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Missouri needs to protect against frivolous lawsuits
The "Great American Pants Suit" case was no laughing matter. My clients, the Chung family and Custom Cleaners, were at the epicenter of one of the most tragic examples of frivolous lawsuits in American history.
The Chung family and Custom Cleaners were sued by a Washington, D.C. administrative law judge who claimed more than $67 million because Custom Cleaners allegedly lost a pair of his pants.
The Chungs eventually prevailed at trial. But they were still the losers.
The fact that such a ridiculous case could be filed and pursued, and the time and energy required to defend against these outrageous claims, forced the Chungs to close their mom-and-pop dry cleaner.
You probably think these types of crazy lawsuits are only filed in Washington or New York City. But abusive lawsuits happen in legal climates that allow them.
It is a phenomenon called “venue shopping,” and I can assure you that a lot of hungry lawyers are looking in the windows of Missouri’s court system.
I began my legal career in Kansas City. So I understand the challenging legal environment that businesses face in Missouri.
Some progress has been made, in recent years, but Missouri small businesses are ripe for frivolous lawsuits.
Fortunately, there is a group taking action to change the legal climate and make Missouri a friendlier place for businesses and consumers.
The Missouri Justice Alliance, a group of 20 businesses and trade associations, recently launched an effort to get the legislature to pass common sense legal reform this year.
I was recently asked to be a guest speaker of the Justice Alliance in Missouri’s state capitol to educate some reluctant leaders about the consequences of inaction.
House Bill 2241 is the type of reform I have worked with the U.S. Chamber of Commerce and others to encourage.
The Chungs lost two of their three dry cleaning stores as a result of being sued for $67 million as compensation for an allegedly lost pair of pants.
That should not happen. Not in Washington, and certainly not in Missouri.