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Book Review                           

    Summer 2003


The Rule of Lawyers
By Walter K. Olson; New York, St. Martin's Press,  pp.358, 2003.

This up-to-date indictment of the huge influence of the trial lawyers in the United States occasionally reads like a Republican screed but does cover most of the recent product liability and class action lawsuits that have garnered so much public attention: the tobacco wars and multi-state settlement, asbestos litigation, breast implants, pharmaceutical, automobile and gun damages and a variety of other widespread legal actions. Not surprisingly, Mr. Olson's chief complaints are the big money and the big political influence derived from all the litigation. His major thesis is that the plaintiffs' bar has taken over the function of the Congress and the various state legislatures without any constitutional mandate. Thus the subtitle: "How the New Litigation Elite Threatens America's Rule of Law."

The biggest targets are, of course, the often colorful, multi-millionaire trial lawyers-turned-entrepreneurs and the state attorneys general who have collaborated with them in obtaining more political clout for themselves and more money for their states. Local judges, especially in those plaintiff-friendly southern districts the author calls "the Jackpot Belt" and reluctant legislators also come in for their share of criticism. About the only "class" that comes in for a certain praise is the federal bench, who the author cites as exercising the only major restraint on the trial lawyers takeover of the law-making process that they might call "doing well by doing good."

The book is peopled with a fascinating cast of characters. Dickie Scruggs and Michael Moore, the architects of the tobacco "extortion" are spotlighted as are the leading legal lights in the asbestos and diet drug class actions. A whole chapter is devoted to the phony presentations of automobile defects by Dateline and other TV magazine shows. Not unexpectedly, Ralph Nader and his minions come in for special critique.

Mr. Olson contrasts the legal process in the United States with that of modern, democratic foreign countries. The U.S. does not come off well in his purview. Mostly, the absence of the "loser pays" concept so well established abroad comes in for much criticism. This allows multiple lawsuits to get started without much downside risk. The new-found cooperation among trial attorneys and especially the pooling of personnel and financial resources in bringing these industry-wide class actions comes in for special attention. This allows widespread publicity and trolling for clients.

Mr. Olson is particularly incensed at the collaboration of private attorneys with government in which the attorneys fees are basically unrestricted. Their fees are often not a percentage of the total settlement. The consortium of lawyers often charge the defendant directly in a separate settlement that is not open to public scrutiny. There is, according to the author, often little correlation between the amount of work and the fees obtained, resulting in hourly compensation in the thousands of dollars.

The pendulum has swung too far in the direction of the self-appointed guardians of the people: class warfare indeed. The imbalance probably needs some restoration. Mr. Olson compares some of these major litigators to men on horseback with near dictatorial influence over whole industries. That may be an overreach but their "get things done" philosophy has trumped the sluggish and often downright dawdling legislative process, often frustrating but necessary in a democratic country with multiple special interests and a heterogeneous population.

While this book won't rank with The Jungle or Unsafe at Any Speed in its influence of the inequities between the corporate world and the working class, some of its major points are well worth considering in realigning the delicate balance and reshaping the legal process. Tort reform, while the watchword of the day with a friendly national administration and promoted by manufacturers and insurance companies and physicians, comes slowly and end-runs around the rules can always be made by enterprising attorneys with new legal theories of harm. Further, large political contributions to key Congressmen and state legislators is a perpetual tool that keeps reform in check and sustains the business-as-usual attitude. The fact that many legislative types come from the ranks of trial lawyers and retain their "friendly" affiliations with their former firms and colleagues adds to the difficulty.

Mr. Olson does not have a practical cure for all the abuses he cites, however he does make some valuable suggestions for reform. A worthwhile read although, to borrow from Fox News Network's famous phrase, somewhat unfair and unbalanced.

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