Rogue Online Drugstores
June 29, 2004
Widespread use of the Internet is barely a decade old, and already its use and abuse have increased dramatically. While the Web provides companies with new outlets for their products, it also provides a larger outlet for rogue entities to harm the consumer and damage manufacturers' reputations. Indeed, the Internet has created an opportunity for a whole new class of fraudulent activity, with rampant identity theft the best known. In the context of drug outlets, if a purchaser buys his or her prescription from a "rogue" pharmaceutical site, that consumer may be buying expired, substandard, contaminated, counterfeited and, in some cases, unsafe products. The lack of medical oversight, which can result in administration of incorrect dosages, wrong or contra-indicated drugs, or medication without adequate directions for use are among the concerns to be addressed as we enter this new world of Internet pharmacies. Part One of a Two-Part Article.
Supreme Court Deals Blow to Malpractice Plaintiffs
June 28, 2004
In a disappointing decision for malpractice plaintiffs and their medical caregivers, the U.S. Supreme Court ruled on June 21 that patients do not have a state law private right of action against their Health Maintenance Organizations (HMOs) when such entities make coverage decisions that impact the patient's health care. The decision means patients have little recourse against their HMOs, which under federal law are liable to plan beneficiaries only for the cost of services they wouldn't cover.
Avoiding Product Liability Traps in the New Dietary Supplement Regime
June 28, 2004
A year ago, manufacturers and marketers of dietary supplements benefited when the U.S. Food and Drug Administration (FDA) implemented a new regulation allowing such companies to make unproven health claims on their labels. Under the new relaxed FDA requirements regulating the marketing and promotion of dietary supplements, manufacturers have more leeway to tout the healthfulness of products by making "qualified health claims" on dietary supplement labels, even if there is no "significant scientific agreement" over the validity of these claims. Under the former policy, supplement manufacturers that had scientific support for their claims, but lacked conclusive evidence, were prohibited from marketing their potential health benefits, thus losing out on important marketing opportunities. The new, more flexible dietary supplement regime enables companies to market their products more aggressively and increase sales.
Legislative Solutions to Toxic Torts: Congress and the Thimerosal and Asbestos Litigations
June 28, 2004
It has been estimated that at least 600,000 people have brought asbestos-related personal injury suits. Typically, each plaintiff sues dozens of defendants, so the total volume of litigation has reached nearly astronomical proportions. The total amount spent on asbestos litigation (awards and expenses) to date is staggering and has been estimated to be on the order of $54 billion. Many critics have said that this litigation has been abused, leading to the enrichment of plaintiff lawyers at the expense of those actually injured by asbestos exposure. According to one study, only about 43% of total spending has reached the claimants as their net recovery. <i>See</i> Stephen Carroll, <i>et al</i>., <i>Asbestos Litigation Costs and Compensation: An Interim Report,</i> RAND Institute for Civil Justice, Santa Monica, Calif. (Sept. 2002). The RAND report is available at <i>www.rand.org/publications/DB/DB397.</i>
Case Notes
June 28, 2004
Highlights of the latest product liability cases from around the country.
Practice Tip: Try Technology in Trying Cases
June 28, 2004
Today, television has become the dominant medium for the dissemination of information and entertainment, and the trial lawyer who ignores this basic reality of American life does so at significant peril to his or her case. The effective trial lawyer will continue to rely on the timeless tactics of credibility, emotional appeals, and logic. Nevertheless, in order to persuade a jury effectively, the trial lawyer must deliver the case themes and facts in a way that is consistent with how jurors process information in our high-technology age.
Online: Learn About Crash Prevention at Insurance Institute Site
June 28, 2004
The Insurance Institute for Highway Safety (IIHS) is a nonprofit research and communications organization funded by auto insurers. Its purpose is to ascertain what works and doesn't work to prevent motor vehicle crashes and to reduce injuries in the crashes that occur. The Institute's Web site (<i>www.iihs.org</i>) is a resource for practitioners who need information on vehicle safety. IIHS research focuses on countermeasures aimed at all three factors in motor vehicle crashes (human, vehicular, and environmental) and on interventions that can occur before, during, and after crashes to reduce losses.
Does 'Cooperation' Obscure the Truth?
June 02, 2004
Nowadays more than ever, accusations of business crime must be put to the test, since the stakes in this post-Enron era are at an all-time high for an accused company's survival and its executives' personal liberty and reputation. The way we test allegations in Anglo-American law is through the adversary system. Yet, just when it's needed the most, the adversary system is increasingly sidelined. For the public company, adversarialism may no longer be an option at all.
Is Bribing Foreign Tax Collectors a Federal Crime?
June 02, 2004
Just when there appears to be a significant uptick in investigations for violations of the Foreign Corrupt Practices Act (FCPA), the Fifth Circuit has issued a decision that sows further confusion over the meaning of the FCPA's criminal prohibitions.
