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                <text>The Department of Justice received more than 11,000 e-mails in response to the agency's public solicitation for comments upon its plans to distribute the September 11th Victim Compensation Fund of 2001 established by Congress to benefit the victims of September 11 and their families.  These e-mails have been organized here by date.</text>
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Tuesday, January 22, 2002 8:27 PM
Victim's Compensation

Attachment 1:

January 16, 2002
 

Re: Comments on the Interim Rule of the September 11th Victim 
        Compensation Fund of 2001

Dear Sir,
    Don't penalize those surviving family members whose loved ones did the 
right thing by providing for their families.  Please make sure government 
financial assistance is given to all the families who lost a loved one on 
September 11, 2001.  We need your help to correct two inequities in the 
Department of Justice's Interim Final Rule for the September 11th Victim 
Compensation Fund of 2001 that will result in many families receiving no 
compensation from the fund. This is because (1) the projected economic and 
non-economic loss figures are unrealistically low; and (2) the Fund reduces 
any award by the amount of money a victim family receives from a "collateral 
source."

    When Congress passed the Air Transportation Safety and System 
Stabilization Act on September 22, 2001, it severely restricted September 11 
victims' right to sue the airlines. In exchange for denying victims the right 
to sue, Congress provided the September 11th Victim Compensation Fund of 
2001.  The Fund is supposed to compensate the victims' families for the types 
of losses that would have been recoverable in a lawsuit, but without the 
burden and delay of litigation.

The Interim Rule/Regulation also describes the intention of the law:

"The Fund is designed to provide a no-fault alternative to tort litigation 
for individuals who were physically injured or killed as a result of the 
aircraft hijackings and crashes on September 11, 2001" {Interim 
Rule/Regulation, Summary Paragraph A.1.}.

 
"The attached regulations have two objectives: (1) To provide fair, 
predictable and consistent compensation to the victims of September 11 and 
their families throughout the life of the program; and (2) to do so in an 
expedited, efficient manner without unnecessary bureaucracy and needless 
demands on the victims." {Interim Rule/Regulation, Supplementary 
Information.}. 

    The Interim Final Rule fails to meet the intent of Congress, however, 
because many victims' families will net nothing after collateral source funds 
are subtracted from the already undervalued economic and non-economic loss 
projections.

    The Interim Final Rule understates economic loss by underestimating the 
lifetime earning potential of victims at all income levels.  Noted economists 
at the National Association of Forensic Economists showed that the Interim 
Final Rule uses outdated statistics and inappropriate methods to arrive at 
low estimates of our loved one's future earnings.  An analysis done by one of 
these economists showed that the actual earnings growth for firefighters is 
27% higher than the DOJ estimate, the actual earnings growth of all college 
educated workers is 30% higher than DOJ indicates, and actual earnings growth 
for financial professionals is more than 100% higher than the DOJ estimate.
    
    The Interim Final Rule also falls short of Congress's goals for 
non-economic loss.  The figure for presumed non-economic loss compensation of 
$250,000 plus an additional $50,000 for the spouse and each dependent. 
Perhaps more realistic guidance as to the value of non-economic loss can be 
found in other air crash disaster awards.  For example, non-economic losses 
recovered in other air crash and terrorism cases commonly result in awards of 
between $2 million and $5 million.  A more reasonable projection of 
non-economic loss is probably somewhere between the current proposal and the 
historical litigation result. 

    The Interim Final Rule reduces any compensation awards by the amount of 
any funds received from collateral sources, including life insurance.  The 
Interim Final Rule does this because Congress included such a provision in 
the Air Transportation Safety and System Stabilization Act.  That does not 
make it fair; that does not make it right.  In many states, the law on "the 
collateral source rule" has been well settled for over one hundred years.  
Under that rule, damages recoverable for personal injury or death, caused by 
the negligence of another, cannot be reduced because of compensation received 
by proceeds of an insurance policy.  This is because the wrongdoer owes full 
compensation for the injuries inflicted by them and any payment by a 
collateral source in no way relieves the wrongdoer of their obligation.  In 
this instance, the airlines and others at fault owe full compensation for the 
injuries resulting from their negligence.  Any payment by a collateral source 
in no way relieves the airlines and others at fault of their obligation.  
This collateral source rule, which has been a fundamental part of tort victim 
compensation for over a hundred years, needs to be incorporated into the 
September 11 Victim Compensation Fund. 

    The Interim Final Rule needs to be adjusted to provide fair, balanced and 
acceptable economic and non-economic loss projections.  The economic loss 
charts need to be increased and expanded depending upon the deceased's job 
field.  The non-economic loss amounts also need to be increased into a range 
that accounts for the tragic way in which these innocent victims died and the 
shattered lives they left behind.  Collateral source recoveries need to be 
excluded from consideration by the Fund.  Without these changes, the intent 
of Congress will not be fulfilled because there will be no reason for many of 
the September 11 victim families to participate in the Fund. Without these 
changes, it will be better for many victim families to take a chance at 
litigation rather than sign on to a Fund through which they will receive 
nothing but a waiver of their right to sue.
    Please rectify these inequities.  Give the victim families a reason to 
participate in this Fund rather than litigate.  Change the Interim Final Rule 
to provide economic and non-economic amounts at fair, balanced and acceptable 
levels; do not offset Fund awards by collateral source recoveries; establish 
a fair appeal process.  Finally, please include the specific calculation 
formulas, statistics and assumptions within the rule or the explanatory 
materials.  


                        Individual Comment
    Stafford, VA
 
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        <name>September 11 Email: Date</name>
        <description>The local time and date when the message was written.</description>
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            <text>2002-01-22</text>
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              <text>dojN002360.xml</text>
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          <description>The process status of this item.</description>
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          <description>Whether September 11 Digital Archive has permission to possess this item.</description>
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          <description>The source of this item.</description>
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          <name>Media Type</name>
          <description>The media type of this item.</description>
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              <text>email</text>
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          <name>Created by Author</name>
          <description>Whether the author created this item.</description>
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          <name>Date Entered</name>
          <description>The date this item was entered into the archive.</description>
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              <text>2002-01-22</text>
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