>> john: i reported in a lawsuit abuse for years but i keep coming back too it us a the evil keeps going on and on. i'm empty bearsed over the years some of my salary has been paid by the very people i complain about. >> have you been hurt in a car accident? >> more benefits, higher cash awards. >> they these sigh happy lawyers cost us a ton and they act like we should spank them for protecting us. it's the fear of their lawsuits that has many nasty nasty consequences. one of less important ones, stupid working labels. bob runs something like the wacky warning label contest. if you submit the one label voted the dumbest you win a thousand bucks. after reviewing hundreds of entries, he has narrowed it down to five favorites. this year he agreed to let you

pick the stupidest. [ applause ] >> you don't get to keep the thousand bucks, but what are your five finalists? >> this is an electric razor. it has warning label, it says, do not use while sleeping. [ laughter ] maybe is trying to get an early start. >> john: why does this happen. i thought i had the answer, somebody sued because they did something while asleep. >> anybody who makes a product in america is constantly looking over their shoulder for their next lawsuit. they heard the lawsuit about guy playing basketball and cut his teeth in the net and walked away with $50,000 from suing the company that made the net. >> john: it kills opportunities for people, that $50,000 could

be spent on something useful. usually suits like this get thrown out but even paying your lawyer to get him thrown out can cost $50,000? >> even when you win you may lose. you may ultimately but you have blown your life savings. we hear that all the time. if you don't put a warning label you will get sued. here we have a warning label. here is a great little product. say you are driving down the road and you have a wonderful idea and write a note to yourself where you can take this little wheel mate, attaches to the steering wheel. warning, never use this product while driving. >> john: that would seem like a reasonable warning. you don't want people to use it. as the company explained, they said it is impossible to use while driving. so the car would drive around in

circles if you tried it but the lawyer said put it on just in case. >> that is what we hear. you will sued if you don't. a warning label on fishing harmful if swallowed. >> john: product three. >> this is neck pillow that parents will put around the neck of the infants in the car. >> john: so the child can be more comfortable. >> it keeps their head stable and hurting the child. warning label actually says keep this product away from facts and children. it's kind of hard to use it. >> john: we called the company and they didn't respond. this is number four. the electric skillet. warning says, caution, griddle surface may be hot during and after cooking. i would hope so.

>> its catch-22 in america, sometimes i want to get something that obvious and somebody will say, since you produced a product you knew could hurt somebody you are admitting you created a risky product. sometimes even their own warning labels are used against them in a court of law. >> john: a lawsuit is about winning, about whose lawyer that can convinces a jury who are threaten to get that far and you would have to pay $100,000 to defend yourself. >> nine out of ten lawsuits are settled. they don't necessarily, plaintiff files a lawsuit doesn't care if it goes a jury because they know -- right -- they can drag it out for months and years in the courts. they know they will squeeze every penny out of that person if they are suing. not only is the lawyer that is hired for the person that claimed they are injured but the person sued has to hire their

own lawyer. so everybody in the legal profession wins except for the person getting sued. >> john: so the plaintiffs' lawyers they want a quick settlement. okay, this globe what is deal? >> these globes should not be referred to for navigation. [ laughter ] >> john: and we talked to the company. they said we know our world is ever changing. we would not recommend for us in educational purposes but merely as a decorative item. this is our legal system that is supposed to help victims. why are you so angry? >> we get a big laugh on the warning labels but the bottom line, we're going to pay because all these products cost more because of the litigation that

is happening in america all the time. not only do the products cost more but worse a lot of products are never brought to market because the inventor is so afraid they will be sued they just shy away from bringing it to market a good example, the audience may not have seen, an amazing circular saw that will stop if it touches skin. he tried for years to get stores to sell that but the liability insurance was so he couldn't do it. you have people this whole time losing fingers and hands because of these injuries. here you had a product that could have saved their fingers but it was not in market. >> john: because a product like that which is about the dangerous thing is a biggest target for lawsuits, so the things we need most we often lose. that and the cost and these warning labels that seem

