business backgrounder | regulation
Regulation by Litigation
How the push for “ private right of action ” would open the floodgates to frivolous lawsuits .
Richard S . Davis
At A Glance
Washington lawmakers are pushing for the state to follow California by adopting qui tam , also known as “ private right of action .”
If adopted , it would open the door to class-action lawsuits to resolve issues that are currently handled by agency regulation .
Attorney Dan Spurgeon talks to AWB ’ s Bob Battles about the heavy impact that private right of action laws have had in California .
A right to private action would result in a dramatic increase in frivolous lawsuits , harming employers and employees alike .
“ See you in court .” Dispiriting words , rivaled only by “ we need to talk .” We may be hearing them more often , though , as lawmakers appear to be embracing something called qui tam , or , more broadly , private right of action ( PRA ). Let ’ s focus on the PRAs . Basically , “ a PRA gives the individual the right to bring a lawsuit against an entity that ’ s being regulated by a particular law or statute ,” says Bob Battles , AWB General Counsel and Government Affairs Director .
For example , the Department of Labor and Industries currently regulates workplace safety and wage laws . There ’ s an established procedure for administrative review of compliance problems that typically results in a resolution , including civil penalties . A PRA allows a complainant to step outside the administrative process and sue the employer .
“ It usually means the ability to have a class action lawsuit ,” Battles adds . “ So a lawyer can come in and get thirty , forty , one hundred , a thousand people as plaintiffs .” Winning a small award for a large number of people means a big payday for a successful trial attorney . winter 2023 51