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Tag Archives: Business Climate

Top News Clips for March 3-9

March 9, 2018News, Recent NewsBusiness Climate, Governor Murphy, Legal ReformNJCJI

A selection of the need-to-know civil justice news for March 3-9.

 

Phil Murphy Creates Jobs Council Designed to Improve NJ Economy

Dustin Racioppi | northjersey.com

Gov. Phil Murphy on Tuesday ordered the creation of a jobs council designed to advise him and recommend ways to follow through on his central promise to improve the state’s economy.

Read more.

 

Meet the General in Phil Murphy’s War on Donald Trump

S.P. Sullivan | NJ Advance Media for NJ.com

In the first year of Donald Trump’s administration, the president faced a barrage of legal challenges from left-leaning states on everything from immigration to the environment. For the most part, New Jersey — run by a Republican governor and vocal Trump ally — sat on the sidelines. But Gov. Phil Murphy came to office pledging to take on Trump, and he found his attack dog in Gurbir Grewal, a 44-year-old former state and federal prosecutor born to Indian immigrant parents in northern New Jersey.

Read more.

 

Follow @NJCivilJustice on Twitter for even more news.

 

Legal Reform Can Help Rev Up New Jersey’s Economic Engine

March 9, 2018News, Top StoriesBusiness Climate, Governor Murphy, Legal ReformNJCJI

Gov. Phil Murphy has issued an executive order creating a new Jobs and Economic Opportunity Council tasked with providing the Governor actionable advice on how to improve the state’s economy and create more jobs. We are encouraging the Council to include legal reform in its recommendations since our state’s current legal climate is hindering economic growth.

 

Balancing the state budget and funding all the programs the state thinks are important is not an easy task. Revenue growth is steady, but slow, and we are already one of the highest taxed states in the nation, so there is little room to maneuver. To attract business investment and spur economic growth, the government must look at innovative policies that improve the economy without depleting needed revenue. One often-overlooked tool in the economic development toolbox is legal reform. Improving our state’s legal climate could improve our economy as well.

 

A predictable legal system that discourages lawsuit abuse gives businesses the ability to more accurately predict and budget for legal risk, which in turn allows them to free up capital for business expansion, innovation, and job creation.

 

85% of executives and attorneys surveyed by the U.S. Chamber of Commerce report that a state’s litigation environment is likely to impact important business decisions at their companies, such as where to locate or to do business. Unfortunately, these same business leaders ranked New Jersey as having one of the worst legal climates in the United States – 41st and falling.

 

Though the U.S. Chamber’s survey focused on larger businesses, an improved legal climate benefits businesses of all sizes. Contrary to popular belief, most companies being sued are not “deep pockets.” Lawsuits are frequently filed against small businesses. In fact, 43% of small business owners report having either been threatened with or involved in a civil lawsuit.

 

According to the U.S. government’s Small Business Administration, “The impact of litigation on businesses goes well beyond the purely financial impact of legal fees and damages. Most small business owners are invested personally in their businesses; litigation causes not just financial loss, but also substantial emotional hardship, and often changes the tone of the business.”

 

Our poor legal climate is also stifling innovation. When they fear lawsuits, entrepreneurs, inventors, and investors are overly cautious about launching new ventures and bringing innovative products to market. One need only watch the hit television show Shark Tank for a short time before seeing the “sharks” pass on an otherwise exciting product or idea because the legal risk is too great.

 

There is a wide-spread, bi-partisan recognition that it’s time to make some changes that will rev up New Jersey’s economic engine, and foster a “stronger and fairer” economy. Some thoughtful tweaks to our legal system could improve our state’s legal reputation, and stimulate economic growth without raising taxes or increasing spending.

 

Top News Clips for February 17-23

February 23, 2018News, Recent NewsBusiness Climate, Class Actions, Food Law, TCCWNANJCJI

A selection of the need-to-know civil justice news for February 17-23.

 

Fears of More N.J. Plaintiffs Spur Biz Push for Legal FixesFears of More N.J. Plaintiffs Spur Biz Push for Legal Fixes

Bruce Kaufman | Bloomberg Law’s Product Safety & Liability Reporter

Business groups are ratcheting up the pressure to improve their legal defenses in New Jersey in anticipation of a wave of new plaintiffs who may be encouraged to sue in the Garden State after a recent U.S. Supreme Court ruling.

Read more.

 

 

DOJ Signals New Interest In Policing Class Action Settlements

Alison Frankel | Reuters

On Friday, the Justice Department filed a statement of interest opposing final court approval of a proposed consumer class action settlement in federal court in Camden, New Jersey. I’ll tell you below about the substance of the government’s qualms with the settlement, which resolves allegations that a website called Wines ‘Til Sold Out misrepresented the original prices of wines it sold at a purported discount. But the significance of DOJ’s filing isn’t the particular flaws it highlights in the proposed deal. It’s that the Justice Department is exercising its authority to oppose a private class action settlement – and that, based on comments from departing Justice Department official Rachel Brand, the Wines ‘Til Sold Out filing is likely to be just the first in a series from the Trump DOJ.