harmless. one result you don't read it. >> plaintiffs lawyers claim they are making america safer but i would argue they are making them less safe. as they become so long we tune them out. the warning labels we need to read is getting lost in the jumble the one on the scooter, this product moves when used. [ laughter ] >> john: talk about long labels, if have you ever birth control label. i happen to have one here. this is tiny fine print, both sides of the page. the doctor doesn't read it. this doesn't make us safer. if you did read it you wouldn't want the pill anymore. >> if you did read it, you would

fall asleep you and you wouldn't need the pill. >> john: so we don't read the things that might make us safer. stepladder, they have 41 warning labels. take a look at the stepladder you have a at home. >> three foot stepladder because it's not long enough to put all the warning labels on. >> john: last year's winner was a dust mask that warned will not provide oxygen? >> it's a common dust mask. who would think that. but we were told by the lawyer they could be sued. >> john: 30 years taught lawyers that a lawsuit is expensive, long, hurts people. this is last resort. today?

>> many law schools teach lawsuits is good thing. >> john: thank you bob, a lawsuit is filed in america every two seconds. coming up, audience will pick the wackiest warning label but the new way lawyers increase costs of everything you buy. my next guest calls them terrorists but he is fighting back. [ applause ] [music plays] ♪ ♪ [muc plays] ♪ [music plays] begins with back pain and a choice. take advil, and maybe have to take up to four in a day. or take aleve, which can relieve pain all day with just two pills. good eye.

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>>. [ applause ] >> john: today american lawyers have a new scam. you inconvenient something and you start selling it and you make some money by you inventing something. but then they claim it holds a patented on something that you

sell. let's ask someone that did get sued. drew, what happened? >> so basically i had a patent lawyer file a lawsuit. they went after me. patents troll. >> john: that is what they are called? >> they are shell companies that go and purchase patents. they look around and try to find people who are doing something similar and sue them trying to get a settlement out of the deal. >> john: they don't produce anything, but they got the patent. so you were sued along with yahoo and aol, tech crunch and others? >> that's right. >> john: by a company called goose berry natural resources? >> it's a random company name site. they had no prior activity. they acquired a patent that was for the creation of a website i enter text in and turns it into

a news release. >> and that is patent of news releases via e-mail. lots of people do. explain for people that don't know. >> basically it started in 1999. i own a hundred percent of it. it is run out of kentucky. basically it's just a list of stuff i read in the news that i think is funny. sometimes it's not that funny so we make it funnier. >> john: okay, that is business model. they come in and we own this patent. we're going to take it over or just pay us to go away or buy the patent. what do they say to you. basically they filed a lawsuit against eight other companies. you are violation of our patent and tried to get an injunction to stop all activity. i realize pretty early on that

the patent was worded. it talks about news releases, it turns out news release can only be a press release which is not what i do. i link to news and make it funny i knew instantly there was an opportunity because we didn't violate the patent. >> john: most companies don't fight back. you tried to get these other guys to fight back. >> the problem as any court case the judge can rule in definition of a word, they can absutely say blue is green but the main problem is that conventional wisdom it's cheaper to settle the cases to continue to defend them. to win it will cost $10 million and take 18 months. >> john: to win. >> if you lose it gets a lot worse. you could lose your entire business, be forced to pay a licensing fees.

you could be ruled as willful infringer which is most dire out come of all. >> john: so most companies settle. you are in the news business and you had another way of fighting back. >> because i have contacts in the news business i could point out, hey, this is what is going on. one thing that happened pretty early in the case is that the plaintiffs attorney contacted my attorney and was really mad. can you tell your defendant to stop having people call my house and cuss out my wife and kids. i would appreciate him not doing that. my attorneys came to me, are you doing this. no, are you kidding me. that is ridiculous. in the interest of disclosure tell him i am more than happy to go on my website and say under no circumstances should anymore call this guy's house. here is the phone number.

