Category: Blog

Billion Dollar Rico Suit Against State Farm Insurance

Dear Care for Crash Victims Community Members:

Excellent article on decision in class action involving money and corruption allegations reveals problems in the justice system.

“Plaintiffs’ attorneys alleging that State Farm Mutual Automobile Insurance Co. bought off an Illinois Supreme Court justice to evade a $1.05 billion award have cleared a major hurdle in their long-running litigation against the insurer.

In an order Friday, U.S. District Judge David Herndon of the Southern District of Illinois granted a motion certifying a class of roughly 4.7 million auto insurance policyholders who were allegedly deprived of their 1999 trial court victory against State Farm.

Herndon found that the alleged fixing of the state Supreme Court decision affected all the proposed class members uniformly, and that the named plaintiffs and their attorneys otherwise satisfied court rules around class actions.

“[T]he injury in this case is based on the interest the plaintiffs and the proposed class members had in a neutral forum and the damages correspond with the undivided interest in the judgment each lost as a result of the tainted tribunal,” the judge wrote. “This issue is identical for all plaintiffs and class members.”

The suit alleges violations of the Racketeering Influenced and Corrupt Organizations Act and could put State Farm on the hook for more than $7.6 billion because of interest that has accrued on the original jury award, according to plaintiffs lawyers….

According to the complaint, filed in 2012, the state high court’s decision reversing the judgement was unfairly influenced by Justice Lloyd Karmeier, who State Farm and its agents worked to elect during a campaign in 2003 and 2004. Karmeier’s campaign received at least $4 million from the insurer and individuals connected to it, plaintiffs allege.

Illinois’ Supreme Court has seven justices, and the decision at issue was not authored by Karmeier. It won the support of four justices, with two issuing a dissent that still concurred on key holdings, and another abstaining. The court reversed the award against State Farm on the grounds that certification of a nationwide class of policyholders was improper, among other things.

On Monday, Karmeier was named Illinois chief justice, after being unanimously elected to that post by his fellow state supreme court justices, the court said in a press release.” 

See  http://www.nationallawjournal.com/id=1202767758973/State-Farm-Must-Face-7B-RICO-Class-Action-Judge-Rules?mcode=1202617074964&curindex=1&slreturn=20160820072629

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____________________Lou Lombardowww.CareForCrashVictims.com

CDC Violent Death Surveillance System Under counts Vehicle Violence by Thousands

Dear Care for Crash Victims Community Members:

CDC Report:

Please see CDC’s MMWR Report on Violent Deaths that under-counts vehicle deaths by thousands.

“Surveillance for Violent Deaths — National Violent Death Reporting System, 17 States, 2013”

http://www.cdc.gov/mmwr/volumes/65/ss/ss6510a1.htm?s_cid=ss6510a1_e#T1_down

CDC Response:
When I asked CDC for an explanation, I received the following response:
“Thank you for your question. Here’s information from Dr. Lyons:The reason that motor vehicle deaths look smaller than what you might expect is that in the NVDRS we look at motor vehicle deaths that are specifically associated with violent deaths. The system uses the World Health Organization (WHO) definition of a violent death: “a death resulting from the intentional use of physical force or power against oneself, another person, or against a group or community”. Therefore, motor vehicle deaths as a whole are not collected in NVDRS, only those related to suicides, homicides, deaths from legal intervention (a subtype of homicide where the victim is killed by law enforcement acting in the line of duty), deaths of undetermined intent, and unintentional firearm fatalities.” 
Evaluation of CDC Response:
I then asked Ben Kelley, a long time leader in Public Health and Safety, for his views on the CDC response.
Mr. Kelley offered Dr. William Haddon’s landmark paper published in the Journal of Public Health (copy attached) and the following:

