Function

• The act would have required that in any case where a lawsuit about private securities was thrown out or found in favor of the defendant, the lawyer for the plaintiff would be required to prove the plaintiff's case was valid. If he could not, the lawyer could face possible fines.
  
  

Oversight

• The determination for whether or not the plaintiff's attorney should face punishment would have been at the discretion of the judge presiding over the original case. Additionally, the act would have required the Comptroller General to report to Congress about average hourly fees in securities litigation.
  
  

History

• The act was originally proposed by Rep. Richard Baker of Louisiana on Oct. 23, 2007. The act was referred to the House Subcommittee on Financial Services and was subsequently never voted on.