fundamental change in American law occurred recently when Congress passedand President George W. Bush signed the ?lass ActionFairness Act.? Corporate opponents have long criticized class action lawyerswho have won huge judgments for their clients in friendlystate court jurisdictions. Lawyers for the plaintiffs, however, merely didwhat any smart strategist would do?hey used the lawand venues to their advantage wherever possible. Class action suitsoften harm major economic interests where it hurts?n theirwallets. Such suits allow individuals to sue large corporate interestswith deep pockets by combining their concerns with those ofothers represented by a single attorney or firm. A classaction suit resulted in the tobacco industry agreeing to forkover $246 billion to 46 states in 1998. Similarefforts have led to suits against the makers of Fen-Phen, businesses using asbestos, and companies applying hidden telephone billsurcharges, among others. As a result, they have cost moneyedinterests billions of dollars in recent years. But success ultimatelyframed the demise for the protagonists. Unable to win onthe merits in state courts, opponents turned to Congress forrelief, demanding that class action cases be consolidated in federalcourts unless they have a truly local application. The reason,they said, was to allow adjudication in one location, ratherthan several. That may be. Nevertheless, the result has beento deny plaintiffs the ability to try cases in severalcourts to gain multiple judgments for their clients. Most observersbelieve that the Class Action Fairness Act will minimize theability of attorneys to obtain something beyond token awards. Moresignificantly, however, corporations that had been vulnerable to serious punishmentfor intentional misdeeds are now likely to escape social responsibility.For big business, the Class Action Fairness Act represents aseismic shift in the political landscape. Corporate interests have flip-flopped on their government of preference, casting aside their philosophicalbelief in state courts for the financial relief promised bythe behemoth federal system. Fair enough. But those now happywith federal control over class action suits may rue theday such changes were made. Conservative Republicans won? rule thenation forever. Come the day when a Democratic president andCongress regain control over the federal government, the judges theyappoint will have the luxury of ?ne-stop shopping?n class action suits. And when that occurs, watch howfast corporate interests once again tout the benefits of states?ights! Larry N. Gerston is a professor of political scienceat San Jose State University and political analyst at NBC11.96 BAY AREA LAWYER SEPTEMBER/OCTOBER 2005 A THELASTWORD THECOST OF CHANGING THE RULES by Larry N. Gerston Thanksto new legislation, big business can now escape social responsibility