“Violence involves an energy exchange in which the human body is damaged by experiencing an energy onset at intolerable (harmful) levels. A look at Haddon’s “Escape of Tigers” (attached), which is a fundamental guide to public health thinking about injury, makes it clear that there is no distinction, from a public health standpoint, between “intended” and “unintended” violence. Nor is such a distinction useful. Assigning motives or lack of motive to such harm is a very slippery slope. Did the manufacturer of the injurious product “intend” or “want” to hurt someone? Did the errant driver? These are not useful exercises for creating a taxonomy of violence and its injurious consequences. Lenard’s description tells the story: 
“Therefore, motor vehicle deaths as a whole are not collected in NVDRS, only those related to suicides, homicides, deaths from legal intervention (a subtype of homicide where the victim is killed by law enforcement acting in the line of duty), deaths of undetermined intent, and unintentional firearm fatalities.” 

If motor vehicle crash death is not included, why are “unintentional firearm fatalities” and “deaths of undetermined intent”? It’s a nonsensical mishmash, skewed to favor powerful interests, intentionally or not. Violence and the harm it causes is a single “set” and should be treated as such.”

I forwarded Mr. Kelley’s thoughts to CDC and added that I continued to be concerned on behalf of crash victims (past, present, and future) that the CDC continues to minimize deaths and serious injuries from vehicle violence.  I wrote:
“How should American taxpayers view this CDC work that: 1.  relies on a WHO (paid in part by U.S. taxpayers) definition of violent death not an American definition?
2.  creates a data system NVDRS that excludes the daily American tragedies of about 100 deaths, 400 serious injuries, losses estimated at $2 Billion due to vehicle violence here in the U.S.A. today?
3.  continues the CDC travesty of minimizing vehicle violence notoriously exemplified by the CDC removal of “Rollover and Extrication” (one of the most violent vehicle crash modes) from the triage guidelines after CDC acceptance of $250,000 from GM.  Seehttps://www.careforcrashvictims.com/assets/CFCV-MonthlyReport-March2014-2%20.pdf   See also http://www.cdcfoundation.org/what/partners  andhttp://www.cdcfoundation.org/
All this feeds into the growing narrative of government policies being politically rigged.  See https://www.thetrace.org/2016/04/cdc-gun-violence-research-dickey-amendment/

Following Some of The CDC Money:

The work of CDC is often funded by corporate dollars – including GM – through the CDC Foundation.  See the long list of corporate partners at http://www.cdcfoundation.org/what/partners#category-299
And the work of CDC today also is often funded by Foundations that in an age of Pay to Play also have to be considered.  See long list of CDC Foundation Partners athttp://www.cdcfoundation.org/what/partners#category-363
And then there are the CDC Foundation’s Organization Partners.  See http://www.cdcfoundation.org/what/partners#category-365
As the U.S.A. today is historically approaching its 4 millionth death due to vehicle violence, what would the families who have suffered losses think of CDC today?
Lou Lombardo

Climate Change Leadership From California Officials

Climate Change Leadership From California Officials

Dear Care for Crash Victims Community Members:

A NY Times article reports on leadership that set climate change goals.

“LOS ANGELES — California will extend its landmark climate change legislation to 2030, a move that climate specialists say solidifies the state’s role as a leader in the effort to curb heat-trapping emissions.

Lawmakers have passed, and Gov. Jerry Brown has promised to sign, bills requiring the state to reduce its greenhouse gas emissions to 40 percent below 1990 levels.”

See  http://www.nytimes.com/2016/08/26/us/californias-emissions-goal-is-a-milestone-on-climate-efforts.html?mabReward=CTM&action=click&pgtype=Homepage&region=CColumn&module=Recommendation&src=rechp&WT.nav=RecEngine

This story is relevant because it addresses one of the forms of vehicle violence: air pollution emissions.  The story shows that people can get worthy goals set despite corporate opposition.

