As trial lawyer Bill Lerach reports to prison, the U.S. Chamber Institute for Legal Reform supports exposing the ‘industry practice’ of the trial bar
Statement of Lisa Rickard, President of the U.S. Chamber Institute for Legal Reform, on Senator Cornyn’s call for the Senate to investigate recent abuses by the plaintiffs’ trial bar:
“Interviewed after his trial, plaintiffs’ attorney Bill Lerach admitted it is ‘industry practice’ to give kickbacks to plaintiffs and effectively bilk clients out of their settlements. We think it is appropriate that as Lerach today begins serving a two-year sentence for his crimes, Congress is being challenged to investigate and act upon the apparently widespread abuses that led this attorney-turned-inmate to federal prison.
“We support Senator Cornyn’s legislation, the ‘Securities Litigation Attorney Accountability and Transparency Act,’ because it would shine a light on the corrupt practices of securities litigation lawyers and help prevent future Bill Lerachs from selling out their clients for increased legal fees.
“We hope Congress will initiate a full investigation into America’s lawsuit industry, and we encourage House and Senate leadership to take the necessary steps to repair our abused legal system. Where they find abuses, Congress should quickly enact reform. Justice will only be served when the ‘industry practice’ of Lerach’s trial lawyer colleagues is fully exposed and dealt with.
“Every American who has a pension, college savings fund or investment is hurt by the ongoing corruption of our legal system. Congress has an obligation to investigate the culture of greed and deception Lerach admits is so prevalent within the plaintiffs’ trial bar.”