Use of Litigation Screenings in Mass Torts: a Formula for Fraud, the Lester Brickman
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SMU Law Review Volume 61 | Issue 4 Article 1 2008 Use of Litigation Screenings in Mass Torts: A Formula for Fraud, The Lester Brickman Follow this and additional works at: https://scholar.smu.edu/smulr Recommended Citation Lester Brickman, Use of Litigation Screenings in Mass Torts: A Formula for Fraud, The, 61 SMU L. Rev. 1221 (2008) https://scholar.smu.edu/smulr/vol61/iss4/1 This Article is brought to you for free and open access by the Law Journals at SMU Scholar. It has been accepted for inclusion in SMU Law Review by an authorized administrator of SMU Scholar. For more information, please visit http://digitalrepository.smu.edu. THE USE OF LITIGATION SCREENINGS IN MASS TORTS: A FORMULA FOR FRAUD? Lester Brickman* TABLE OF CONTENTS I. INTRODUCTION ........................................ 1223 II. CONDITIONS CONDUCIVE TO LITIGATION SCREENINGS .......... ....................... 1229 III. "ENTREPRENEURIAL" ASBESTOS LITIGATION SCREENIN G S ............................................ 1232 A. THE MECHANICS OF ASBESTOS LITIGATION SCREENINGS ........................................... 1232 B. A COMPARISON OF THE PREVALENCE OF FIBROSIS AND DIAGNOSES OF ASBESTOSIS FOUND BY ASBESTOS LITIGATION SCREENINGS WITH THE RESULTS OF A REVIEW OF CLINICAL STUDIES ........................ .1235 1. Prevalence As Found By Litigation Screenings ..... 1235 2. Clinical Studies of the Prevalence of Fibrosis ...... 1236 3. Clinical Re-readings of Litigation B Readers' R esults ............................................ 1237 4. The Disparity Between Clinical Diagnoses of Asbestosis and Those Generated by Screenings ..... 1239 C. THE NUMBER OF ANNUAL HOSPITALIZATIONS DUE TO A SBESTOSIS ........................................... 1240 D. PULMONARY FUNCTION TESTS ........................ 1241 IV. THE SILICA MDL ....................................... 1242 V. FEN-PHEN LITIGATION ................................ 1243 A. DIET DRUG USE AND HEART VALVE REGURGITATION ...................................... 1243 B. THE ONSET OF LITIGATION ........................... 1248 1. Medical Monitoring Class Actions ................. 1249 C. THE SETTLEMENT AGREEMENT ....................... 1250 D. THE POST-SETTLEMENT CLAIMING PROCESS ........... 1254 1. Initial Opt Outs ................................... 1254 2. Trust Claims ...................................... 1255 3. Downstream Opt Outs ............................ 1257 E. LITIGATION SCREENINGS .............................. 1258 * Professor of Law, Benjamin N. Cardozo School of Law of Yeshiva University. My research assistants, Tim Yip, Alisa Levien, and Steven Keslowitz, have made important and substantial contributions to this Article for which I am grateful. 1221 1222 SMU LAW REVIEW [Vol. 61 F. LITIGATION SCREENINGS: A COMPARISON OF FEN- PHEN AND ASBESTOS SCREENINGS ..................... 1262 G. THE COST OF THE FEN-PHEN LITIGATION ............. 1265 VI. SILICONE BREAST IMPLANT LITIGATION .......... 1266 VII. WELDING FUME LITIGATION ........................ 1278 A. THE WELDING PROCESS ............................... 1280 B. MANGANESE, WELDING, AND HEALTH ................ 1281 C. THE CREATION OF A MASS TORT ..................... 1286 D. THE WELDING FUME MDL ........................... 1293 1. Plaintiffs' Co-Lead Counsel ....................... 1296 E. WELDING FUME LITIGATION .......................... 1297 F. WELDING FUME LITIGATION SCREENINGS ............. 1301 1. The Insufficiency of the Screenings ................ 1305 VIII. THE FAILURES OF THE CIVIL AND CRIMINAL JUSTICE SYSTEMS TO DETER OR SANCTION LITIGATION SCREENING FRAUD .................... 1313 A. THE CIVIL JUSTICE SYSTEM FAILURE: A STATEMENT OF THE PROBLEM ..................................... 1315 1. The "Expert" Status of Testifying Doctors ......... 1315 2. Litigation Doctors' Immunity from Challenge to their Expert Status ................................. 1316 3. The Changing Role of Discovery In Asbestos L itigation....................... .................. 1318 4. Issues Arising From the Demand for Discovery in Asbestos Litigation ................................ 1319 5. Litigation Doctors As Percipient Witnesses ......... 1329 B. THE ROLE OF BANKRUPTCY COURTS IN LEGITIMIZING LITIGATION SCREENINGS .............................. 1335 C. THE CIVIL JUSTICE SYSTEM FAILURE: PROPOSED R EM EDIES ............................................. 1343 D. THE CRIMINAL JUSTICE SYSTEM FAILURE: A STATEMENT OF THE PROBLEM ........................ 1347 IX. CONCLUSION ........................................... 1350 APPENDIX M old Litigation ................................................ 1351 A . A LLERGY ............................................. 