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CONTACTS:
JO-ANNE PROKOPOWICZ (202) 637-3093
LAWRENCE FINERAN (202) 637-3174

FOR IMMEDIATE RELEASE

WASHINGTON, D.C., June 29, 2000 - The National Association of Manufacturers today praised the U.S. Senate Judiciary committee for marking up the Class Action Fairness Act (S. 353) and urged the full Senate to expedite passage. Senators Charles Grassley (R-IA) and Herb Kohl (D-WI) are the key sponsors of the legislation.

"Every step of the way our members have worked diligently to end the trial lawyers lucrative forum ‘shopping’ in the state courts. This mark-up is another step towards victory," said NAM Assistant Vice President Larry Fineran. "Under the current system, class members have little or no control over the cases – including, in far too many cases, the financial terms of the settlement. It is the trial lawyers who win obscene cash awards at the end of the day, while the real victims are left with empty pockets and broken promises.

"We applaud Senators Grassley and Kohl, along with Chairman Orrin Hatch (R-UT), for their leadership in directing this important bill through a favorable mark-up in the Judiciary Committee. However, we are dismayed that the Clinton Administration plans to oppose this legislation, which has positive nation-wide implications and bipartisan support in Congress," Fineran continued.

"Industry understands that class actions are sometimes a necessary legal action that brings efficiency and fairness to situations involving many people. In recent years, however, there has been an explosion of frivolous class action cases in state courts involving plaintiffs from multiple states. Federal courts more consistently decide when class actions should be allowed and these courts are better equipped to deal with complex cases fairly and efficiently. The Grassley-Kohl bill is a fair solution for plaintiffs, the court system, lawyers and American manufacturers," concluded Fineran.