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Senate Approves Changes to Class Action Lawsuits

HeadlineFeb 11, 2005

The Senate approved a measure Thursday that gives greater protection to corporations from major class action lawsuits like the ones that have been brought against tobacco companies, giving President Bush the first legislative victory of his second term. The legislation was long sought by big business and would mean that large multi-state class action lawsuits could no longer be heard in small state courts. Such courts have handed out multimillion-dollar verdicts. Instead, the cases would be heard by federal judges, who have not proven as open to those type of lawsuits. The Senate passed the bill 72-26. It now goes to the House. The Association of Trial Lawyers of America said insurance, tobacco, drug, chemical and other companies had financed the push to get the legislation through the Senate.

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