Santa Ana Chamber
Debate, Cont’d
Re Michael Metzler’s Dec. 20 letter:
The Santa Ana Chamber of Commerce commissioned a poll of local businesses about the OCTA’s light-rail plan, proceeded to publicize the results on the cover of their newspaper and would now have us believe that they are neutral on the issue? That strains credibility. One is left to ponder how many of the questions were “leading” in nature.
While the Chamber sometimes benefits the community, it too often promotes ideas that call for expenditures of taxpayer funds or increases in taxes. Such programs mostly benefit the municipal bureaucrats who are advancing them. The Chamber also is partially funded by the city of Santa Ana. The fruit, as they say, does not fall far from the tree.
In the meantime, Santa Ana businesses often are left to contend with bad proposals all by themselves. For example, the Santa Ana City Council recently attacked check-cashing stores by limiting their presence in the city. The Chamber, as usual, had no comment. Nor did they object when the downtown’s Hispanic street vendors were targeted by the city, or when the council deemed pay phones a nuisance.
Santa Ana would be better served by an independent Chamber of Commerce dedicated to free enterprise, limited government and opening the doors of opportunity to everyone in our diverse city.
Art Pedroza Jr.
Chairman
Santa Ana Public Library Board
(Writer’s note: The above title is used for identification purposes and to establish my credibility as a resident and community activist in Santa Ana. By no means do I intend to mislead anyone into thinking that I am speaking on behalf of my board.)
Royal Globe Case
Keeps on Spinnin’
California’s governor recently signed SB 1237 and AB 1309, which allow third parties to sue insurance companies. Though billed as a boon to consumers, the real winners are the very trial lawyers who sponsored the legislation.
These third-party lawsuits were permitted in California from 1979 to 1988 when the Rose Bird Supreme Court ruled in a case involving the Royal Globe insurance company. This bizarre ruling allowed a claimant to also sue the insured’s insurance company if the claimant did not like the way the company was handling the insured’s defense.
The Royal Globe decision discouraged insurance companies from vigorously defending their clients, preferring to pay off a third-party claimant rather than risk litigation. Insurance fraud increased because companies were not willing to risk third-party suits. The cost of such a policy was disastrous for consumers.
According to analysis by economist William Hamm, in 1978 the pure premium (the average cost for a bodily injury claim per insured vehicle) in California was $50, which was 156% of the 49-state average. By 1988, the California pure premium had increased to $184, or 222% of the 49-state average. That year the California Supreme Court overturned the Royal Globe case.
There is no reason, other than politics, to reinstate Royal Globe. California Insurance Code Section 790.03(h) enumerates specific, prohibited unfair business and claim practices including failing to act promptly on claims, failing to act in good faith to promptly effectuate equitable settlements, and delaying payment of claims. Violations of this broad-ranging statute are filed with the California Insurance Commissioner, who has enforcement authority.
Consumer groups are planning to challenge the re-introduction of Royal Globe through the referendum process. In the November 1998 election, the trial lawyers contributed heavily to candidates friendly to their cause. This same group of lawyers will now have to pay thousands more to fight a referendum.
The gross unfairness of Royal Globe and its offspring should lead voters to nullify this political payoff.
Carol Nowicki
Senior fellow in legal studies
Pacific Research Institute
San Francisco
Thank You
We think everyone in Orange County must read your paper. At every function we have attended since Peter Brennan’s Oct. 11 article concerning my husband Tom and I appeared, we have had friends and strangers tell us how much they enjoyed reading it.
I pray you always have positive thoughts regarding either of us because your word is powerful.
Cynthia Coad
Orange County Supervisor
Fourth District
On behalf of the 150 retired volunteers at the Executive Service Corps, I want to extend our sincere gratitude for helping to further accelerate the untapped expertise in the profit world into the non-profit sector of Orange County.
From the headline to the closing contact number, Alexandra Lin’s fine reporting in the Dec. 6 issue was well received and appreciated by everyone throughout the ESC network.
It is such a pleasure to work with professionals in the media who “get it” the first time and get it out there. Many thanks for the valuable exposure you gave one of the best-kept secrets in Southern California.
John Boal
J Boal & Associates
Burbank
Re the Dec. 20 story on Comarco Inc.:
David Orloff did a great job in pulling info out of our CEO and delivering a very good story on us.
Doug Clemons
CWT Mobile Power Products
Irvine
Regarding your Comment of Dec. 6, “Counter-Protest,” if you really want to shout back at the protestors of the WTO meeting in Seattle, you should use all caps.
By the way, I agreed with your editorial.
Bill Campbell
Assemblyman, 71st District
Orange
El Toro, Cont’d
The county’s El Toro EIR concludes that no homes will be within the 65 CNEL zone and therefore none will require sound-proofing. The 65 CNEL criteria is a bad joke to those impacted; it’s like being poked in the eye with a sharp stick and then being told you shouldn’t writhe in pain because, after all, the “average” pain over your entire body is very low!
The county consultant who said if you’re not bothered by someone flushing one of your toilets in the middle of the night then you won’t mind the planes is also being deceptive, as the plan calls for 134 flights between late evening and early morning. I’d like to go to his home and flush his toilet 134 times during the middle of the night and see if he changes his opinion.
Kevin L. Cook
Aliso Viejo