Long Fight For Clean Air

A story I recall took place California while I was working on the Clean Air Act. In 1969 students from MIT challenged students from CalTech to a Clean Air Car Race during the summer of 1970.  Engineering students from about 40 schools joined in.  My job in the summer of 1970 was to monitor the emission measurements in Boston, then at the Government lab in Ann Arbor MI, and finally at CalTech.   The goal was to see if students could build a car that could meet stringent standards being considered by Sen. Muskie.   At the time President Nixon was afraid that he might have to run against Sen. Muskie in 1972.  So the President tried to preempt Muskie by proposing stringent standards to be met by 1980.  Muskie and the Congress proposed moving up the 1980 standards to 1975 in the Clean Air Act.

The final afternoon of measurements was a high air pollution day in LA.  Someone came over to me and told me were experiencing record smog levels.  I was dubious and asked how he could say that.  He said that in the adjacent parking lot the County had a trailer measuring air pollution levels.  At a break, I decided to go over and see it.  So I jogged across the lot up three steps and could feel a burning in my lungs.  I went into the trailer and there were a few people watching the measurement charts going up and up.  I remarked: Wow that really is a high level.  Just then a man in a three piece suit next to me scowled at me:  “Smog doesn’t bother me one bit!”  I felt the hair on my neck stand up and returned to my tasks.

In the 1970 race a team from Wayne State University put together a Ford Capri with two catalysts.  The vehicle demonstrated the feasibility of meeting the 1975 standards Sen Muskie was proposing in 1970 and we did not have to wait until 1980 as Nixon was proposing. My job was to present the results to a National Academy of Sciences panel of Judges the following morning meeting them at a picnic table.  I knew by face who the Chairman was but not the other judges.  Five of six judges were there.  I showed the results to the Chairman and the other Judges who were present.  All were impressed. Then the Chairman started calling out to someone:  Harry!  Harry!  Over here.  Harry came over and sat down and the Chair told him the results.  Harry tried to get up but the Chairman said Harry, what do you think?  Harry tried to get up again.   And the Chairman put his arm around him and said again “Harry Isn’t this amazing?  What do you think?  Harry did not want to answer and desperately wanted to leave. Who was Harry?  Harry was the man that scowled at me the previous day. He was Harry Barr, VP of Engineering of GM.  See image attached.

Fortunately, I had previously met Sen. Muskie’s aide.  So I called him later and told him what had happened.  The test results were put into the Congressional Record.  The Muskie standards were enacted.

Seehttps://www.careforcrashvictims.com/1970-PolutionControlEfforts.phphttps://www.technologyreview.com/s/517961/a-clean-race/http://calteches.library.caltech.edu/293/1/car.pdfhttps://www.careforcrashvictims.com/assets/20008FX9.PDF

But the auto industry ultimately won by going to Nixon and getting the test methods changed.  I blew the whistle, was fired from EPA a year later, and sued the National Academy of Sciences for access to documents showing that the test procedures were being rigged.  Subsequently, years later, after the Nixon Tapes were released, the information I had been seeking from the NAS became public. The Nixon tapes revealed conversations in the White House with Henry Ford II in 1971 that the emission tests were being rigged (I was right).  The EPA, the Courts, and the NAS were wrong.    The American people were forced to breathe air with higher pollution levels for decades. See https://www.careforcrashvictims.com/blog/blog-cheatcircle/

The fight for Clean Air continues as does the harm to people breathing polluted air and suffering from climate change effects.

Lou Lombardo

Freedom of Information Act After 50 Years

Dear Care for Crash Victims Community Members:

Michael R. Lemov, author of “Car Safety Wars” and of “People’s Warrior”, has noted the 50th Anniversary of the Freedom of Information Act in a piece carried by The Detroit News.

Lemov wrote:“It is now 50 years since Congressman John Moss’ greatest triumph, the Freedom of Information Act. Since then, the law has been improved here and adopted, in one form or another, in over 100 countries….

As I interviewed Moss for a book about his life, I asked whether the Freedom of Information Act had been all he hoped for. “If you ask me if we are better off now than before we passed it,” he said, “I would definitely say yes. If you ask me are we where we should be on open government, I would say, not by a long shot. … The battle never ends.”

