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Opponents of a new legislation backed by President Bush that is gaining momentum into becoming a bill, are angered by the measures outlined. The legislation, if passed would move more class action lawsuits out of state courts and into federal courts. Cases in federal courts are more likely to be thrown out or received a much lesser compensation award. Critics find the legislation a scapegoat for businesses in the wrong.
In October, the legislation was one vote short of reaching a filibuster proof, 60- vote majority, which eliminated the legislation for the rest of 2003. In November, some Democrats struck a deal with the Republican majority that could end up making the legislation a bill by making compromises. President of Public Citizen consumer group Joan Claybrook believes, "we oppose vehemently this compromise and we''re shocked that these senators have agreed to it."
The compromise has added a second category where class action lawsuits can stay in state court if at least 2/3rds of the class action litigants are from the same state. If a class action case alleges the same claim against the same defendants that had been filed in state court within three years prior, the case will be sent to federal court. The compromise would also reinstate "bounties", which would allow the main person bringing forward the class action lawsuit more money than other plaintiffs.
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