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Most Americans Can't Afford to access U.S. Courts

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Greater Justice, Lower Cost

No. 11 December 2008
By Marie Gryphon, Senior Fellow, Manhattan Institute for Policy Research

The United States struggles with a uniquely costly civil justice system. The direct costs of tort litigation, in particular, reached $247 billion in 2006, or $825 per person in the United States.[1] Moreover, tort costs in the U.S. as a percentage of gross domestic product are far higher than those in the rest of the developed world—double the cost in Germany and more than three times the cost in France or the United Kingdom.[2] The amount that is spent on tort litigation every year is greater than what Americans spend every year on new automobiles.

In addition to being overly expensive, American litigation is all too often inefficient and unfair. The fees and expenses incurred by lawyers on both sides of a lawsuit are almost as costly as transfer payments to plaintiffs claiming injury. Mass tort litigation, for example, over asbestos, has been exposed as rife with fraud. Small businesses are regularly besieged with nuisance suits that they must settle if they hope to avoid crippling legal costs. Last year's $54 million lawsuit against a small Washington-area dry cleaner alleging that it had lost a pair of pants was remarkable not only for the astronomical damages claimed but also the almost $100,000 in legal fees incurred in successfully defending against it. In American law, even when a defendant wins a lawsuit, he loses. Read Full Story

Problem: Americans Increasingly Denied Access to Justice

Thursday, July 03, 2008

The latest California Bar Journal contains an alarming and attention-grabbing piece from the Bar President. In The neglected middle class, Jeff Bleich explained how hard it has become for the hardworking American to get their day in court.

"Our legal system is increasingly serving only the wealthiest interests or the very poorest ones: those who have great resources and those who are lucky enough to get help through legal aid, despite the serious underfunding of that system."

He attributes the problems of access to cost and other barriers. Cost is a real barrier. From legal counsel to court fees, Americans truly feel the pinch when seeking their day in court. The fact is, he writes, "that sometimes litigants need something less than a fully trained lawyer but more than what they can learn themselves over the Internet."

Access to Justice: Equal Justice Under the Law

Overview of the current status of civil poverty law access in Arkansas.