​Tort Reform Hits GM Ignition Switch Cases

In addition to limiting damages in civil lawsuits, tort reform has become a relied-upon weapon in the campaign arsenals for local, state and federal politicians in Texas and across the U.S. By further demonizing the legal profession and highlighting outlier verdicts, albeit sometimes incorrectly, tort reform advocates have amassed intense support from the public and political parties alike.

The Texas Tort Reform Act was signed into law in 2003 under the notion of establishing and maintaining a fair, honest and predictable system of justice that balances the rights of everyone involved. Supporters point to Texas’ tort reform efforts as the reason why thousands of additional doctors have begun working in the state since 2003 and why they pay lower medical malpractice insurance rates, although many prominent studies and researchers disagree.

One stark example of tort reform’s impact on certain tort victims is the subject of a recent, lengthy article from The New York Times focusing on victims of the well-publicized ignition switch defect in General Motors automobiles. The GM ignition switch defect has allegedly been responsible for more than 40 deaths and countless injuries during the past 10 years. Attorneys for those victims and several media organizations have exposed GM’s extensive efforts to conceal the related dangers and the government’s inability to monitor and stem the problem.

According to the NY Times story, many GM ignition switch cases were settled under confidential terms before the public even knew about the defect. In those cases, what GM knew about the defect and when may never be known. The article also details individual cases where victims’ families have been unable to find a lawyer willing to take on their cases based on restrictive limits on damages, including Wisconsin’s $350,000 cap on loss of society claims.  

While tort reformers’ stated goal of achieving a “fair” and “honest” justice system sounds great in theory, those are not the words that come to mind when potentially meritorious claims are left by the wayside because there’s no chance for a victim to have her day in court to seek a reasonable financial recovery.

Posted: 3/12/2015 6:57:41 AM by Editor | with 0 comments

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Thanks for stopping by On the Merits, the first blog from the Texas Center for Legal Ethics. On the Merits will take a close look at significant legal stories with an eye toward addressing the legal myths and misconceptions that turn up in news stories, movies, TV programs, websites, anonymous emails and other forms of mass communications. Our goal at On the Merits is to provide readers with a thoughtful examination of what the media and others are saying about the legal profession and to apply the frequently-absent context of how the legal system actually works.

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