Printer Friendly

The New England Council Lauds Congress for Passing Class Action Reform Legislation.

BOSTON -- The New England Council President James T. Brett lauded Congress today for passing class action reform legislation.

Last week the Senate passed the Class Action Fairness Act which will reform laws governing class action lawsuits in a variety of ways, including moving many multi-state class action lawsuits from state courts to federal court. The House today followed suit and passed the bill without amendment. It is expected to be signed into law by the President tomorrow.

"This bill will help our legal system work more efficiently and is fairer for both plaintiffs and defendants," Brett commented. "It is a truly bipartisan bill that was carefully crafted with input from both sides of the aisle."

The Class Action Fairness Act contains numerous consumer protection provisions, including one that would prohibit settlements where the awards are so low that plaintiffs, after paying for legal fees, actually lose money. The Act also includes provisions that guard against coupon settlements that provide little or no value to consumers.

"Many of these inequities in the system have led to frivolous lawsuits which are causing backlogs in the courts," Brett said.

The result of these inefficiencies can not only burden businesses with unnecessary costs, but ultimately raises costs for consumers.

Class action lawsuits were established as a means of resolving lawsuits involving large numbers of individuals with similar claims. State standards governing these cases have become varied among the states over the years. The lack of uniformity has led to frivolous lawsuits. It has also led to some state court jurisdictions attracting cases because defendants and lawyers are "shopping" for a favorable outcome.

The New England Council has been a leading advocate for class action reform legislation. Council President and CEO James Brett has been invited to attend the bill signing ceremony at the White House after the Council worked closely with a broad coalition of business groups and other supporters from around the country to pass this important legislation.

The New England Council is the nation's oldest regional business organization, dedicated to promoting economic development and a high quality of life in the six-state region.
COPYRIGHT 2005 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2005, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Feb 17, 2005
Previous Article:Announcing Going Visual - The First Book To Describe The Powerful Impact Of Digital Photography On Business Productivity, Decision-Making And...
Next Article:SL Green Realty Signs 87,000 SF Lease with Related Capital Company at 625 Madison Avenue.

Related Articles
Americans United, Others Drop Support For Religious Liberty Bill.
Rethinking the Rules.
The 108th congress: a task list. (Washington Insights).
Congress has much work to do.
Postal rate hike possible.
Property and asset management.
Tax policy.
Celebrating victories: the NAA/NMHC joint legislative program reports on its major legislative and regulatory accomplishments from 2005.
Hill bulletin.

Terms of use | Copyright © 2018 Farlex, Inc. | Feedback | For webmasters