Providing for Consideration of S.5, Class Action Fairness Act of 2005

PROVIDING FOR CONSIDERATION OF S. 5, CLASS ACTION FAIRNESS ACT OF 2005 -- (House of Representatives - February 16, 2005)

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Mrs. CAPITO. Mr. Speaker, I rise in support of the Class Action Fairness Act because we cannot act fast enough. We have been trying to act to address the dire needs of our Nation's judicial system.

Today, predatory lawyers take advantage of class action law by shopping for venues where they can find sympathetic judges and juries. Each time a lawyer goes venue shopping, it costs taxpayers and it costs our economy by bogging down job creators with frivolous and excessive litigation.

National Review magazine has called my home State of West Virginia one of the worst States because of its cruel legal climate. Data and statistics indicate that since 1978, legal costs in West Virginia have risen more than 10 times faster than the State economy as a whole. As a result, our economy has not grown as fast as the rest of the Nation, and the jobs that West Virginians seek to support their families are not as readily available as they are in other parts of our country.

West Virginia's civil justice system has been ranked as one of the worst when it comes to the treatment of class actions. As a result of West Virginia's relaxation and less vigorous application of procedural rules, courts are generally viewed by lawyers as more favorable and advantageous to plaintiffs, and accordingly West Virginia has become a magnet of mass tort litigation. What is very alarming is when a victim receives little or no compensation.

The Class Action Fairness Act aims to curb class settlements that provide significant fees to a lawyer with marginal benefits to victims. The Class Action Fairness Act takes strong steps to ensure injured consumers recoup real awards from victorious verdicts, rather than settlements that involve coupons, which largely benefit the lawyers.

The Class Action Fairness Act creates important reforms that will reduce lawsuit abuse and protect individuals. It is as simple as that. I urge support for this legislation, and for the fair and balanced rule before us.

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