[ laughter ] >> john: lawyer said, they advised him. >> he decided not to take me up on that so it worked out for him. >> john: you fought this suit. they dropped it. >> what happened about six months in, my strategy was basically to flip the playbook. i started doing being really annoying and really obnoxious, so when it came time to file for discovery. we filed instantly and show it's evidence of infringement. one of other things, we dug around and found the names of ten individuals that may or may not been related of the ownership of the company. that was the next thing we were going to pierce the corporate vail and go after these people. they blinked. they called up out of the blue. we have internal reorganization over here. we're going to give your client one last chance to give us the best possible settlement deal

you are willing to offer. i said nothing. >> john: and they? >> they accepted. >> john: they dropped it so you won. you lose when you win because you were still out hundred thousand dollars. >> it was a lot of money. with job creation issues i could have hired a few people in the amount of money i spent on it. >> these patent troll lawsuits, they are suing more often all the time. you are one of two people who started to talk about this. >> so what happened was, here this is what it was going to look like if the settlement had gone through. there is a settlement offer and non-disclosure agreement which means i couldn't talk about the case. >> john: so you refused to sign that? >> yes, it was a gambit, let's strike them and see if they go for it. my attorney said let's give it a shot.

they didn't read it and they left it out. if you are interesting finding out why, go ahead and call them. >> john: we will. these other companies say we won't talk about it. boston university study says $80 billion in damage in america so far. your conclusion is don't negotiate with terrorists. >> $80 billion is a year by itself. the amount of money that keeps getting lost keeps escalating because they operate like terrorists. the average terrorist in philippines, three guys in a bars and let's kidnap people and they get a ransom and hired two more people. they hired more people. now it's an armed military and that is exactly what is happening with patent control. >> john: okay, thank you. at least they don't kidnap people.

>> they are working on it. >> why i had to file a lawsuit because this guy beat me up. [ male announcer ] knowing your customers is important to any successful business. which is why at wells fargo, we work with you to get to know the unique aspects of your business. we can recommend financial solutions that can work for you that have helped millions of business owners save time, reduce expenses, and maxize cash flow. as the number o small business lender

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>>. >> john: personal injury lawyers fight tort reform, we want to prevent bad companies from hurting you. who but we will get compensation for your injuries. its good sales pitch but it's filled with deceit for lots of reasons. i'll focus on one nasty unintended consequences of the trial lawyers. i experienced this one myself. i once hired a personal injury lawyer. i won a settlement. people say it proves i'm a hypocrite because i criticize

these lawsuits. i don't think i'm a hypocrite. some of the lawsuits are useful. now i sued vince mcmahon in the world wrestling federation because they had instructed to do th to me. >> it's a good business. why? >> because only the tough survive and you ain't any. bringing these red next out here. this is a tough business. >> is that all you got? >> i ask you the standard question. >> i think this is fake. >> you think it's fake. is that fake. what is the hell wrong with you. that is an open hand slap. what do you mean? >> john: after that, i crawled away. i should have hit the guy with my microphone, he was 6'8" and

weighed 280 pounds. same with dave shuttle's but after that i had ear pain, loud noises hurt my ear. i sued. they can't beat up reporters that pointed out pro wrestling is fake. it's part of a lawsuit that they have you go to seek their doctor. an ear specialist and their doctor without examining me, i think this is a juro semantic illness. you are holding on to your pain because you are involved in a lawsuit. i was furious. i said to him, how dare you accuse me without examining me. he backed down. he was probably right. because after we settled the suited i got paid, my pain. do people hold on to pain because they are involved in lawsuits? i asked this orthopedic surgeon,

he no longer does it full time. she u.s. senator from wyoming. can you imagine this? >> i learned about it in medical school in residency training, seen in practice. we used to call it a green poltice to apply to an area of pain to hope it gets better, green being the money application. this is legitimate injury and jj pain and people believe the pain will be permanent. it does seem if there is a lawsuit filed until that drags through the courts for a settlement which is long-term process, the pain continues. then only once that is settled? >> the stress goes away and the pain goes away, as well. >> i could feel when you are involved in a lawsuit you think about it all the time. you are furious, furious as the

