Senate Passes Class Action Bill, House Approval Expected This Week - 2/14/2005 - Attorney Lawyer Legal Building Codes Zoning

Senate Passes Class Action Bill, House Approval Expected This Week

“Because of the vital importance of this issue to our industry, NAHB had designated consideration of S. 5, the ‘Class Action Fairness Act of 2005,’ as a key vote among our members,” said NAHB President David Wilson. “We are delighted that this measured reform for certifying class actions received overwhelming bipartisan support,” he added.

The bill passed in the Senate by a wide margin of 72 to 26.

The House is expected to approve the tort reform measure this week and send it to the President to sign into law.

“As an association that represents the entire spectrum of the housing industry — from small and high production builders to manufacturers of component products — NAHB believes these provisions will discourage ‘forum shopping,’ an abusive practice in which attorneys seek out certain state courts that have a history of biased judgments against defendants in class action suits.

“This has reached a point where defendants will settle cases, even those without merit, rather than risk trial in state court. This bill will protect defendants from undue pressure to settle and ensure protection for plaintiffs,” said Wilson.

To read the legislation, click here and type S. 5 in the box at the upper left.