Washington, DC (June 28, 2018) – There’s never been a more insidious financial innovation than the monetization of personal injury lawsuits, and it should be closely scrutinized by state and federal policymakers, said the Job Creators Network (JCN) today.
“Our legal system is already fraught with baseless, frivolous lawsuits that destroy small businesses,” said Alfredo Ortiz, JCN’s President and CEO. “Now we’re going to incentivize trial lawyers to bring more cases against businesses by allowing Wall Street speculators to bankroll the lawsuits? That’s horrifying.”
Under the new investment scheme, pioneered by billionaire leftist George Soros, investors will pay trial lawyers and plaintiffs up front for cases that haven’t been litigated in exchange for a piece of the future settlements and awards.
“One of the only checks against frivolous lawsuits is the cost of litigating a case that might not prevail,” said Ortiz. “This investment scheme takes away all the risk for trial lawyers and plaintiffs. They get paid regardless of whether they win or lose. That incentive will create a flood of new lawsuits against businesses that would never have been brought otherwise.”
According to Ortiz, one of the greatest fears for small business owners is being dragged into court on a bogus personal injury claim.
“Cases like this can wipe out small businesses because they have to pay either way. If they lose the case, they have to pay legal fees, fines and jury awards. But even if they win the case, they still have to pay their own legal costs,” he said. “It also results in a hidden tax on consumers, because the high cost of litigation is baked into the price of everything we buy.”
Ortiz said state and federal regulators, as well as the courts, should take a close look at the Soros scheme before the genie gets too far out of the bottle.
“Investing in more lawsuits is like feeding a baby crocodile,” he said. “It’s cute for a while but that won’t last.”
For more information about the Job Creators Network, please visit www.jobcreatorsnetwork.com.