Read more.

 

 

Is It ‘Natural’? Consumers, and Lawyers, Want to Know

Julie Creswell | New York Times

In recent years, one bright spot in an otherwise lackluster market for packaged foods, beverages and consumer products has been merchandise promoted as “natural.” Consumers, increasingly wary of products that are overly processed or full of manufactured chemicals, are paying premium prices for natural goods, from fruit juices and cereals to shampoos and baby wipes. But as a spate of lawsuits and consumer advocacy efforts show, one person’s “natural” is another person’s methylisothiazolinone.

Read more.

 

Follow @NJCivilJustice on Twitter for even more news.

 

Top News Clips for December 30-January 5

January 5, 2018News, Recent NewsBusiness Climate, New Jersey Courts, New Jersey Legislature, Outrageous LawsuitsNJCJI

A selection of the need-to-know civil justice news for December 30-January 5.

 

Update on New Jersey’s Legal Landscape

Jim Pytell | New Jersey Business Magazine

The year 2017 will be remembered for change. From federal changes after the first full year of the Trump administration, to the gubernatorial election of Phil Murphy and the proposed changes he will make when he is officially sworn in as the state’s 56th governor this month.

Read more.

 

Key New Jersey Cases To Watch In 2018

Jeannie O’Sullivan | Law360

High-profile New Jersey cases are poised for key developments in 2018, when the U.S. Supreme Court may decide on the state’s bid to legalize sports betting and the Third Circuit ponders appeals by former public officials facing prison for their roles in the infamous George Washington Bridge lane closures.

Read more.

 

9 Reasons You Can Expect 2018 To Be Another Crazy Year In Jersey Politics

Jonathan D. Salant | NJ Advance Media for NJ.com

After back-to-back big political years that saw Donald Trump elected president and Phil Murphy elected governor, what will 2018 do for an encore? Anyone who knows Jersey politics will expect something crazy to happen. Or lots of crazy things to happen because, well … it’s Jersey politics.

Read more.

 

Christie Bridgegate Lawyer Tapped As Interim U.S. Attorney For N.J.

Thomas Moriarty | NJ Advance Media for NJ.com

U.S. Attorney General Jeff Sessions has tapped Craig Carpenito, a white-collar defense and securities lawyer who represented outgoing Gov. Chris Christie in matters related to the “Bridgegate” lane-closure scandal, as New Jersey’s top federal prosecutor on an interim basis.

Read more.

 

Ex-Indianapolis Employee Files ‘Chronic Body Odor’ Lawsuit

AP

Indianapolis is being sued by a former courts official who alleges that she was fired after she installed air freshers to combat a co-worker’s body odor.

Read more.

 

Securities Suit Filings at Historically High Levels During 2017

Kevin LaCroix | The D&O Diary

More securities class action lawsuits were filed in 2017 than in any year since 2001, in significant part because of the substantial number of federal court merger objection lawsuit filings during the year. But even disregarding the merger suits and looking only at the traditional securities lawsuits, the number of lawsuit filings was at the highest level since at least 2004.  While the elevated numbers of lawsuit filings is noteworthy, it is the litigation rate – that is, the number of securities suits relative to the number of public companies – that is most significant. According to my estimate, the litigation rate during 2017 was at all-time record levels.

Read more.

 

Follow @NJCivilJustice on Twitter for even more news.

 

No Place Like Home: Corporate Jurisdiction & the Future of Forum Shopping

December 1, 2017News, Top StoriesBusiness Climate, New Jersey Courts, Personal Jurisdiction, SCOTUSNJCJI

The United States Supreme Court’s decision in Bristol-Myers Squibb v. Superior Court of California, shuts down certain forms of forum shopping, but it might lead to more lawsuits being filed in New Jersey state courts because of our state’s plaintiff-friendly laws and the fact that many major businesses call New Jersey home. On October 20, 2017, the New Jersey Civil Justice Institute hosted a conference exploring this issue.

 

The featured panel was moderated by Shalom Stone of Stone Conroy LLC. It included remarks by Sean Marotta of Hogan Lovell, John K. Kim of Johnson & Johnson, Theodore H. Frank of CEI’s Center for Class Action Fairness, and Eric Jaso of Spiro Harrison.

 

 

If you would like to become a member of the New Jersey Civil Justice Institute, and attend future events in person, please contact us.

 

New Faces, Same Problems

November 10, 2017News, Top StoriesBusiness Climate, Legal Reform, New Jersey LegislatureNJCJI

NJ State HouseThis January, Democrat Phil Murphy will be sworn in as the 56th New Jersey Governor, and the State Legislature will convene its 218th session, with many new faces under the State House dome. Although the people in power are changing, our mission remains the same. We are committed to improving New Jersey’s civil justice system to ensure that all parties are treated fairly. The desire for a fair and efficient legal system crosses party lines and unites otherwise divided factions. Continue reading →

New Jersey Drops in the Rankings. Again.

