Nov 24 2014

Tort Reform-The Ugly Elephant In The Room

The NY Times editorial board has called for increased accountability and transparency in products liability cases–a call prompted by the recent revelations that General Motors, maker of faulty ignition switches that killed drivers,  and Takata, maker of airbags with deadly defects, hid evidence of the defects as consumers continued be to injured and killed.  The editorial has a more expansive view about such secrecy.  “Whether the products are cars, airbags, tires, toys, cribs, food, drugs or other goods, new laws are needed to deter corporations from covering up safety defects and punish those individuals and companies that do.”  What is the Times really saying here?  When you read between the lines, the message is clear: tort reform is not only a bad idea–it’s deadly.

In this age of transparency, must the Times make a big push for instituting the Sunshine in Litigation Act, so that secret settlements  concerning faulty ignition switches become a thing of the past? As the Times points out, when families of the injured and dead must stay silent, the public loses by missing out on learning of the dangers immediately, and regulators can’t learn from the problems. The Act would require that public safety issues receive consideration before court records are sealed.  The Automaker Accountability Act would eliminate industry-spawned tricks like the $35 million dollar cap on GM’s civil fines from its fatally defective ignition switches.  That amount is meant to cover all injuries and deaths. Pretty sweet deal, no? Maybe the Hide No Harm Act is a good and timely idea. This act was prompted by “evidence that high-level corporate officeres at GM did not act to inform regulators or warn the public of the defective switches even after they knew of the problem.” Such corporate officers should have to face not only large fines, but incarceration when they fail to make such basic disclosures. The Times ominously warns that “under current law, there is no general legal duty for companies or individual company officers to disclose safety dangers.”

Why the caps? Why the secrecy? Why the utter lack of accountability? Why the exalting of corporate profits over consumer safety? Why haven’t we progressed much beyond the good old days when Ford continued to let occupants of its Pinto become incinerated, despite its knowledge of the gas tank defect, because paying out some wrongful death settlements was cheaper than fixing the manufacturing process? The answer is tort reform–the endlessly-funded fountain of misinformation that tells the public that victims of corporate malfeasance, and especially their lawyers, are no more than opportunistic seekers of “jackpot justice” who file frivolous lawsuits that jack up insurance rates for every American. The Times never mentioned that term in its editorial. It didn’t have to.

This article, from Michael Hiltzik of the Los Angeles Times, provides helpful background information on the realities of tort “reform,” and discusses how a new study shows that the savings from so-called tort reform are nothing short of mythical.

So will the truth triumph? Or will Big Business continue to engage in amoral conduct that kills consumers without any fear of accountability? I’ll give you one guess.


UPDATE: What is said to be the first federal lawsuit against Takata has been filed based on the alleged excessive force with which one of its airbags deployed, according to the National Law Journal.

And, Honda has admitted failing to report more than 1,700 incidents of deaths and injuries caused by defects in its cars, including defective Takata airbags.

This afternoon (11/25/14), the Blog of Legal Times reports that a couple of senators are seeking Takata’s internal documents on its airbag defects, after testimony from a top executive left many unanswered questions.




Nov 20 2014

How California Works To Not Improve Patient Safety

They say you should learn from your mistakes, and they are right. That’s how growth and development happen. But it is hard, and usually impossible, to learn from your mistakes if you don’t know what they are.  So when hospitals fail to report medical errors, or lump all of them together into the nebulous category of “adverse events,” without enough case-specific information to make the reporting useful, improvements in medical care fail to happen.

Yet that is exactly what is taking place in California right now, according to this investigative report from NBC News.


UPDATE, Nov. 25, 2014: Consumer Watchdog has called on CA Gov. Jerry Brown to take action to improve the accuracy of the reporting of medical errors,  based on the recent investigation undertaken by a local NBC News station, which made it apparent that state hospitals are vastly underreporting medical errors and the related harm to patients.

Nov 20 2014

“Health Insurance” Not Necessarily Good For Patients’ Health

According to the Hippocratic Oath, a doctor must first do no harm.  But the influence of health insurance companies on modern doctors raises the question of exactly who doctors are bent on not harming: their patients, or their corporate benefactors.  This subject was the topic of a recent, disturbing op-ed piece in the NY Times, which is entitled “How Medical Care Is Being Corrupted.” The authors, both Harvard physicians, warn that:”Insurers, hospital networks and regulatory groups have put in place both rewards and punishments that can powerfully influence your doctor’s decisions”. And their warning is about doctors’ decisions that negatively impact patient care.

Moving to the courtroom setting, TortsProf Blog reports on a trend in medical malpractice trials in which informed consent is not included among the plaintiff’s claims. As Professor Chris Robinette points out, plaintiff’s lawyers are concerned that injecting the consent form into the trial when it is not an issue can prejudice a jury against their clients, if defense lawyers suggest that consent to the procedure equals consent to risks caused by negligence.  To date, seven jurisdictions have adopted a ban on evidence of informed consent in medical malpractice trials that do not include informed consent claims, according to Professor Robinette. His home territory of Pennsylvania may become the eighth.

And Dr. Willy Burgdorfer, who found the bacteria that causes Lyme disease, has died at age 89.

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