Thanks to constant political oratory against "frivolous lawsuits" and "jackpot justice," it is widely known that there's a legal crisis in this country. President Bush never misses an opportunity to call for laws that would bring more "common sense" to a legal system that, he claims, is out of control, wrecking the economy, driving doctors out of their practices, bankrupting small businesses, and costing American jobs. Journalists repeat the charges without examining them.

As a result, the lawsuit issue has moved to the political front burner, and in the past three years, state after...