fbpx
News
November 15, 2013

Bill to Reduce Frivolous Litigation Passes

On Thursday, the House of Representatives passed the Lawsuit Abuse Reduction Act (LARA), a measure that seeks to reduce wasteful litigation by making sanctions against frivolous claims mandatory rather than discretionary. The law would also eliminate a 21-day “safe harbor” rule that allows a plaintiff’s attorney to withdraw a lawsuit without penalty.

CQ reports:

Sponsored by former Judiciary Chairman Lamar Smith, R-Texas, the bill (HR 2655) would revise rules governing civil procedure in federal court to require financial penalties for lawyers found to have filed frivolous claims. The House passed Smith’s measure in a 228-195 vote.

Under the bill, fees imposed would be used to compensate the injured party for expenses incurred, such as attorneys’ fees. Sanctions also could come in the form of non-monetary penalties, including dismissal of the suit.

ILR president Lisa Rickard hailed the vote. “Passing LARA will result in fewer phony lawsuits and less wasteful litigation,” she said in a statement. “And every American would benefit from a less litigious society.”

The bill is the second significant legal reform measure approved by the House this week. On Wednesday, the chamber passed the FACT Act, which would bring greater oversight and transparency to the asbestos bankruptcy trust system.

calculator bankruptcy system Blog Protect the Integrity of the Bankruptcy System. Don’t Let Trial Lawyers Destroy It Other Issues Blog West Virginia Wants to Pay Jurors More---That’s a Good Thing Asbestos, Other Issues Podcasts Episode 23: Torts of The Future: Drones Class Action Litigation, Other Issues Press Releases US Chamber of Commerce Institute For Legal Reform Issues Statement on West Virginia Gov. Jim Justice’s Appointments to the Intermediate Court of Appeals Other Issues Podcasts EPISODE 21: Summit XXI: Litigation Line of Sight: Class and Mass Action Trends in Europe Class Action Litigation, Data Privacy, International Initiatives, Other Issues

Cookie Notice

By clicking “I Accept”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.

Cookie Notice

By clicking “I Accept”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. Review Settings