Texans for Lawsuit Reform

Through political action, legal, academic and market research, and grassroots initiatives, TLR fights for common-sense reforms that keep Texas open for business.

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For the Record

The Great Tuna Settlement of 2015

A recent newspaper article spurred us to look into The Great Tuna Settlement of 2015. What we found, of course, was more evidence of client recruitment by enterprising plaintiff lawyers.

In Spring 2015, a California law firm announced it had settled a nationwide class action lawsuit against Starkist for $12 million. The basis of the lawsuit was that Starkist’s five-ounce cans of tuna did not actually contain five ounces of meat. The cans were, it was alleged, slightly underfilled.

Under the proposed settlement, consumers were to receive a cash award of $25 or tuna vouchers worth $50, but the fine print contained a caveat: the settlement was subject to “pro rata dilution if the total amount of claims exceeds the available settlement funds.” In other words, the more people who joined the class, the lower each class member’s award would be. The federal judge in California overseeing the case found that the $12 million settlement was adequate because the plaintiff’s case was “relatively weak.” It turns out it was going to be difficult to establish that a substantial number of underweight cans were sold to the public.

Based on rates of $300 to $850 per hour, the plaintiff’s lawyers claimed to have $1.6 million of billable time in the file. They asked to be awarded a $4 million fee. Case-related expenses topped $500,000. Thus, the funds available to the class were reduced to a little under $7.5 million.

Multiple news outlets picked up the story. The unexpected publicity resulted in 2.5 million claims being submitted by consumers. Because of the “pro rata dilution” provision in the settlement agreement, each cash claim was reduced from $25 to under $2, and each voucher claim was reduced from $50 to around $4.

Due to appeals, the settlement still has not been funded.

While all of this is interesting, none of it is what really caught our attention. Here’s what did …

In asking for court approval of the settlement, the lead plaintiff’s lawyer filed a declaration explaining how his firm got the case. He explained that his firm saw a news report about how district attorneys in three California counties had settled with several companies, including Starkist, for alleged misrepresentation about their tuna products.

The plaintiff law firm then took it upon itself to investigate tuna can contents, which is explained in detail in the lawyer’s declaration.

Then, in a single sentence, the lawyer explained how his firm found its clients: the firm’s attorneys “corresponded with and interviewed class members.” Ultimately, the law firm filed four single-plaintiff lawsuits in four states—California, New Jersey, Florida and New York—and then it abandoned three of the suits.

Reading between the lines, it is clear that this law firm saw an opportunity, developed a case and then recruited four people to serve as class plaintiffs—resulting in a $4 million pay day for the lawyers, whereas their clients will maybe receive $2 each.

Don’t get us wrong. If a can claims to contain five ounces of tuna, it should contain five ounces of tuna! But we continue to have a problem with lawyers soliciting clients for their own enrichment. If there are no consequences for ambulance chasing, then it will never end.

 

Did you know that under a Texas law advocated by TLR and passed by the Legislature in 2003, if members of a class are paid in vouchers when a class action settles, their lawyers are paid in vouchers, too? If vouchers are good enough for the clients, they are good enough for the lawyers. Read more about that reform here.

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Texans for Lawsuit Reform

23 hours ago

Texans for Lawsuit Reform

In case you missed it: Texas judges are stuck between a rock and a hard place. The nature of our state’s partisan election system requires judges to raise money to run political campaigns to serve. Because judicial campaigns are lower profile than other races on the ballot, few voters know about the judges or are willing to make contributions to their campaigns. Instead, the natural constituency for judicial fundraising is attorneys and law firms. But the idea of judges raising money from lawyers who have appeared or might appear in their courtrooms leaves a bad taste in many Texans’ mouths. Read and share: bit.ly/355ziMH ... See MoreSee Less

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A Rock and A Hard Place

tortreform.com

The nature of our state’s partisan election system requires judges to raise money to run political campaigns to be elected or re-elected to a seat on the bench. Because judicial campaigns...
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Texans for Lawsuit Reform

2 days ago

Texans for Lawsuit Reform

Trial lawyer ads are everywhere: television, the radio, even on social media. Many ads use blaring headlines, dire warnings, and even government agency logos to claim doctor-prescribed medications could be deadly... These ads promise big money if consumers sign up to sue. Read and share: bit.ly/357SEAR ... See MoreSee Less

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Misleading TV Ads Make Trial Lawyers Rich

tortreform.com

Trial lawyer ads are everywhere: television, the radio, even on social media. Many ads use blaring headlines, dire warnings, and even government agency logos to cl...
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Fuck you guys. It's Impossible to sue in Texas no matter what happens to you. Google a lawsuit in Tarrant County District Court 141 filed by myself where I'm fighting 20 attorneys.

They are the real problem. Mainly because they buddies in every legislature write the laws to favor them and not us! Fire them all!

Texans for Lawsuit Reform

3 days ago

Texans for Lawsuit Reform

More than 500 cities and counties opted out of the unprecedented “negotiation class” proposed by plaintiff lawyers to settle sprawling opioid litigation, leaving 98% of the 34,458 U.S. cities and counties technically still in the class. Read and share: bit.ly/38pcGJ0 ... See MoreSee Less

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More than 500 cities and counties reject opioid class action, will pursue lawsuits on their own

tortreform.com

More than 500 cities and counties opted out of the unprecedented “negotiation class” proposed by plaintiff lawyers to settle sprawling opioid litigation, leaving 98&pe...
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lawsuitreform avatarTLR@lawsuitreform·
23h

#ICYMI: It’s time Texas took a hard look at our antiquated system of electing all of our state’s judges. Texas is one of only six states to do so. Read & RT: #lawsuitreform #tortreform

A Rock and A Hard Place

The nature of our state’s partisan election system requires judges to raise money to run political campaigns to be elected or re-elected to a se...

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Texans for Lawsuit Reform
1701 Brun Street
Houston, Texas 77019

Ph. 713-963-9363
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