The Institute for Legal Reform (ILR), part of the U.S. Chamber of Commerce, stated in an August 16 post on its website that trial attorneys are using "manipulative" advertising to attract more clients, which can mislead consumers.
"In recent years, you've probably noticed an uptick in ads from law firms promising big settlements or a quick resolution to your legal troubles," said the ILR. "In the world of legal advertising, trial lawyers have increasingly turned to manipulative legal advertising to attract clients. These strategies, often cloaked in the guise of public service announcements or health alerts, can mislead the public and create unjustified fears."
According to the ILR, these legal advertisements can mislead consumers into believing that the ads are government-sanctioned health alerts. When consumers see the ads, they may stop taking prescribed medication without consulting a healthcare provider, potentially leading to adverse health effects. The ILR indicated that more regulation is needed to protect consumers from misleading legal ads.
In a separate post, the ILR noted that trial lawyers spend large amounts of money on these advertisements because they attract more clients, resulting in larger paydays for the attorneys. The ads can mislead consumers by promising large settlements; however, the portion of the settlement that plaintiffs receive is typically much smaller than the advertised amount.
Scott Whitaker, CEO and President of the trade association AdvaMed, said legal advertisements can deceive patients into disregarding advice from their doctors. In a commentary he authored on Real Clear Health, Whitaker stated: "Patients might reject medication or a medical device their doctors recommend." He added: "This lawsuit 'industry' has become hugely profitable in the last decade, even as these practices undermine the civil justice system and the doctor-patient relationship."
According to Rustin Silverstein, President and Founder of X Ante, attorney advertisements contribute to a larger volume of lawsuits. As reported by the Travelers Institute, this increased litigation leads to higher insurance costs for consumers and higher costs for goods and services. Silverstein noted that every American household pays an extra "tax" of $3,600 annually due to excessive litigation costs.
Stephen Waguespack currently serves as president of the ILR. According to its website, the ILR aims to promote a "fair legal system" that supports economic growth.