No More Jackpots

MANGU-WARD, KATHERINE

No More Jackpots Tort reform triumphs in Mississippi. BY KATHERINE MANGU-WARD MISSISSIPPI, all too used to ranking last or near last among the states in everything from education to wealth to...

...In a remarkable 83-day special session ending on November 26, the Mississippi legislature rewrote the laws that had made the state so hospitable to big-award liability cases...
...This month's 45 percent to 90 percent increases in medical malpractice premiums for all doctors in the state demonstrate there's still work to do...
...The issue, after all, had been around for years...
...But Barbara Bruin, a lawyer active in the tort reform campaign, insists the courts are changing...
...Negotiations on liability reforms dragged on into late November...
...it was the first time in its 90-year history the chamber had singled out a state for such treatment...
...punitive damages were capped...
...In a state with elected judges, judicial nullification of the new provisions of some concern...
...And there were other reasons to doubt Mus-grove's zeal...
...awards for pain and suffering in medical malpractice cases were capped...
...Governor Musgrove had said he would sign a tort reform bill only on condition he could first sign a prison reform bill not substantially different from one the legislature had rejected just weeks before...
...Lieutenant Governor Amy Tuck, who presides over the senate, and who had not previously championed tort reform, threw her weight behind the issue, holding out for a substantial package of changes...
...BY KATHERINE MANGU-WARD MISSISSIPPI, all too used to ranking last or near last among the states in everything from education to wealth to race relations, has just seen a black mark against it erased: it is no longer the "jackpot justice" state, notorious for huge jury awards to plaintiffs who sue corporations and doctors on a contingency fee basis...
...And in 1994, state attorney general Michael Moore had put Mississippi on the map by filing landmark state litigation against the tobacco industry...
...Chamber of Commerce actually warned companies against doing business in the state...
...several Democratic senators went with her or are rumored to be considering the switch...
...it also includes the venue reforms, curbs on frivolous lawsuits, and protections for retailers who sell defective products through no fault of their own...
...Local politicians took notice...
...The final compromise establishes a sliding scale of ceilings on punitive damage awards for product liability based on the net worth of defendants, up to a maximum of $20 million, with some exceptions...
...Many of the votes in the special session were roll calls, and legislators' records are expected to be an issue in the upcoming state elections...
...Mississippi jury awards against tobacco, asbestos, and drug manufacturers were among the highest in the nation...
...Within a month, the legislature announced hearings on the civil justice system, and Governor Ronnie Musgrove, saying Mississippi needed "a good, fair playing field for business, industry, and our citizens," called for the special session...
...In less than 48 hours, the senate passed the product liability package 43-6...
...As late as the very eve of the special session, few anticipated this sweeping outcome...
...Debate had long raged between conservative and business forces bent on tort reform and skeptics who debunked the "liability crisis" as PR and argued reforms would bar injured individuals from seeking redress...
...But in the end, leadership emerged from an unexpected quarter...
...Addressing the Mississip-pians for Economic Progress, in Madison, he said the "lawsuit industry" was "devastating the practice of medicine" in Mississippi...
...The political fallout from all this has been striking...
...According to the Jackson Clarion-Ledger, in the last election 43 percent of his campaign contributions had come from trial lawyers...
...The medical malpractice bill capping noneconomic damages at $500,000 was passed and signed by the governor in October...
...Trent Lott notwithstanding, it seems that Mississippi is finally doing something right...
...In 2002, the reformers got some high-profile help from out of state...
...Reporter Joey Bunch of the Biloxi Sun Herald, notably, stayed on the story, airing the arguments and testing the claims of both sides...
...Then on August 7, President Bush weighed in...
...She notes, "Mississippians elected pro-reform judges this fall...
...At the time, with the special session due to begin on September 5, Bush's audience still thought they were gearing up for an extended legislative fight, more like three years than three months...
...Out-of-control awards hurt ordinary people, he stressed, not big business, by driving doctors out of the state and raising health insurance costs...
...The vote in the House was 10812...
...and the lax venue rules that had allowed plaintiffs to shop for locales likely to produce sympathetic juries were swept away by the requirement that most cases be tried in the counties where the plaintiffs reside...
...Will the reforms stand...
...The logjam was finally broken on November 24, when the CBS program 60 Minutes aired "Jackpot Justice," an expose of the disorder in Mississippi's courts...
...Local media kept the pressure on...
...Lieutenant Governor Tuck left the Democratic party to join the Republicans at the beginning of December...
...U.S...
...in May, with liability premiums rising and insurers fleeing Mississippi, the Katherine Mangu-Ward is an editorial assistant at THE WEEKLY STANDARD...
...Bruin continues, "As we speak, the legislature has reconvened...
...People are inspired by the momentum that was created in the special session and are anxious to continue to deal with the crisis facing the state...

Vol. 8 • January 2003 • No. 19


 
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