On February 10, 2005 and February 17, 2005, the Senate and House passed Senate Bill 5 (S. 5), the Class Action Fairness Act, by a largely bipartisan vote of 72-26 and 279-149, respectively. Representative Todd Platts voted in favor of this legislation.
A class action lawsuit is one in which a large group of people sue the same company or companies for identical reasons. Although class actions are an important part of the civil justice system, supporters of class action reform argue that there has been a growing trend of some people gaming the system for their own gain while imposing greater and greater litigation costs on the economy. S. 5 seeks to address this problem in two ways.
First, under Article III, Section 2 of the U.S. Constitution, federal courts are given primary jurisdiction over lawsuits between citizens of different states. However, it has been traditionally very easy to move class action cases from federal court into local courts, which in turn has resulted in forum shopping for so-called “magnet courts.” These are courts with a reputation for entertaining frivolous lawsuits and rubber stamping settlements. Under S. 5, federal courts will maintain jurisdiction over large class action lawsuits so long as the total claim exceeds $5 million and two-thirds or more of the plaintiffs live in states other than that of the defendant.
Second, S. 5 requires greater federal court oversight of class action “coupon” settlements. These are settlements in which the attorneys for the plaintiffs receive substantial fees but the plaintiffs themselves only receive some small, non-cash benefit. For example, in one lawsuit against a toy retailer, a settlement was reached in which the attorneys for the plaintiffs received $1 million but the plaintiffs only received a 30% discount on any additional purchases they made at the retailer’s store between the dates of October 8 and October 14, 2003.
President George W. Bush signed S. 5 into law on February 17, 2005. Legislation similar to S. 5 had been passed by the House of Representatives several times in previous sessions, but could never achieve the 60 votes necessary to overcome a filibuster in the Senate.
House Votes to Reauthorize Job Training Programs
On March 2, 2004, the House voted to pass House of Representatives Bill 27 (H.R. 27), the Job Training Improvement Act. Representative Todd Platts voted in favor of this legislation.
The bipartisan Workforce Investment Act of 1998 (WIA) established a system of one-stop career centers aimed at providing a single convenient location in each community offering job training and other employment-related services to the unemployed and underemployed. While WIA has largely been a success, there remain areas of the nation’s job training infrastructure which are unnecessarily duplicative.
H.R. 27 would build upon WIA by further extending, consolidating, and streamlining adult job-training programs, while also protecting and reauthorizing as a separate program vocational rehabilitation for the disabled. In addition, H.R. 27 would permit more involvement in job training programs by faith-based institutions and community colleges. Finally, H.R. 27 would allow the Department of Labor to offer grants to states and local workforce boards interested in offering Personal Reemployment Accounts. Under such Accounts, the unemployed could receive up to $3,000 to purchase job training, child care, transportation, and career counseling services. If they become re-employed within 13 weeks, they would be able to keep the balance left in their account as a re-employment bonus.
H.R. 27 is now pending in the Senate. The House and Senate both passed similar legislation last session, but a compromise bill was not agreed to prior to adjournment.
Town Meetings
Please plan to attend one of Congressman Platts' upcoming Town Meetings. The dates, times, and locations of the meetings are listed below. Congressman Platts sincerely enjoys his interactions with constituents at Town Meetings and it is imperative for him to remain well informed of your views and concerns. We hope to see you there!
- Monday April 4: Grand Army of the Republic, 53 East
Middle Street, Gettysburg 1:00 p.m. - 2:30 p.m.
- Monday, April 4: Camp Hill Borough Hall, 2145 Walnut
Street, Camp Hill 7:30 p.m. - 9:00 p.m.
- Tuesday, April 5: Golden Visions Senior Community
Center, 1157 Eichelberger Street, Hanover 9:30 a.m. - 11:00 a.m.
- Thursday, April 7: Dallastown Area Middle School, 700 New School Lane, Dallastown 7:30PM - 9:00PM
Web Page Highlights (www.house.gov/platts)
Congressional Arts Competition
Congressman Todd Platts is inviting high school students throughout the
19th Congressional District to submit artwork for “An Artistic Discovery,”
the annual Congressional High School Art Competition. The competition
is open to all students in grades 9-12 who reside or attend school in
the 19th Congressional District. Students must submit their artwork by
Friday, April 29, 2005 at 5:00 p.m. to any of Congressman Platts’
three district offices. For more information please follow this link:
www.house.gov/apps/list/press/pa19_platts/congarts2005.html.
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