What: All Issues : Justice for All: Civil and Criminal : HR 2341. Class Action Lawsuits/Vote to Reaffirm Jurisdiction of State Courts in Class Action Lawsuits in Cases Where a Company Incorporates Overseas for Purposes of Avoiding Prosecution in State Courts. (2002 house Roll Call 58)
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HR 2341. Class Action Lawsuits/Vote to Reaffirm Jurisdiction of State Courts in Class Action Lawsuits in Cases Where a Company Incorporates Overseas for Purposes of Avoiding Prosecution in State Courts.
house Roll Call 58     Mar 13, 2002
Progressive Position:
Yea
Progressive Result:
Loss

One item on the Republicans' agenda was class-action lawsuit reform. Republicans disliked the power of class action suits to constrain corporate behavior, and they felt these lawsuits were particularly easy to bring in state court. They drafted a bill that would require many more of these suits to be filed in federal court, where the outcome was less likely to favor the plaintiffs. Conyers (D-MI) proposed an amendment that would obstruct a particular form of manipulation of this system: businesses that incorporated a new company abroad, acquired themselves with that new company, and then used the new cross-national character of their firm as a reason to move a class-action suit to federal court. Conyers's amendment would prevent the move to federal court in such circumstances. Progressives supported the amendment as a way to push more cases back to state court where the chances for plaintiffs were better, but the amendment was rejected 202-223.

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