opposing lawyers and wrestlers. you are less likely to go on with your life. >> you are stuck until that issue is resolved. there is high anxiety related to it. additional stress. believe that the pain continues until that comes to some resolution. now a british psychiatrist wrote. >> john: if you pay people to suffer, they will suffer. injuries that would be self-limiting become permanently crippling. the litigant succumbs to every unprovable ailment -- >> john: this really rang home to me. these kinds of ailments, does i

siness, back pain. these are the things that are hard for doctors to cure. they may be psychological. >> there is ushlgt some real cause that begin in the first place but it hangs on for a lot longer than one would naturally expect. the one related to the anxiety or the tension and being under the stress of a pending lawsuit. >> john: before you were a senator, you were an orthopedic surgeon. ordinary people would think that is clear. you fix the guy's bone and he gets better. but in earths there was a lot of this few. there was one study that gave fake knee operations and they got better. >> there are a lot of pains that we take care of and lot of injuries, car injuries where pain won't go away. >> john: person is wearing neck brace. >> using a cane to walk or back brace, taking medication asking

for pain pills. whole host of things. this person should be better by now but i can't find a cause. nothing i can put back together as an orthopedic surgeon, nothing that has a surgical response. often once this case is settled, the pain goes away. >> john: thank you senator john barrasso. another way that they extended illness and here it is cost on undercover tape. puts you at 5 times greater risk of stroke. don't wait. go to afibstroke.com for a free discussion guide to help you talk to your doctor about reducing your risk. that's afibstroke.com. that's good morning, veggie style. hmmm. fohalf the calories plus vgie nutrition. could've had a v8.

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>>. [ applause ] >> john: one of the sleazey sides of law in addition to personal injury work, is workers' comp. they claim they were injured on the law and they should get monthly payments from the state. some really are injured but many are like the firemen who claim lung disability but competed in triathalons. i assume the lawyers suspect their clients are faking injuries but they don't want to know. but it might offend the client and they can't make money if they lose the client. they say a quarter of workers' comp claims are broken but paul poman says it is. he runs a company that secretly follows people and videotapes

them doing this. >> this weight lifter says he can't work but his left arm sure looks strong here. what is the story behind this? >> john, we got a tip-off this claimant was going to be doing some light cardio. clearly from the video, typically the doctor from heavier cardioaction. with the left shoulder injury like that, i'm a pretty strong guy myself but throwing half of that stack would cause an injury to the strongest person. >> he was collecting workers' comp and felt a pop and he had no mobility in his left shoulder. >> he was zero and zero weight lifting in that capacity. >> john: you got that video with a device like this soda. >> absolutely. we're not afraid to show our technology. there antenna, wireless transmitter. we utilize these devices for

just about everything. we can conform a camera and put it in an the item you wouldn't expect. so anybody that is thinking about insurance fraud we will catch you. >> john: earlier when i showed you around here, you were using the secret soft drink. >> just to show you how unassuming it is, we started out. this is how easily we can obtain the same footage on claimants and other individuals that are committing fraud. >> john: so watch it! [ laughter ] >> john: this man also claimed to have a non-productive left arm and can't earn income like he used to. what is he doing here? >> we got a tip-off he might be back in the construction industry. the way he is using bolt cutters to cut rebar off, 600 pounds of rebar. he grabs a hold of it.

