The U.S. Litigation Environment and Foreign Direct Investment:
Supporting U.S. Competitiveness by Reducing Legal Costs and Uncertainty
Location USA (Oct 08)
U.S. Department of Commerce Secretary Carlos Gutierrez recently released the second Invest in America policy paper during the U.S. Chamber of Commerce’s 9th Annual Legal Reform Summit. The paper addresses the U.S. litigation environment and trends in foreign direct investment (FDI) flows into the United States. The paper notes that high U.S. tort costs are a competitiveness issue that merits sustained efforts aimed at getting these costs in line with those of other nations. There is also a pressing need for additional economic research on the impact of a litigious society on a country’s ability to attract FDI. It also emphasizes the overall high quality of the U.S. legal system and the competitiveness of America’s open investment policy, which is based on the principle that foreign investors should not be treated differently from domestic investors.
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