-
Welcome
0 Trackbacks
Welcome to managingdisputes.com After seeing the wastefulness of litigation for many years, I encourage my clients to plan for disputes and and reduce their costs by negotiating effective agreements, mediation and arbitration. In addition to my law practice, which focuses on information technology, health law, and antitrust, I am an experienced mediator and arbitrator and teach at Carnegie Mellon University, Heinz College. Please feel free to contact me ( This e-mail address is being protected from spambots. You need JavaScript enabled to view it or 412-246-8777), if you would like to talk about ways to build productive business relationships and avoid wasteful ltigation.
Managing Disputes Blog
-
Faux Health Reform: Revoking McCarran Ferguson's Antitrust Immunity
Written by
Gary L Kaplan
0 Trackbacks
The Kaiser Foundation reports that instead of as part of health reform, the House is going to move forward on revoking the antitrust exemption for the insurance industry under the long standing McCarran Ferguson Act. Although there is nothing particularly wrong with such a move, for the most part it is pretty meaningless. I can't recall a single case in which the immunity made any difference an antitrust action against an insurer. Although it has been cited in many cases, for the most part, the courts have used to immunity to justify decisions that they would have reached anyway. E.g. Ocean State Physicians Health Plan v. Blue Cross & Blue Shield, 883 F.2d 1101 (1st Cir.1989). The problem with touting revocation of McCarran Ferguson is that provides an excuse for not doing anything meaningful. The most likely effect of revocation would be to encourage an increase in frivolous antitrust cases, while doing nothing to reduce health care costs or expand coverage. Far more important than McCarran Ferguson would be to eliminate barriers to interstate competition among insurers. But that would actually require some thoughtfulness and legislative initiative.
Written on Thursday, 04 February 2010 13:46
Be the first to comment! Read 17 times Read more...
-
Health Reform: Fighting the Past
Written by
Gary L Kaplan
0 Trackbacks
In the Washington Post today, Abigail Trafford succinctly describes the Obama
Administrations efforts to avoid the Clinton's mistakes. While the Clintons tried to control all aspects of their reform proposal, Obama turned to Congress while cutting deals with influential groups that helped kill the Clinton proposal. For a more in depth review of the Clinton efforts, I recommend the remarkably prescient book by Wash Post reporters Broder and Johnson from the mid 1990s-- The System: The American Way of Politics at the Breaking Point
Written on Tuesday, 02 February 2010 14:43
Tags: General Health Law Legislation and Reform Be the first to comment! Read 22 times Read more...
-
Amazon v. MacMillan: Yet Another Idiotic Antitrust Reference
Written by
Gary L Kaplan
0 Trackbacks
I love my kindle-a birthday present from my wife last year. It won't, however, stop me from thinking about getting an i-Pad. Amazon's capitulation to MacMillan's demand to raise prices on MacMillan books makes my treason more likely not only because the deal will prevent Amazon from underselling Apple, but also because of Amazon's ridiculous supposed justification for giving in. In its notice to customers, Amazon pleaded for forgiveness on grounds that it was forced to capitulate because MacMillan has a "monopoly" over McMillan titles that Amazon wants to sell. This is like saying that I'm forced to buy books from Amazon, because only Amazon has a monopoly since only Amazon can sell books from the Amazon website.
Written on Monday, 01 February 2010 22:51
Tags: Antitrust Be the first to comment! Read 26 times Read more...
-
Filibusters, the Constitution, and Lieberman
Written by
Gary L Kaplan
0 Trackbacks
The failure of health care reform has renewed disgust with interest in Senate Rule 22, which allows allows any Senator to require 60 votes as a condition of bring a bill to a vote. In the 19th Century there were less than two dozen filibusters.
The the 60 vote rule, it is a remnant of a more civil time, when filibusters were rare, and reserved for the most ominous issues. In entire 19th centuty there were less than 2 dozen fillibusters. In the 1950s, there was about one fillibuster every two years. In 2009, there were over 100 fillibusters (or actually threats of fillibusters, which is now sufficient to cut off debate).
An interesting comparison to today's political environment in the US is shown in a letter by one of Lyndon Johnson's staff members in 1964. The letter predicted that Medicare would prevail in the Senate by a vote of 55-45. In today's world, medicare could not be enacted because such a vote would be insufficient. Here is a link to an article by Ezra Klein in the Washington Post discussing (and providing a picture of) the 1964 letter.
Given the necessity of health care reform, its remarkable to me that the Democrats have failed to threaten revoking the 60 vote rule. There have been several recent articles raising questions about whether it is constitutional, (e.g. NYT Op-ed by Thomas Geogehan ) and discussing options for revoking iincuding reconciliation or the so-called "nuclear option.").My favorite discussion, however, is in a 2003 article by senator John Corwyn (R-Tex) in the Harvard Journal of Law and Public Policy. In the article, Senator Corwyn quotes Senator Lieberman, who helped kill reform proposals he had supported when running for VP by flexing his senatorial fillibuster muscle to protect his buddies in the insurance industry. In 1995, Senator Lieberman declared:
“For too long, we have accepted the premise that the filibuster rule is immune. Yet . . . there is no constitutional basis for it. . . . [I]t is, in its way, inconsistent with the Constitution, one might almost say an amendment of the Constitution by rule of the U.S. Senate. . . . [I]t seems to me to be inconsistent with the Constitution that this body, by its rules, has essentially amended the Constitution to require 60 votes to pass any issue on which Members choose to filibuster or threaten to filibuster.” [141 CONG. REC. 38 (1995)]
and
“The Constitution states only five specific cases in which there is a requirement for more than a majority to work the will of this body: Ratification of a treaty, override of a Presidential veto, impeachment, adoption of a constitutional amendment, and expulsion of a Member of Congress. In fact, the Framers of the Constitution considered other cases in which a supermajority might have been required and rejected them. And we by our rules have effectively amended the Constitution—which I believe, respectfully, is not right—and added the opportunity of any Member or a minority of Members to require 60 votes . . . .” [141 CONG. REC. 642 (1995)]
I suppose, though, it is unrealistic to expect any Sentor nowadays to act in accordance with his principles or to have enough integrity to challenge a rule magnifies his power at the expense of constitutional government.
Written on Monday, 01 February 2010 22:16
Tags: General Health Law Be the first to comment! Read 24 times Read more...
-
Trials and Ordeals: History Meets Game Theory
Written by
Gary L Kaplan
0 Trackbacks
The Boston Globe had a wonderful article today by economist Peter Leeson explaining why trial by order (e.g. fire or water) may have worked better than the jury system in eras of superstition and fervent religious belief. The article summarizes Leeson's more academic detailed paper on the topic.
Written on Monday, 01 February 2010 21:09
Tags: General ADR Be the first to comment! Read 23 times Read more...
-
Health Care Reform 2009-Missing the Moment
Written by
Gary L Kaplan
0 Trackbacks
In his State of the Union Address, President Obama had little to say about health care reform. Without a doubt, he recognizes that the window of opportunity to elevate and secure health care in the US has now passed. As we enter the election/demagoguery season, there is virtually no possibility that Republicans will cooperate on anything that remotely might be perceived as a success for the adminstration, regardless of merit. With its archaic and abused 60 vote filibuster rule, it seems inevitable that the only thing to expect from the Senate is perpetual gridlock.
Written on Sunday, 31 January 2010 00:48
Tags: Health Law Be the first to comment! Read 27 times Read more...
Photo

