, tobacco, drug, and chemical industries that spent millions on lobbying.

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Julie Rochman, spokeswoman for the American Insurance Association trade group said, "We're thrilled. This has been a very, very long battle."

Topics:F&I

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