David Williams, president of the non-profit Taxpayers Protection Alliance (TPA), conveyed to Federal Newswire that the prevalence of trivial mass tort lawsuits could be curtailed through reforms such as imposing penalties on the attorneys who instigate them. He pointed out that mass tort litigation is increasingly being financed by Wall Street investors who share in the profits.
"To solve this growing dysfunction, policy makers should disincentivize bringing frivolous cases," Williams said. "This can be done by increasing penalties for lawyers who bring them and by capping litigator fees. It’s certainly important for people who have truly been wronged to seek redress, but reforms can be made that will target the nefarious actors specifically."
The Advanced Medical Technology Association (AdvaMed) released a report stating that plaintiffs' attorneys and their third-party funders are exploiting mass tort lawsuits to profit at the expense of product manufacturers and the public. According to AdvaMed, these third-party financing funds support "massive" advertising campaigns that employ scare tactics to attract additional plaintiffs. The report highlighted that when corporations are confronted with thousands of cases, they are compelled to either invest in their defense in court or settle, even if the claims they face are "meritless."
Philip Goldberg of Shook Hardy & Bacon opined in a piece for Bloomberg Law that mass tort claims should undergo scrutiny to prevent frivolous lawsuits. Goldberg stated that Wall Street invests "billions" of dollars into mass tort litigation marketing campaigns with an aim to reap profits. He contended that a large volume of claims can convince juries, judges, and the media about their validity. Goldberg mentioned that some companies have had no choice but to file for bankruptcy in order to manage the claims they face and limit liability.
Williams has dedicated 30 years in Washington D.C., identifying and exposing government waste, as per TPA's website. He has participated in government waste panels in South Korea and France and contributed to the formation of a taxpayer group in Great Britain. His commentary has been highlighted by media outlets including The New York Times.
