Litigation Inc. V. Corporate America

By Pipes, Sally C. | Chief Executive (U.S.), November 1996 | Go to article overview

Litigation Inc. V. Corporate America


Pipes, Sally C., Chief Executive (U.S.)


Tired of investing in the usual stocks, bonds, and mutual

funds? How about investing in suing a competitor or any other company? In a 1992 article in

The Brief magazine entitled, "Investing in Justice: How plaintiffs are selling shares to finance their commercial lawsuits," two Michigan-based attorneys wrote, "One of the most significant recent innovations in the pursuit of a commercial claim is now reaching the courtrooms of America to determine its validity. This innovation is the syndication of commercial claims."

Although in 1996, there are still no publicly traded lawsuit shares, this soon

may change. There is at least one Web page dedicated to developing such a market. Included in the listed virtues of investing in lawsuits is the fact that unlike a wealth-producing business corporation, which has capital equipment and personnel to worry about, even a billion dollar lawsuit is simply a folder, with no management issues or tangible assets.

"What you are seeing is a nascent financial-services industry based on lawsuits," notes a Washington consultant who wishes to remain anony

mous for fear of reprisal. "I think that is antithetical not only to the average person's view of law, but also to the spirit of the law. The law is the base on which the market rests; it shouldn't be in the market itself."

Nevertheless, a quick search of the World Wide Web reveals a page devoted to potential lawsuit investments with the market lines segmented under the heading "Product Liability," much the same way GM has its product lines of Corsicas, Camaros, and Blazers. The product lines listed include, "Mass Torts," "Asbestos," "Silicone Breast Implants," "Dalkon Shield," "Tobacco," and "Medical Malpractice." This and other developments have prompted Richard A. Hazleton, chairman and CEO of Dow Corning, to label the exploding lawsuit obses

sion, "Litigation Inc." "Litigation is a business predicated on economic incentives," says Hazleton, whose company was forced into bankruptcy as a result of spending more than $200 million over two years fighting 19,000 breast implant lawsuits. "It is just another business seeking the richest market offering the greatest returns."

To illustrate the parasitic nature of the plaintiffs' bar, Hazleton explains the product-development process for Litigation Inc. "R&D for Litigation Inc. includes deposing

hundreds of people, reviewing millions of documents, and using the latest information processing technology, just as any forwardlooking business would," Hazleton says. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Litigation Inc. V. Corporate America
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.