Tag Archives: social

The Causes of Social Inflation and “Nuclear” Jury Verdicts

By Thomas M. O’Toole, Ph.D.

Last year, Johnson & Johnson was hit with an $8 billion verdict by a Philadelphia jury, an amount that exceeded the gross domestic product of more than sixty countries (included Monaco, Belize, and Greenland) in that same year, according to data from the International Monetary Fund. In fact, Johnson & Johnson has become the posterchild for what many in the legal industry refer to as “nuclear verdicts,” but J&J is not alone. Jury verdict awards in the hundreds of millions and billions are becoming more and more common in American trials. The impact of this upward trend in verdicts is often referred to as “social inflation” and has become a popular topic that has understandably caused panic within the insurance industry.

Social inflation and nuclear verdicts indisputably demonstrate that a standard economic analysis for assessing risk in litigation is no longer sufficient for accurately predicting potential risk. Under a standard economic analysis, the value of an injury such as quadriplegia for a plaintiff should be no different in 2019 than it was in 2007 for a similar plaintiff beyond the adjustment for standard inflation (and certainly no different from a similar injury in a similar 2019 case), but that is not what we are seeing with jury verdicts. Instead, they are wildly erratic and inconsistent. In short, the data on jury verdicts demonstrates irrationality at work. Fortunately, the study of jury economics (a subdivision of behavioral economics) helps explain this phenomenon, highlighting what renowned psychologist Dan Arriely calls the “predictably irrational” behavior of today’s juries. Continue reading

Understanding How Social Media is Changing Your Jurors

By Thomas M. O’Toole, Ph.D.

One of the often-overlooked features of the social media revolution is how it has changed the consumer/product dynamic. In this era of Facebook, Twitter, YouTube, and the long list of other social media sites, we are no longer the consumers; we are the product. It is our information and attention that drives profit in these industries. Companies like Facebook observe our online conduct and sell that data to other companies. Consequently, incredible attention in recent years has focused on how to keep users engaged in information consumption, which is what we do when we visit these technology platforms. Continue reading

3 Ways Our Brains Are Changing With the Times

By Thomas M. O’Toole, Ph.D.

Without a doubt, we are living in unprecedented times. Whether it is the leader of the free world firing off daily rants on Twitter or the mere fact that smart-phones leave us plugged in 24 hours a day and 7 days a week, technology and social media have profoundly changed the way we experience the world. The psychological and sociological research is finally catching up, offering an interesting glimpse into how all of these changes are impacting our brains. Here are three ways in which technology and social media are impacting your jury pool. Continue reading

The Sniper Defense Episode 7 – Common Personality Types in Jury Deliberations

After a brief hiatus, The Sniper Defense podcast is back with an all new episode. In this episode, Thomas M. O’Toole, Ph.D. discusses the common personality and interaction types that emerge during jury deliberations and how each can impact the final verdict.