California trial attorneys push bills to rein in 'bad actors' in legal industry

This is read by an automated voice.Please report any issues or inconsistencies here.

A group of California trial lawyers is backing a package of bills aimed at policing their industry by ramping up the penalties for attorneys who recruit clients illegally or prioritize the desires of hedge fund investors.The Consumer Attorneys of California, a prominent trade group, said it is supporting two bills this session meant to crack down on the “small number of bad actors engaged in illegal conduct that threatens to undermine public trust” in the state’s legal bar.The group said the bills, introduced Monday by Assemblymembers Ash Kalra (D-San José) and Rick Chavez Zbur (D-Los Angeles), were a response to recent Times investigations involving California lawyers.

The Times found nine clients within L.A.County’s $4-billion sex-abuse settlement who said they were paid to sue and, in some cases, fabricate claims that became part of the historic payout.

Another story examined opaque investor financing arrangements used by some firms.“We’re not trying to insulate ourselves from accountability,” said Douglas Saeltzer, president of the attorney group, in an interview.“There needs to be consequences.”The bill introduced by Zbur would disbar any attorney who is convicted of illegally soliciting clients.

Kalra’s bill would ban private equity firms and hedge funds from dictating case strategy after giving money to a law firm.Plaintiff’s attorneys say the legislative push is an attempt to clean up their profession’s image.It comes amid efforts by companies and governments frequently targeted by lawsuits to rein in a barrage of litigation.Uber is pushing a measure for the November ballot that would limit how much lawyers can collect in fees for car crash cases, encouraging Californians to “stop the billboard lawyer scam.” A coalition of California counties has simultaneously begun circulating language to lawmakers that would limit attorneys’ ability t...