September 15, 2017News, Top StoriesBusiness Climate, Civil Justice, Legal ReformNJCJI

A new survey from the U.S. Chamber Institute for Legal Reform ranks New Jersey’s legal climate as one of the worst in the nation. 41st in fact. This is a drop of three spots since this New Jersey's ranking over the years.survey was last conducted, and it is the lowest our state has ever ranked since the Chamber started doing this survey in 2002.

 

Our downward trend is troubling because 85% of the executives and attorneys surveyed report that a state’s litigation environment is likely to impact important business decisions at their companies, such as where to locate or to do business.

 

Troubling but not surprising.

 

The low opinion business leaders have about New Jersey’s legal climate is disappointing, but not particularly surprising. Since this survey was last conducted, our state courts have issued several opinions on arbitration and the admissibility of expert testimony that are out of the mainstream.

 

Since 2014, the New Jersey courts have been holding arbitration agreements to a different standard than is applied to contracts generally. Earlier this summer the appellate division released an arbitration decision that appeared to call into question the validity of check the box contracts.

 

New Jersey has also been a national outlier on standards for admissibility of expert testimony. In July, the Appellate Division issued a significant published opinion, which if upheld by the New Jersey Supreme Court, all but eliminates the existing, critical gate-keeping role of trial court judges on admissibility of expert testimony. This outright prohibition on the sort of rigorous scrutiny applied almost everywhere else in the country would make New Jersey the jurisdiction of choice nationwide for claims based on unreliable expert testimony.

 

Our lowest ranking is on propKey Elements of our Legal Systemortional discovery. The New Jersey Supreme Court’s Civil Practice Committee mentioned in its 2016 report that it was taking up this issue. The committee’s next report is scheduled to be released in spring 2018.

 

What can be done?

 

Speak up. The New Jersey Civil Justice Institute’s amicus program is an effective way to communicate with the court. We are always looking for cases we think will have a broad impact on the legal community, and we encourage litigants to let us know about any cases and issues of interest.

 

Participate in judicial rulemaking. Engaging the court in a dialogue outside of the courtroom is also important. The New Jersey Supreme Court has several committees it relies on for advice about court rules and polices. Serving on these committees, providing information to committee members, and commenting on committee reports is critical. NJCJI regularly gets involved with the rule-making process, and we encourage all of our members to do so as well.

 

It’s an election year. Last year we saw judicial appointments become a significant issue in the presidential election. Well, this year is an election year in New Jersey. When you meet candidates for governor, assembly, and the state senate, tell them we have the 41st worst legal climate in America and ask them to do someMethodologything about it. Quality judicial appointments and good legal policy could dramatically improve our state’s reputation.

 

Legislature can lend a hand. The legislature could play a role in improving our state’s legal climate by passing one or all of the following budget-neutral, bi-partisan bills.

 

  • A1982 – Statute of Limitations for Professionals
  • A2796/S1669 – Consumer Fraud Act Reform
  • A1638/S1931 – Appeal Bond Cap

 

Passing this legislation would send a signal that our state’s legal climate is a priority for policy makers.

 

A silver lining?

 

If there is any good news in the survey, it is that opinions about state courts are rising overall. When this survey was first conducted back in 2002, the overall average score out of 100 for all courts was 52.7. Today, the overall average score is 67.5. This is a tremendous improvement, and evidence that critically examining our courts and insisting on improvements gets results.

 

There is no reason why New Jersey’s court system should hesitate take a hard look in the mirror and see where there are areas to improve.

 

Murphy Speaks to Standing Room Only Crowd at NJCJI’s Fall Conference

October 20, 2016News, Top StoriesBusiness Climate, Legal Reform, NJCJINJCJI

To cap off the New Jersey Civil Justice Institute’s 2016 Fall Legal Reform Conference, former Ambassador Phil Murphy, who is the current Democratic front-runner for Governor of New Jersey in 2017, gave a talk about why he is running for Governor, and laid out some of his plans to help New Jersey’s economy.

 

High Court Refuses to Set Limits on Take-Home Toxic-Torts

July 8, 2016News, Top StoriesBusiness Climate, New Jersey Courts, New Jersey Supreme CourtNJCJI

On Wednesday, a unanimous New Jersey Supreme Court exposed employers to open-ended liability when employees carry toxic substances home from the workplace. Continue reading →

Lawsuits Kill Small Business

July 7, 2016News, Top StoriesBusiness Climate, Outrageous LawsuitsNJCJI

Lawsuits Kill Small Business

 

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  • Institute for Legal Reform Releases Update on Third-Party Litigation Funding https://t.co/UQDqeUQ712, Apr 15
  • The American Tort Reform Association issued a report about the National Association of Attorneys General. https://t.co/14sYVCKPrY, Apr 8
  • SCOTUS Hears Oral Argument in Arbitration Case https://t.co/KaezBQtPod, Apr 1
  • Merck Wins Dismissal in Fosamax Lawsuits https://t.co/3qUsGZzL0x, Mar 25
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