Economic Collapse Hitting Judicial System
It's finally here. While there are hopeful and positive signs of economic recovery beginning to emerge, the brunt of the economic collapse on the legal system is just beginning.
In a recent article in the New York Times, New York’s chief judge, Jonathan Lippman, compares hospital emergency rooms to the courtroom in terms of healing society's economically wounded.
For most court systems nationally, official tallies of cases filed since the 2008 economic collapse are not yet complete. But the New York data, compiled by state court officials after a request from The New York Times, provide an early measure of the wave of recession cases nationally.
Legal actions involving foreclosures are up 446% in Florida; one of the worst hit housing markets, evictions up 77%, domestic violence attached to loss of work scenarios, as well as other recession related lawsuits.
Here in Nevada, the housing market may still be declining. The effects of the recent opening of the multi-billion dollar City Center creating a glut of more housing are still to be seen. Meanwhile several condominium projects are trying to secure closings.
While Mayor Oscar Goodman pushes through his agenda to build Las Vegas a new City Hall on predictions of recovery, Governor Gibbons is the budget cutter for Nevada's education and employees. Nationally, court administrators say budget pressures are forcing them to do more with less. Note: Nevada was recently found to be 6th highest in the nation for government salaries. FIrefighters making $200,000 are the highest paid in the country.
Another interesting component affecting "society" and the judicial system is the insurance companies' response to resolving matters. More resolution means less weight on the courts. But the debt of the insurance industry resulting from taxpayer credit (think bailout) may inhibit resolution resulting in more court time.
A New York Judge compares the situation to a "train wreck" that will go on for years.