>> john: so you go up and confronted him? >> no, of course not. we don't want to get shot. [ laughter ] >> we basically will turn our evidence over to the insurance carrier. >> john: those are your clients. >> defense lawyers and not all lawyers are bad. defense lawyers are good. >> john: some of them are bad, too. what percent of cases do you find fraud? >> we're at 79% already. >> john: doesn't mean 79% of workers' comp cases are fraudulent but you focus on the ones where someone is suspicious? >> 79% of the files we have investigated this year have been fraud. >> john: the ones you go to is the insurance company has a reason. >> we check them, some of the things you look for the individual says they are at home all the time and if they do answer the telephone it sounds

like they are in a club. >> john: people that file with an attorney, that is red flag? >> those folks that are gathering counsel. >> john: next case is a guy that sued a grocery store for negligence. he says he slipped a can in the store and injured his back. what did you catch him doing. it's hard to see in the video this was a machine that really shook this guy's back up. >> correct. as he starts to dig and claw digs in, the back end of the excavator comes up and slams down with significant force. we joked around and called him the human shock absorber. we have hours of this. it's not five for ten seconds, hours of continuous compression to his spine. >> john: one last case. a worker claimed to be incapacitated, can't drive or mow the lawn and he got another job doing construction work?

>> not only at jam hammer enough to rattle your teeth out of your head, he has a back injury, he is double dipping, collecting money from the previous employer and now he was able to take a position with the city municipality. for me that draws a couple concerns, one, municipalities doing enough background and due diligence on these folks before they are hiring them. they just hired a liability. >> john: he has a lawyer. most all of them have lawyers. maybe the lawyer doesn't know? >> you and i know that is not the truth. >> john: why? >> because i have seen these folks get coached for court. they are very well versed on how to coach the claimants. >> john: they talk about cleaning themselves. what does that mean? >> it's utilized for claimants, they going and running their errands, before they leave the house, make a couple u-turns,

give yourself an opportunity to see if there is anybody trailing i. when you come home, make a deliberate u-turns. look over your shoulder. give the impression you are aware, even if you don't see anyone. these folks are being coached up in that aspect. >> john: all right. so beware of that, if you think of cheating, this warning to you paul will catch you. >> coming up. who wins a thousand bucks to point out the wackiest label. the guy that sent in with this globe with the warning, do not use this for navigation. [ applause ] ♪ [ male announcer ] hunger getting to you? ♪ grab a ritz crackerfuls. made with real cheese and whole grain. get hunger before it gets you.

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>>. >> john: now, who wins the

thousand bucks for submitting the wackiest label. bob jones picks his top five. you are studio experience picks audience. >> who votes for the razorer which says never use while sleeping. some of you. how about the neck pillow, keep this away from children. all right. some of you. how about the skillet that says, warning this gets hot. what about the steering wheel. should not be used while driving. couple of you. by process of elimination, the globe that says not to be used for navigation. i think the globe is the winner and that means kelly watson from

texas is the winner. she gets a thousand bucks. [ applause ] >> second goes to dave warner from milwaukee. he gets $500. now, your questions for my guest bob jones and drew curtis and paul who catches fraud on tape. first from my facebook page, they say what would it take to make these people that file lawsuits to pay the legal fees of the defendant, maybe even a fine to the courts. >> good question. that is called a loser pay system. it probably would take a law that cancelled contributions for trial lawyers. they give so much money. >> john: they win in politics. >> and actually the people who

support bringing loser pay is afraid to support it because it makes them a target of all the money the trial lawyers will bring into their races to defeated them. >> john: we're going to talk about that more in a moment. >> my question is for you john. i was wondering about the wrestler, why he felt he needed to strike you. you said there was a case out come of that. >> john: he felt apparently he should teach reporters a lists you shouldn't talk about pro wrestling being fake. [ laughter ] we heard that his boss told him to do it. he may have been hyped up on speed he did it on his own. he became a bounty hunter, i can't find him anymore. good riddens to the guy. is there proper role for the warning labels.

