The courts of West Virginia have earned the American Tort Reform Association's designation as being the nation's #1 Judicial Hellhole®. This case exemplifies the problems that manufacturers face in that state. A jury awarded $10.5 million for an alleged breach of a confidentiality agreement, even though there was no evidence of injury to the plaintiff. When the defendant appealed to the West Virginia Supreme Court of Appeals, the state's only appellate court, the court declined to hear the appeal.
Daniel Measurement Services appealed to the U.S. Supreme Court, arguing that the Due Process clause requires both evidence of harm and adequate judicial review of a jury award.
The NAM was joined by 3 other business groups in an amicus brief supporting the appeal. We explained our concern that the trial court had adopted a blanket policy against summary judgment even when it had concern that the facts accepted in the light most favorably to the plaintiff might not support a claim. According to the judge, ". . . This ain't Texas, this ain't Kansas, this is West Virginia, and we don't give summary judgment." We also argued that the Due Process Clause requires some meaningful level of pre- and post-trial review as a safeguard against arbitrary or excessive compensatory damage awards.
Unfortunately, the Supreme Court declined to hear the appeal on 11/26/2007.