American Notes Lawsuits

Facing a double explosion of rate increases for liability insurance and lawsuits that seek compensation for personal injuries, 16 state legislatures have reacted by placing limits on the damages that courts can award. In Colorado and Florida, the new laws went into effect on July 1. But just under the deadline, long lines of lawyers formed in both states last week to file suits. On Monday fully 1,000 suits were launched in Denver's district court; 100 would be normal. A record 643 suits were filed in Miami's Dade County courthouse on the same day, almost three times the usual number.

The ceilings on damage awards in Florida, unlike those in Colorado, would apply only to injuries suffered after July 1. Thus the predeadline stampede there was unnecessary. Lawyers, who get paid large sums for understanding statutes, had apparently misread the Florida law.