Tuesday, December 23, 2008

Who Should Pay for Litigation Costs?

In today's Wall Street Journal, Dan Slater examines the question of who should pay the costs of litigation - a loser pays rule as in Canada, Germany and the U.K., or the so-called American rule where each side bears its own costs?



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As a plaintiff's lawyer, I think the real fear is not a losers pay rule that's fair to both sides, but some type of system where defendants get compensated for winning, but plaintiffs don't. The vast majority of cases (95% perhaps, including small car wreck cases, etc) end up in a recovery for the plaintiff. Allowing recovery of attorneys' fees in those situations would lead to a huge increase in value and plaintiffs would be the big winners there.

Posted by: brooks schuelke | Dec 30, 2008 5:10:17 PM

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