At Emerson Firm, PLLC, we believe that many consumer rights are upheld through class actions. Throughout our extensive class action practice, spanning 36 years of fighting corporations for the average consumer, we’ve learned the essentials to protecting the rights of the people come, in part, from the collective power of class actions. Without access to class actions, the average person can’t hold corporations accountable when they steal money or take advantage of people in other ways.
A new bill in the US Congress, HR 985, aims to diminish the rights of average Americans in favor of corporations and those with deep pockets. Sponsored by Rep. Goodlatte, this bill will do substantial harm to consumers. There are 5 main reasons why HR 985 hurts Americans:
HR 985 is rushed and extreme
The bill was sent through the House Judiciary Committee in less than a week, which is an extraordinary breakneck speed to push through a bill. Most bills take months, if not years, to get out of a Committee and be sent to the floor for a vote.
American Association for Justice CEO Linda Lipsen, wrote in a letter to Rep. Goodlatte, “Shockingly, this committee has not held a single hearing to consider the consequences of this ill-conceived, overly-broad legislation. Supporting a bill that rigs the legal system against your constituents is offensive; doing so without even bothering to hold a public hearing and debate the merits is reprehensible.”
HR 985 may eliminates class actions altogether, not just make them more difficult
The bill makes creating a class action nearly impossible by requiring that that class members have the same type and scope of injury as the named representative.
One class action in the spotlight right now involving wage discrimination at Sterling, the parent company of Kay Jewelers and Jared jewelry stores, is an example of a class action that would be nearly impossible under this new bill. Not every woman experienced the same type of sexual harassment and wage discrimination in the class action. Class actions are intended to help a large group of people hold a company accountable. Individuals on their own wouldn’t be able to do that.
HR 985 seeks to make that a reality by making class actions even harder to create. Thomas M. Susman of the American Bar Association says, “This requirement places a nearly insurmountable burden for people who have suffered personal injury or economic loss at the hands of large institutions with vast resources, effectively barring them from bringing class actions.”
HR 985 violates Attorney Client Contracts
The bill also tries to limit the people an attorney can represent in a class action under the guise of conflict of interest. However, all the bill aims to do is prevent attorneys from representing clients if they’ve previously represented them before as well as family members and employees.
HR 985 targets the underdog
Don’t for a second think that HR 985 imposes these same rules on corporations that class actions are intended to hold accountable. This bill is entirely one-sided and places all the burden on class actions with the intention of making it even harder to fight corporations with deep pockets.
HR 985 changes the rules right now
Class actions often take years of litigation to hold corporations accountable and with the bill’s new rules, current class actions will be affected, throwing out years of work spent fighting for consumer rights. “The bill will undermine the enforcement of this nation’s civil rights laws and upend decades of settled class action law,” says Jocelyn D. Larkin, Executive Director of the Impact Fund. It’ll put many cases back at square one that are necessary to hold corporations accountable and protect consumers.
Emerson Firm, PLLC isn’t the only law firm fighting for consumer rights and we join countless other non-profits and advocacy organizations who fight for the underdog every day.