House passes bill to penalize firms filing frivolous lawsuits.(regulatory)(suit Abuse Reduction Act)(Brief Article)

The House has passed the Lawsuit Abuse Reduction Act (LARA), a bill sponsored by Representative Lamar Smith (R., TX) that would penalize attorneys and law firms that file frivolous lawsuits. It would also require that a plaintiffs' principal place of business or residence be in the same district where the lawsuit is filed, a measure that industry groups say would prevent "forum shopping," in which plaintiffs seek out court districts that have a tendency to rule against corporate defendants.

ACC says that LARA would remedy some of the "worst abuses" of the legal system. "Forum shopping has emerged as a major problem in our legal system," says ACC deputy general counsel …