Institute for Legal Reform: ‘the public is now inundated with manipulative legal advertising’

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X Ante President Rustin Silverstein (left) and Institute for Legal Reform President Stephen Waguespack (right) | x-ante.com, instituteforlegalreform.com

The Institute for Legal Reform (ILR), part of the U.S. Chamber of Commerce, stated in an August 16 post that "manipulative" advertisements from trial lawyers can mislead viewers by implying that a medication is unsafe, potentially causing consumers to stop taking prescribed medications and leading to adverse health effects.

"Traditionally, the legal profession frowned upon attorney advertising," said the ILR. "However, the landscape has dramatically shifted, and the public is now inundated with manipulative legal advertising through television commercials and internet ads soliciting them to ‘call right now' to file a lawsuit. These ads often present themselves as public health alerts, warning viewers that the use of a consumer product can cause illness or disease, even if such claims are contrary to scientific consensus. For instance, some ads tell viewers that using a prescribed medication can have dire consequences such as heart attack, stroke, death, or birth defects, without indicating the rarity of such side effects or complications."

According to the ILR, several states have taken action to address misleading legal advertisements. Florida, Louisiana, and Texas have enacted legislation regulating legal advertising. In Florida, HB 1205 bars the use of terms like "health alert" in legal services advertisements. The ILR emphasized that more regulation is needed to protect consumers from misleading legal advertising.

Rustin Silverstein, president and founder of X Ante, said attorney advertisements contribute to a larger volume of lawsuits, according to the Travelers Institute. This large volume of litigation leads to higher insurance costs for consumers and higher costs for goods and services. Silverstein noted that every American household pays a "tort tax" of $3,600 every year due to the costs of excessive litigation.

A report from the American Tort Reform Association (ATRA) found that in 2023, attorneys spent approximately $168.6 million on legal services advertisements in Georgia. Morgan & Morgan spent the most money out of any law firm in the state on ads at $24,413,237.

ATRA President Sherman "Tiger" Joyce said the large number of legal advertisements in Georgia underscores the state’s need for tort reform. "This tidal wave of legal services ads blanketing Georgia is further evidence of the state’s struggling legal climate and need for tort reform," Joyce said in a statement. "This advertising arms race is both a symptom and a cause of the state’s troubled civil justice system, fueling more litigation and lining the pockets of trial lawyers." Nearly 75% of all legal services advertisements that aired in Georgia in 2023 focused on personal injury attorneys.

The ILR is led by president Stephen Waguespack. According to its website, the organization aims to promote a "fair legal system" that supports opportunity and economic growth.

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