Trial Lawyers Deplore Greenbergs Terrorist Label

During his luncheon speech, Mr. Greenberg characterized lawyers opposed to tort reform as terrorists, according to Tina Rice, assistant director for the Club, which sponsored his talk. Combating tort reform opponents is like fighting the war on terrorists I call the plaintiff's bar terrorists, Mr. Greenberg said, according Ms. Rice.

She said he also condemned venue shopping by plaintiff attorneys to find favorable jurisdictions where juries and judges are more likely to provide massive awards in class-action suits. Defendants in such situations get raped by the legal process, he reportedly said.

"Our legal tort system is out of control, he reportedly added. It's a blight on the country.

Ms. Rice quoted from a tape recording of Mr. Greenbergs remarks. The Reuters news service reported a similar account of his statements. AIG declined to comment.

As the CEO of AIG, one of the largest insurance conglomerates in the world, you have a reputation for colorful outspokenness, but your condemnation of trial lawyers as terrorists steps over the line. Way over the line, the Association of Trial Lawyers stated in their open letter to Mr. Greenberg. "You owe an apology to the American people, as well as to trial lawyers

The group also told Mr. Greenberg in its letter that while you and your corporate allies have been spending and lobbying relentlessly to undermine the fairest legal system in the world and take away the legal rights of American families in the name of so-called 'tort reform, trial lawyers have put their time, their talents and their experience on the line to help the victims of the real terroristsall for freeand now you label us 'terrorists.' For shame, Mr. Greenberg.

Dennis Archer, president of the American Bar Association, the largest group of lawyers in the country, also took Mr. Greenberg to task: Suggesting any similarity between lawyersany lawyersand terrorists demonstrates an appalling lack of appreciation for the role of law and lawyers in our society.

The ABA said Mr. Greenberg's statements also demonstrate the disregard and denial of responsibility that is sometimes apparent in defendants of class-action litigation, and that forces the victims of negligence or other kinds of wrongdoing to resort to the courts.

But while lawyers groups argue that Mr. Greenbergs terrorists comment has stepped over the line, some insurance experts pointed out that there has been no shortage of sharp rhetoric when it comes to debating the tort system.

Many CEOs, not just in the insurance business but in every industry, are extraordinarily frustrated with the tort system in the country, said Robert Hartwig, senior vice president and chief economist at the Insurance Information Institute in New York.

Mr. Hartwig observed that many CEOs have issued harsh remarks regarding the tort system. I have heard the term extortion used. People have used terms like jackpot justice and blackmail. It is an issue that really flames the passion, he said.

Reproduced from National Underwriter Property & Casualty/Risk & Benefits Management Edition, March 5, 2004. Copyright 2004 by The National Underwriter Company in the serial publication. All rights reserved. Copyright in this article as an independent work may be held by the author.