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The Public Policy

The Trial Lawyers’ Additive

An example of what fuels the litigation lobby.

(Page 2 of 2)

Ironically, the use of MTBE is being phased out. However, liability for past cases remains.

The legislation before Congress would simply protect the MTBE makers from product liability suits based on the claim that the additive is per se defective, rather than that product makers were negligent. Anyone responsible for leaky storage tanks or pipelines would remain liable under several theories, ranging from negligence to breach of contract to breach of warranty.

But a finding of fault would require a demonstration of fault. Which seems fair for anyone seeking millions or hundreds of millions of dollars in damages. The provision is no corporate bailout.

There are many bad provisions in the energy bill now before Congress, but restricting MTBE liability isn’t one of them. With the House and Senate looking for a compromise, legislators should resist the temptation to do the trial bar’s bidding by removing the provision.

Page:   12

topics:
Environment, Law, Energy, Oil

About the Author

Doug Bandow is a senior fellow at the Cato Institute. A former Special Assistant to President Ronald Reagan, he is the author and editor of several books, including The Politics of Plunder: Misgovernment in Washington (Transaction).

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