Tort Reform – Study Shows Savings Are Mythical

September 22, 2014

Tort Reform

Tort Reform

The idea that Tort Reform was going to have any effect on the cost of American Health Care system has been shown time and time again to be nothing but a myth. Tort Reform has been, and continues to be an effort to prevent victims of medical negligence to seek reasonable compensation for their injuries and the cost of dealing with those injuries in the past, present and more importantly the future. It stands to reason that the Insurance Industry gains but limiting recoveries and even reducing verdicts–never mind that a verdict in favor of a plaintiff is by definition evidence that the case just tried was not frivolous!–after a jury has deliberated on the evidence presented.

Tort reform,” which is usually billed as the answer to “frivolous malpractice lawsuits,” has been a central plank in the Republican program for healthcare reform for decades.

The notion has lived on despite copious evidence that that the so-called defensive medicine practiced by doctors merely to stave off lawsuits accounts for, at best, 2% to 3% of U.S. healthcare costs. As for “frivolous lawsuits,” they’re a problem that exists mostly in the minds of conservatives and the medical establishment.

A new study led by Michael B. Rothberg of the Cleveland Clinic and published in the Journal of the American Medical Association aimed to measure how much defensive medicine there is, really, and how much it costs. The researchers’ conclusion is that defensive medicine accounts for about 2.9% of healthcare spending. In other words, out of the estimated $2.7-trillion U.S. healthcare bill, defensive medicine accounts for $78 billion.

As Aaron Carroll observes at the AcademyHealth blog, $78 billion is “not chump change … but it’s still a very small component of overall health care spending.” Any “tort reform” stringent enough to make that go away would likely create other costs, such as a rise in medical mistakes generated by the elimination of the oversight exercised by the court system.

Since it doesn’t appear that “tort reform” would have any effect on this spending, Carroll says, “there seems little reason to pursue it as a means to dramatically reduce health care spending in the United States.”

via New study shows that the savings from ‘tort reform’ are mythical – LA Times.

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Personal Injury Awards – $1.2M Settlement for Worker Who Slipped Out of Unsafe Harness

September 19, 2014

The plaintiff, Christopher Connors, had a safety belt around his waist that was supplied by Big Joe Manufacturing Company, which designed and manufactured the lift. But the belt was loose and slipped off over his head when he fell from the platform.

Connors, who was 29 at the time, suffered severe spine and back injuries. The lawsuit alleged Big Joe, the defendant, was negligent in that it failed to mandate the use of a full body harness as a fall protection system and provided Best Buy with unsafe instructions and warnings.

via $1.2M Settlement for Best Buy Worker Who Slipped Out of Unsafe Harness.

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Fraud – Court Finds Defendants & Defense Law Firm Hid Evidence

September 17, 2014

This is epic! There are often times when I suspect a defense firm of playing not entirely by the rules, but those suspicions always remain at the suspicion stage and do not end up translating themselves into actual proof of malfeasance–although it is not the result of a lack of trying, it is just that either we are overly suspicious or those who do this sort off the rules acts are just very good at it. This finding however, makes me feel that perhaps I am not overly suspicious… Read on!

Last week, an extraordinary decision was issued by the federal Third Circuit Court of Appeals in an asbestos case, which really should rock the corporate defense bar. In the case, Kimberlee Williams, et al. v. BASF Catalysts LLC, et al., asbestos victims provided evidence to the court that “that BASF and [‘the New York law firm that defended it for years in asbestos cases, Cahill Gordon & Reindel LLP’] systematically collected and destroyed or hid evidence of asbestos-contaminated products produced by a BASF predecessor, Engelhard, in order to evade liability and forge quick settlements.” See more here. It was enough evidence to revive a fraud case against BASF and its law firm for “lying about the toxic material, then depriving those injured by it of their day in court.”

This federal decision comes in the wake of fraud allegations made against a company called Garlock Sealing Technologies, which makes asbestos-containing gaskets. In that case, victims’ lawyers were initially accused of withholding certain information from Garlock – an absurd claim because, as I wrote in an earlier post, the supposedly “withheld” information was already in the company’s possession. If I were accused of committing fraud when I did no such thing, I’d start looking into it. And that’s exactly what happened, leading to a brief filed in June by Caplin & Drysdale, finding a ton of evidence proving the exact opposite to be true; that Garlock was the party that “violated [the judges’] discovery orders, hid evidence from the bankruptcy court and presented false testimony …. ‘Garlock has committed a fraud upon the court,’ the accompanying memo said in its first sentence.'” It’s a brutal brief, which you can read here.

via Corporate Lawyers Breaking Bad | Joanne Doroshow.

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Personal Injury Trial – Court Orders Defendant to Show Why Records Should Remain Sealed

September 15, 2014

secret

Secret

They say Democracy dies in secrecy and transparency helps promote it. Unless we are talking about protection of trade secrets (an am trying to be as lenient as possible) I see no reason why the Public should not have access to the documents that have been filed in Court and should presumably be open for the public’s scrutiny.

In United States ex rel. Harman v. Trinity, a federal whistleblower case involving dangerously defective highway guardrails, the court has ordered Trinity Industries, Inc. to show why records in the case should remain sealed from public view after the trial. Over the course of the case, dozens of key briefs and pleadings were filed under seal without any showing that secrecy was warranted, in violation of the public’s presumptive right of access to court records. The secret documents may contain important information on the safety of Trinity’s guardrails, which have been linked to numerous deaths and serious injuries.

The court’s order was issued in response to a motion to intervene and unseal filed by Public Justice on behalf of two non-profit safety groups, the Center for Auto Safety and The Safety Institute. The nonprofits are seeking to open the records because of the serious safety risks posed by hundreds of thousands of guardrails that have been installed in all fifty states – with federal financial assistance – to protect people in highway crashes. U.S. District Judge Rodney Gilstrap denied the motion to intervene on Sept. 4, but at the same time he affirmed the groups’ contention that Trinity must justify why these important records are shielded from public view.

Judge Gilstrap wrote: “the Court takes seriously the public’s right of access regarding trials and evidence presented in judicial proceedings, as well as the Court’s role in enforcing such access. Accordingly, following the trial and return of a verdict in this case, the Court will enter an Order requiring the parties to show good cause why previously sealed testimony, evidence or other material should remain under seal.”

via Court Orders Defendant in Guardrail Whistleblower Case to Show Why Records Should Remain Sealed | Public Justice.

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Medical Malpractice – Feds Will Release Hospital Mistake Data

September 9, 2014

This is very important news. Releasing publicly and naming providers who commit easily preventable mistakes such as leaving a foreign object inside a patient after a surgery is done will go a long way in helping these Hospitals to improve their practices. The important thins to remember is that these are mistakes that are preventable and leads to patient death or further injuries and complications.

This is very different and distinct from an operation that does not lead to an expected result–medicine is an art and human body is a complicated machine and bad results may occur absent any sort of negligence.

Federal regulators are reversing course and will resume publicly releasing data on hospital mistakes, including when foreign objects are left in patients’ bodies or people get the wrong blood type.

USA TODAY reported last month that the Centers for Medicare and Medicaid Services quietly stopped publicly reporting a host of life-threatening mistakes, after denying in 2013 that it would do so.

CMS says it will make this data on eight “hospital-acquired conditions” HACs available on its website.

“We are working to make it available as a public-use file for researchers and others who are interested in the data,” CMS spokesman Aaron Albright said in an e-mail. “It’s been requested, so we will make it available.”

via Feds reverse course, will release hospital mistake data.

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