Lemov is right to remind us all of Rep. Moss’ “The battle never ends.”
Paul Fletcher, the recent President of the Society of Professional Journalists, noted the 50th anniversary in Quill as follows:

“PUBLIC INFORMATION OFFICERS. In December, I led a group to the White House, where we spoke with President Obama’s press secretary, Josh Earnest, on behalf of 53 journalism organizations.

The topic: The trend by public information officers at federal agencies to prevent journalists from doing their jobs and getting information to the American people. The problem has gotten worse, not better, under the “most transparent administration in history,” which is what the president called for the day after his inauguration in 2009.

PIOs have become a stifling pinchpoint for information, or in the case where interviews actually are allowed, minders who seek to make sure that the company line is preserved.

Earnest was cordial and the conversation was candid. But we haven’t seen any follow-up as the Obama administration plays out the clock.

I choose to be an optimist on a daily basis, but this problem is only going to get worse. And it doesn’t matter which candidate wins the presidential election in November.

FIX FOIA by 50. Finally, this was a big one. SPJ is a member of the Sunshine in Government Initiative, a combine of nine journalist and open-government groups. SGI worked tirelessly on behalf of the FOIA Improvement Act of 2016, a measure that passed both houses of Congress unanimously. “Fix FOIA by 50” was the mantra, seeking passage of the bill before the 50th anniversary of the act’s initial passage.

The bill brings FOIA into the 21st century; among other reforms, it allows for electronic requests and requires electronic documents to be created. There will be a single online portal to submit FOIA requests to agencies. It establishes, by statute, a presumption of openness in our government.

President Obama signed the bill on June 30, just a few days before July 4, the day President Lyndon Johnson signed the first FOIA in 1966. We fixed FOIA by 50, and we gave America a little something extra to celebrate on Independence Day this year.”  See http://blogs.spjnetwork.org/president/2016/08/09/the-last-roundup/

Lou Lombardo
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____________________Lou Lombardowww.CareForCrashVictims.com

Fwd: FTC Sells Out Consumers Justice Department in Consent Order Allowing GM to Sell Certified Used Cars With Outstanding Safety Recalls

Dear Care for Crash Victims Community Members:

Please see the CAS News Release below with documents.

http://www.autosafety.org/wp-content/uploads/import/CASNewsImage.jpg

August 26, 2016

FTC Sells Out Consumers & Justice Department in Consent Order Allowing GM to SellCertified Used Cars With Outstanding Safety Recalls

In allowing GM to sell unrepaired vehicles with outstanding safety recalls, the Federal Trade Commission (FTC) not only is out-of-touch with vehicle safety in America but also jeopardizes the Justice Department’s Consent Settlement in the GM ignition switch mass defect that killed at least 174 consumers.  In a letter to US Attorney for the Southern District of NY Preet Bharara, CAS Executive Director Clarence Ditlow wrote:

    In a proposed consent agreement with General Motors, the Federal Trade Commission would emasculate Section 15(a)(4)of the DPA by allowing vehicles with open recalls to be sold in GM’s certified pre-owned (“CPO”)program.    There is no place in a CPO program for vehicles with open recalls which endangers the life of anyone who buys such a vehicle.    We call on your office to promptly step in and request the Commission to put the proposed GM order on hold so that the Independent Monitor’s team has a full opportunity, with a clean slate, to review, assess, and make recommendations regarding GM’s procedures for addressing the known defects of open recalls in certified pre-owned vehicles. This is the time to show how the DPA can benefit consumers.