1352 B . INFECTION ............................................ 1353 C . TOXICITY ............................................. 1353 2008] Litigation Screenings in Mass Torts 1223 I. INTRODUCTION ASS tort litigation' has grown dramatically in the past several decades, 2 facilitated by changes in social, industrial, economic, and legal conditions, practices, and structures.3 Perhaps the most critical factor accounting for the rise of mass tort litigation is the enormity of the financial rewards in the form of contingency fees availa- ble to lawyers who successfully initiate or otherwise participate in such actions.4 Mass tort claims sharing similar factual issues and causation can be litigated individually or aggregated into class actions or large consoli- dations. 5 The paradigm mass tort personal injury litigation alleges that a widespread injury was caused by exposure to, or use of, defectively pro- duced products ingested, inhaled, or implanted into the body.6 The 1. The term "mass tort" refers to claims of injury by large numbers of persons alleg- edly caused by the ingestion, inhalation, or implantation of a particular product or sub- stance into the body which is harmful. The injuries suffered may be latent and not manifest for years or decades after the contact with the product or substance. See generally RICHARD A. NAGAREDA, MASS TORTS IN A WORLD OF SETTLEMENT (2007). 2. See, e.g., Deborah R. Hensler, Has the Fat Lady Sung? The Future of Mass Toxic Torts, 26 REV. LiG. 883 (2007) (listing of the mass toxic tort cases over the past forty years); Karen A. Geduldig, Note, Casey at the Bat: Judicial Treatment of Mass Tort Litiga- tion, 29 HOFSTRA L. REV. 309, 310 (2000) ("By 1990, [mass tort claims] encompassed sev- enty-five percent of all new federal product liability filings," and that "in some jurisdictions, mass tort claims stemming from exposure to products or toxins 'accounted for over twenty-five percent of the entire civil caseload.' In fact, mass tort litigation has evolved into the single largest category of personal injury litigation in the United States today."). See also ADVISORY COMMITTEE ON CIVIL RULES AND THE WORKING GROUP ON MASS TORTS TO THE CHIEF JUSTICE OF THE UNITED STATES AND TO THE JUDICIAL CON- FERENCE OF THE UNITED STATES, REPORT ON MASS TORT LITIGATION (Feb. 15, 1999), reprinted in 187 F.R.D. 293, at 298 (1999). 3. See Deborah R. Hensler & Mark A. Peterson, UnderstandingMass Personal Injury Litigation:A Socio-Legal Analysis, 59 BROOK. L. REV. 961, 1013-14 (1993). Among these trends are increases in product marketing that have led to mass consumption of goods and services and therefore greater exposure to their potentially dangerous effects, advances in medical technology that enable medical experts to connect injury with exposure to prod- ucts or chemical substances, epidemiological studies, and increased mass media reporting of potentially dangerous products or circumstances, including the increased role of televi- sion journalism shows-productions that are sometimes assisted by lawyers who are finan- cially interested in sensationalizing coverage of an issue in order to affect public opinion or generate a client base. See id. at 1013. 4. I have estimated that the fees in asbestos litigation are north of twenty billion dollars. See John M. Wylie II, The $40 Billion Scam, READER'S DIGEST, Jan. 2007, at 77, available at http://www.rd.com/your-america-inspiring-people-and-stories/32514/ article32514.html. 5. "[S]imilar factual issues and legal questions will arise in all claims in a mass tort litigation, or at least in significant subsets of claims. The same injuries will involve similar causation issues. Liability issues will be similar among claims alleging similar exposures to a particular defendant's products." Hensler & Peterson, supra note 3, at 966. Mass tort litigation is often in the form of a class action, mass consolidation, or other aggregative form, but also may simply involve thousands of substantially similar individual claims. See generally Howard Erichson, Informal Aggregation: Proceduraland Ethical Implications of CoordinationAmong Counsel in Related Lawsuits, 50 DUKE L.J. 381 (2000). 6. Other personal injury mass torts may be generated by a calamity, improperly de- signed or constructed vehicles or components of vehicles, or improper design of materials or structures. Some mass tort litigations allege only economic injury. Typically, for the latter, the economic injury to each claimant is small, but in the aggregate, the loss alleged is 1224 SMU LAW REVIEW [Vol. 61 "mass" in mass torts refers to the fact that thousands-even tens and hundreds of thousands of persons-are alleged to have been injured by contact with or use of the product, causing bodily injury which can, in toto, amount to hundreds of millions, and even billions, of dollars and contingency fees of a