In February, 2003, The California Attorney General Sued A Law Firm, Ironically, For The Unfair Business Practices
In February, 2003, the California Attorney General sued a law firm, ironically, for the unfair business practices of targeting thousands of small businesses with abusive lawsuits. Significant law changes are necessary. This year, nine bills were introduced to address the extortionist actions being inflicted against many businesses in California. Unfortunately, the Assembly Judiciary Committee killed three bills that included reform on a partisan vote and passed one piece of legislation that offers weak filing requirements and even increases the leverage for those filing these suits. They even failed to pass a measure aimed specifically at the extortion aspect of the current law. On May 13, 2003, the Senate Judiciary Committee also heard four unfair competition measures. Three would have resulted in meaningful reform law. Yet the committee failed to pass the measures that would have effectively addressed blatant abuse. In fact, SB 122 and AB 95 could worsen the situation by creating new incentives to sue businesses and reserve excess money paid by defendants for the ambiguous "promotion of justice." Regrettably, this could hearten the very people who are perpetrators of abuse. Both bills passed the Senate and Assembly with a very narrow majority and are awaiting a hearing in the opposite houses.
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Mediation may not be the most appropriate avenue for resolution in all cases.
For example, it may not be appropriate in cases where: A definitive or authoritative resolution of the matter is required; The matter involves or may bear upon significant questions of Government policy that require additional procedures before a final resolution may be made; Maintaining established policies that apply to many people is especially important; The matter significantly affects persons or groups who are not parties to the process; A full public record of the proceeding is important; or The agency must maintain continuing jurisdiction over the matter with authority to alter the disposition of the matter in light of changed circumstances.
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