House Judiciary Committee Approves Bill to Combat Lawsuit Abuse

Washington, D.C. – The House Judiciary Committee approved H.R. 2655, the Lawsuit Abuse Reduction Act (LARA) by a vote of 17-10. LARA helps reduce frivolous lawsuits in the United States' legal system. The bill holds attorneys accountable for lawsuit abuse by imposing mandatory sanctions on lawyers who file baseless lawsuits in federal courts. LARA is one of several bills that House Judiciary Committee members have introduced to make the United States' legal system more efficient and fair.

House Judiciary Committee Chairman Bob Goodlatte (R-Va.) and Congressman Lamar Smith (R-Tex.), chief sponsor of LARA, praised today's committee vote.

Chairman Goodlatte: "LARA is an important step in reducing unnecessary and abusive litigation in America's judicial system. Attorneys should not be rewarded for filing baseless lawsuits, and LARA provides sanctions against such abuse. It is with great pleasure that I announce the committee approval of LARA."

Congressman Smith: "Lawsuit abuse is common in America because the lawyers who bring these frivolous cases have everything to gain and nothing to lose. Lawyers can file meritless lawsuits, and defendants are faced with the choice of years of litigation, high court costs and attorneys' fees or a settlement. This is legalized extortion. The Lawsuit Abuse Reduction Act restores accountability to our legal system by imposing mandatory sanctions on attorneys who file worthless lawsuits. LARA encourages attorneys to think twice before filing frivolous lawsuits."

LARA restores accountability to our legal system by penalizing lawyers for filing baseless lawsuits. Key provisions of LARA include the following:

• Ensures that judges impose monetary sanctions against lawyers who file frivolous lawsuits, including the attorney's fees and costs incurred by the victim of the frivolous lawsuit.

• Reverses the 1993 amendments to Rule 11 that allow parties and their attorneys to avoid sanctions for making frivolous claims by withdrawing them within 21 days after a motion for sanctions has been served.