#     #     #

CAS Letter to US Attorney Preet Bharara – 8/25/16

U.S. Senators’ Letter to NHTSA Administrator and FTC Chairwoman – 7/14/16

Consumer Groups, et. al Comments on Proposed Consent Agreement – 2/29/16

FTC Federal Register Notice: Proposed Consent Agreement – 2/3/16

FTC Documents

·         Agreement Containing Consent Order

·         Complaint

·         Complaint Exhibits A-F

·         Analysis of Proposed Consent Order to Aid Public Comment

·         PRESS RELEASE: GM, Jim Koons Management, and Lithia Motors Inc. Settle FTC Actions Charging That Their Used Car Inspection Program Ads Failed to Adequately Disclose Unrepaired Safety Recalls

Clarence Ditlow

Executive Director

Center for Auto Safety

1825 Connecticut Ave NW #330

Washington DC 20009

The FTC is yet another Federal Agency failing to protect the American people from harm.

When will it end?

GM Continues Efforts To Avoid Responsibilities For Ignition Switch Deaths, Injuries, and Losses

Dear Care for Crash Victims Community Members:

Our Past:

The Wall St. Journal reports on the latest legal maneuver by GM in the long saga of minimizing justice for crash victims.  The saga has been documented by the Center for Auto Safety at http://www.autosafety.org/general-motors-ignition-switch-recalls-homepage/

Our Present:

The Wall St. Journal, in an excellent article, reports:

“GM Continues to Seek Shield From Ignition-Switch Suits

Auto maker challenging July appeals court ruling that denied its efforts to use its 2009 bankruptcy to block lawsuits over the defective ignition switches

By Tom Corrigan
Aug. 11, 2016 5:44 p.m. ET

General Motors Co. sought a rehearing of an appeals court ruling that exposes it to hundreds of potential lawsuits and some $10 billion in liabilities from faulty ignition switches.
Lawyers for the nation’s largest auto maker on Wednesday said the court made two “fundamental errors” when it last month ruled against the company’s efforts to use its 2009 bankruptcy to shield itself from the litigation over the ignition switches.
The decision “makes no sense and is flatly contrary to the bankruptcy code and decisions from other courts,” the Detroit auto maker said. GM said the court’s decision, if not reversed, would permanently damage the bankruptcy process that saved it from collapse in 2009.
The Second U.S. Circuit Court of Appeals in Manhattan denied GM’s attempt to use its bankruptcy to block lawsuits seeking potential claims over the defective ignition switches, which have been linked to 124 deaths. The ruling overturned a bankruptcy judge’s earlier decision to bar claims that arose before its chapter 11 filing.

Steve Berman, a plaintiffs’ lawyer involved in the GM litigation, said the Second Circuit rarely grants requests for a rehearing, and noted the court’s decision was unanimous”.  See  http://www.wsj.com/articles/gm-continues-to-seek-shield-from-ignition-switch-suits-1470951862?mod=itp&mod=djemITP_h

Our Future:
Remember that many crash victims were left out of any compensation and the number of victims is likely to grow as unfixed vehicles are still on the roads endangering people.  See http://www.bloomberg.com/news/articles/2015-07-01/gm-fund-excludes-scores-hurt-or-killed-in-cars-with-switch-flaw
Will justice ever prevail?
Lou Lombado
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____________________Lou Lombardowww.CareForCrashVictims.com

NBC Gets NHTSA to Investigate Hollywood “Topless” Tour Bus 15 Passenger Vans

Dear Care for Crash Victims Community Members:

NBC has moved NHTSA to investigate an obvious safety problem.

“The federal government is now investigating one of the most famous tours in the world because of an NBC4 investigation. The I-Team series documented potential safety hazards of Hollywood tour buses, including showing how some seatbelts have been modified or removed altogether. The series also looked at how the buses have been customized so that they are “topless,” leading experts and officials to question their ability to protect passengers in the event of an accident.

The United States Department of Transportation has mailed certified letters to more than two dozen tour bus companies stating it believes the convertible tour buses lining Hollywood Boulevard are not safe and should not be taking passengers anywhere.”

Lou Lombardo

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____________________Lou Lombardowww.CareForCrashVictims.com