they did this to save the consumer. to what extent are they necessary. >> john: the microwave popcorn, hot, don't hospital. >> we are focused on labels common sense. we constantly refuse to accept certain funny labels. here is good example. on a bottle of pms midol, do not use if you have an enlarged prostate. you are not going to get pms, so that warning label needs to be there, a guy that has a headache so bad he is willing to use his wife's midol to get rid of his headache. he needs to have that. >> john: so some labels are good but fewer would be better because we would focus on the big ones. >> we the public are paying for the unintended consequences. is there a remedy? is there a solution for this? >> in the case of patent

situation, everybody wants to stand up and fight these things. these guys win the lawsuits. hopefully, it will hurt the plaintiffs attorneys bringing the lawsuits. there is some data and i'm compiling right now, i've been told after giving this talk, it is actually cheaper to fight in the end. so the more people that realize that the better. >> john: paul asking you questions, do you ever worry get beaten up and you get caught and get into fights? >> it happens all the time. you are taking fraudulent criminals down and they will hire people to track you down. >> john: you are holding your prop. you have another one. >> this is bmw key but we have all the data cable information. we can transmit wireless. this has a wireless transmitter. >> john: do you have any friends? >> no, i don't.

i'm not in friends business. [ laughter ] >> john: thank you bob jones, drew curtis, paul colburt who may be videotaping you tomorrow. coming up the relationship between breast implants and... scary hypodermic needles. another casualty of lawsuit abuse.

>>. >> john: lawyers criticize me for criticizing lawsuits. as a libertarian they say i should like to lawsuits. they are market solution to problems, a private remedy. that is better than one size fits all government regulation.

the private lawyers will punish the bad guys and get compensation for the victim. that is logical and i once believed that. consumer reporting, i would turn to personal injury lawyer. i felt self-righteous. we were the good guys fighting corporate bullies but now i watch the lawyers work. for every person a lawsuit helped, to thousands of others are hurt. now i realize lawyers are the bullies. they have a sales pitch. >> you got a phone, you got an lawyer. >> there is never, until i goat money. >> i am the hammer and they are nail. >> when the lawyers hammer when he calls nails, all of you pay more. companies raise prices to pay for the lawsuits and it's things we need most, like pacemakers, prescription drugs. everything costs a little more

to pay for all these guys advertising on tv. get what is yours. >> and the billions in extra costs, that is not the worst part. the worst part is the innovation we don't get to have. because companies are so afraid of being sued. some choose not to risk trying a new product. the fda has approved a vaccine for lime disease but drug makers won't sell it because they are afraid of lawsuits. wouldn't it be nice if there were a kinder way to get shots. there is. companies came up with a gentle silicon coating for hypodermic needles. after the lawsuits against sellers of silicone breast implants and they bankrupted the dow corning company, they said we don't want to risk a lawsuit.

today lawsuits terrorize people. make everything cost more and drive us of good stuff. on the other hand we don't want to ban all lawsuits. some are useful. some provide justice for victims and deter bad companies for bad doctors from doing bad things. how do we get rid of the bad and keep the good? some politicians wanted to cap lawsuits. that has helped lawsuits in a few states but i don't know that is fair. california has a $250,000 on some damages but if a company behaves really whaists bad it should pay more. cap seems arbitrary. i think the best solution is loser pay. that means if i sue you and lose i have to pay your legal fees. america is one of the only countries where i can sue you and lose and go ahead and sue you again. i don't even have to say i'm sorry whether i lose. most every other country i have to pay something to try to

compensate you for what my suit did to to you. they call it the english rule but we should call it english rule. loser pays the rest. world rule. it's we that have the weird american rule. lawyers say loser pay diskouwlgs people from going to court ander say it's okay. lawyers are so slow and expensive they do so much damage to america they should be discouraged. loser pay isn't a cure all but it would be a started. that is our show. we'll have a new show next week, thursday at 9:00 p.m. on the fox business network. thanks for watching. [ male announcer ] research suggests the health of our cells plays a key role

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>>. >> heather: fox news alert. major developments in syria. the united nations suspending its mission there because of escalating violence. u.s. in pulling back observers for safety concerns. this as a shocking report details the death and destruction in nearly two dozen syrian towns and villages. one official saying in every place she visited, syrian soldiers went in executed young men, burned their homes and tortured those they arrested. many of the victims innocent children killed in the horrific violence. coming up, a look what could be next with one on one with the former ambassador to the u.n. >> to another fox news alert. breaking story out middle east. this time out of egypt where elections of the freely elected president is now undwa