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Legal News

: Legal Pad | LA

New court study says budget cuts spell big-time trouble for CA

By Richard Binder

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California faces $21 billion in budget cuts during the fiscal year that begins on July 1. According to a study commissioned by the Los Angeles County Superior Court, those cuts will cost more than $30 billion in economic losses statewide and triple the litigation times for cases during the next four years.

The study, released on December 17, says the losses would include $13 billion in compensation that otherwise would have gone for legal services, such as legal fees, and $1.6 billion in unpaid income and sales taxes.

If no extra revenue is found, the California Legislature is expected to cut state court budgets annually by as much as 30%. Under that worst-case scenario, the Los Angeles courts would lose $79 million for the current fiscal year; that figure would widen to about $140 million for the 2012-13 fiscal year.

Full story at NLJ.com.

Full post as published by Legal Pad | LA on January 06, 2010 (boomark / email).

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