Collusive lawsuit
Encyclopedia
A collusive lawsuit is a lawsuit
in which the parties to the suit have no actual quarrel with one another, but one sues the other to achieve some result desired by both.
, one might sue another in order to put the lawsuit before a court
which can rule on its constitutionality. Because courts generally reserve jurisdiction for situations in which there is an actual case or controversy - i.e., a real dispute between the parties - where such a suit is suspected, the court may refuse to exercise jurisdiction
.
, where two persons agree to fake an accident
, so that the "victim" can sue the other person in order to collect from the other person's insurance
. This is a crime
, and insurance companies investigate claims to determine that no collusion is involved. Because of the fear of collusive suits, many jurisdictions have, at various times, prohibited spouses from suing one another or prohibited children from suing their parents. Also, many jurisdictions have had guest statute
s which make it difficult for a passenger
in a non-commercial vehicle to sue the driver if the passenger is injured due to the driver's negligence
.
, in those jurisdiction
s where fault
remains as a condition before commencement of an action for breach of the marriage contract.
Lawsuit
A lawsuit or "suit in law" is a civil action brought in a court of law in which a plaintiff, a party who claims to have incurred loss as a result of a defendant's actions, demands a legal or equitable remedy. The defendant is required to respond to the plaintiff's complaint...
in which the parties to the suit have no actual quarrel with one another, but one sues the other to achieve some result desired by both.
Constitutional law
For example, if two people think a law is unconstitutionalConstitutionality
Constitutionality is the condition of acting in accordance with an applicable constitution. Acts that are not in accordance with the rules laid down in the constitution are deemed to be ultra vires.-See also:*ultra vires*Company law*Constitutional law...
, one might sue another in order to put the lawsuit before a court
Court
A court is a form of tribunal, often a governmental institution, with the authority to adjudicate legal disputes between parties and carry out the administration of justice in civil, criminal, and administrative matters in accordance with the rule of law...
which can rule on its constitutionality. Because courts generally reserve jurisdiction for situations in which there is an actual case or controversy - i.e., a real dispute between the parties - where such a suit is suspected, the court may refuse to exercise jurisdiction
Jurisdiction
Jurisdiction is the practical authority granted to a formally constituted legal body or to a political leader to deal with and make pronouncements on legal matters and, by implication, to administer justice within a defined area of responsibility...
.
Tort fraud
Another form of collusive lawsuit involves fraudFraud
In criminal law, a fraud is an intentional deception made for personal gain or to damage another individual; the related adjective is fraudulent. The specific legal definition varies by legal jurisdiction. Fraud is a crime, and also a civil law violation...
, where two persons agree to fake an accident
Accident
An accident or mishap is an unforeseen and unplanned event or circumstance, often with lack of intention or necessity. It implies a generally negative outcome which may have been avoided or prevented had circumstances leading up to the accident been recognized, and acted upon, prior to its...
, so that the "victim" can sue the other person in order to collect from the other person's insurance
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
. This is a crime
Crime
Crime is the breach of rules or laws for which some governing authority can ultimately prescribe a conviction...
, and insurance companies investigate claims to determine that no collusion is involved. Because of the fear of collusive suits, many jurisdictions have, at various times, prohibited spouses from suing one another or prohibited children from suing their parents. Also, many jurisdictions have had guest statute
Guest statute
A guest statute is a term used in the law of torts to describe a statute that makes it more difficult for a passenger in an automobile to recover damages from the driver for injuries received in an accident resulting from ordinary negligence on the part of the driver. Instead, passengers are...
s which make it difficult for a passenger
Passenger
A passenger is a term broadly used to describe any person who travels in a vehicle, but bears little or no responsibility for the tasks required for that vehicle to arrive at its destination....
in a non-commercial vehicle to sue the driver if the passenger is injured due to the driver's negligence
Negligence
Negligence is a failure to exercise the care that a reasonably prudent person would exercise in like circumstances. The area of tort law known as negligence involves harm caused by carelessness, not intentional harm.According to Jay M...
.
At-fault divorce
Another example is in divorceDivorce
Divorce is the final termination of a marital union, canceling the legal duties and responsibilities of marriage and dissolving the bonds of matrimony between the parties...
, in those jurisdiction
Jurisdiction
Jurisdiction is the practical authority granted to a formally constituted legal body or to a political leader to deal with and make pronouncements on legal matters and, by implication, to administer justice within a defined area of responsibility...
s where fault
Fault (legal)
Fault, as a legal term, refers to legal blameworthiness and responsibility in each area of law. It refers to both the actus reus and the mental state of the defendant. The basic principle is that a defendant should be able to contemplate the harm that his actions may cause, and therefore should...
remains as a condition before commencement of an action for breach of the marriage contract.