ATRA: Big Business of California’s Lawsuit Industry Costing Golden State Jobs

April 14, 2005

The American Tort Reform Association (ATRA) on Thursday applauded the Manhattan Institute’s Center for Legal Policy for exposing how plaintiffs’ lawyers are reportedly driving businesses and jobs from California.

Released by the Manhattan Institute’s Center for Legal Policy, “Trial
Lawyers Inc.: California” portrays the state’s lawsuit industry as a “corporation” run by lawyers who have exploited the civil justice system at the expense of California citizens and businesses.

“California citizens should be outraged to learn that they are losing jobs and affordable housing on account of a handful of greedy plaintiffs’ lawyers who have exploited the state’s civil justice system,” said ATRA President Sherman Joyce.

The report highlights how a flood of “construction defect” litigation has
resulted in limited, affordable housing. In addition, 40% of California
companies reportedly plan to move jobs out of state and 50% have policies to halt employment growth due to the labor lawsuit epidemic.

ATRA commented that California courts have made the list of “Judicial Hellholes” for three years in a row. ATRA added the abuses in those courts contribute to California’s economic hardship that is clearly spelled out in Trial Lawyers Inc.: California.

Judicial Hellholes are state trial court jurisdictions where ATRA believes that impartial justice is unavailable. Personal injury lawyers seek out these jurisdictions and file cases there because they know they will receive a large reward, a favorable precedent, or both.

Trial Lawyers Inc.: California is available at Judicial Hellholes is available at

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