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November 29, 2007

Upcoming Radio Interviews

For any Bay Area readers out there, I'll be appearing on the Progressive News show on Green 960 today at 5:15 p.m. Pacific time to talk about a new story I have up at Mother Jones on my attempt to buy a car and my run in with mandatory arbitration clauses. You can  also listen to it live online here.

Tomorrow, I'll be talking about the same article on The Right Balance with Greg Allen in Florida at 10 a.m. EST. You can listen online here.

Hillary Clinton Says Bye-Bye to Indicted Trial Lawyer

Bad news for trial lawyers, and bad news for Bill and Hillary, too. Famed Mississippi plaintiff's lawyer Richard "Dickie" Scruggs, who was slated to host a Clinton fundraiser next month, was indicted yesterday for allegedly trying to bribe a state court judge. The indictment comes a day after the FBI raided his office looking for a document, and two days after Scruggs' brother-in-law, Trent Lott, announced his resignation from the Senate.

When the FBI first raided Scruggs' office, Lott said the timing of his resignation was just a coincidence. But you do have to wonder. The indictment is pretty damning, and includes apparently taped conversations between the judge and some of the other lawyers involved in the alleged scheme.

The indictment will no doubt have other political fallout. Scruggs is a high-profile figure, having just used his private jet to ferry the new University of Mississippi football coach to Oxford hours before turning himself in to law enforcement authorities. He made millions off the state's lawsuit against the tobacco companies in the 1990s and has been leading the litigation against insurance companies over denied Katrina claims, including Lott's. Scruggs has been a generous Democratic political donor, particularly in Mississippi, where he used some of his tobacco winnings to found a now-defunct PAC to help elect liberal candidates to state office.

But his political loyalties have always been a little suspect, and not just because of his in-law status. This year, for instance, he has given nearly $30,000 to the Democratic Senatorial Campaign Committee and several thousand dollars to Joe Biden. But he's also contributed to Republican John McCain. Next month, Bill Clinton was scheduled to headline a fundraiser for his wife at Scruggs' Oxford home. Not surprisingly, today a Clinton spokesman tells Mother Jones that the event is "not happening."

Cross-posted from MoJoBlog

November 28, 2007

U.S. Chamber Won't Disclose Donors Without a Fight

Cross-Posted from MoJo Blog:

For years, big (and often unpopular) corporations like drug and tobacco companies, have used innocuous-sounding trade associations to lobby on their behalf, without having to disclose who picks up the tab. But a new law Congress passed earlier this year is designed to put an end to the practice. Under the threat of criminal penalties, the lobbying reform act requires trade groups to disclose members who contribute more than $5,000 in a quarter and who are involved in planning or directing lobbying activities. Not surprisingly, big businesses are not happy about this, particularly the criminal penalty part.

The U.S. Chamber of Commerce and the National Association of Manufacturers fired the first shot across the bow yesterday, sending a letter to the Secretary of the Senate and the clerk of the House asking for "guidance" on how to interpret the new reporting requirements. They're essentially asking to exempt a lot of people who might otherwise be outed by the new law on the grounds that the law is an unconstitutional intrusion into their inner workings.

The chamber isn't fond of disclosure. For instance, the Institute for Legal Reform, the chamber's $40 million-a-year tort reform lobbying arm, failed to disclose to the IRS four years and millions of dollars worth of taxable spending on political races. A few years ago, it secretly bought its own newspaper in Madison County, Illinois, where it was spending millions to defeat liberal state court judges. The paper generated a regular stream of chamber propaganda that got treated like bona fide news until its owners got outed by the Washington Post. Despite the chamber's complaints about the evils of the American legal system, yesterday's letter is a pretty good indication that it will spend some time there before it ever gives up exactly how much radioactive industries contribute to its lobbying efforts.

November 21, 2007

Trial Lawyers Still the Democrats' Deep Pockets

Cross-Posted from Mother Jones:

Lots of corporate money is making an exodus from the GOP and resurfacing in various Democratic campaign coffers this year. Yet there's still plenty of evidence that the Democratic presidential candidates are going to rely heavily on trial lawyer funding, even with a few of the old reliables either in jail, under indictment or facing other criminal charges.

The latest report comes from Mississippi, where Bill Clinton will headline a fundraiser at the home of Richard "Dickie" Scruggs, trial lawyer extrordinare and, incidentally, Trent Lott's brother-in-law. Scruggs is best known for his role in initiating the tobacco litigation in the 1990s that led to an enormous settlement between the states and the cigarette companies. The litigation also netted Scruggs several billion in legal fees and a Hollywood portrayal in the movie "The Insider."

But Scruggs is in a spot of trouble these days. He's facing criminal contempt of court charges in Alabama for allegedly violating a protective order in a case involving Katrina-related insurance claims. Apparently, though, the charges aren't serious enough to scuttle the Clinton fundraiser. No word yet on whether Scruggs' friend and fellow Mississippi trial lawyer John Grisham will make an appearance, but no doubt he's on the invite list. Last year, Grisham gave the Democratic Senatorial Campaign Committee nearly $27,000, and the former Mississippi state legislator was active in Democratic politics long before he was a bestselling author....

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