Nancy Hoffman Vanyek, President and CEO of the Greater San Fernando Valley Chamber of Commerce, expressed concerns over Los Angeles’ increasing legal payouts. She said that these payouts enrich billboard attorneys, strain public budgets, and exacerbate affordability issues for residents and small businesses. This statement was made in an op-ed.
“Nowhere is the problem more acute than in Los Angeles County,” said Hoffman Vanyek. “City officials themselves have described plaintiff’s attorneys, commonly called billboard attorneys, as “getting rich off taxpayers. In the last decade, lawsuit payouts by the city of Los Angeles have exploded from $64 million to nearly $300 million annually. That is money that could have been used to repair sidewalks, modernize libraries or hire more first responders.”
Los Angeles County’s escalating lawsuit costs are impacting local budgets and insurance markets. Governing magazine reported in April 2025 that the county agreed to a $4 billion settlement over abuse claims. Officials warned that such legal liabilities would divert funds from public services and increase risk costs for contractors and small firms involved in county projects. These payouts represent a long-term fiscal and insurance challenge.
According to the Los Angeles Times, the City of Los Angeles paid approximately $64 million in lawsuit settlements a decade ago. This figure rose to $254 million in 2023 and $289 million in 2024, covering cases like police misconduct, infrastructure injuries, and employment disputes. City officials attribute aging infrastructure and large jury awards as key factors exacerbating the city’s budget pressures.
The Los Angeles Times and New York City Comptroller data indicate that Los Angeles’ 2024 legal payouts of $289 million equate to roughly $75 per resident, while New York City’s $907.8 million amounts to about $110 per resident. These per-capita comparisons underscore LA’s significant exposure relative to its size, suggesting that rising legal liabilities in major U.S. cities materially contribute to urban cost structures.
Vanyek has served as President and CEO of the Greater San Fernando Valley Chamber of Commerce since 1993 after joining in 1987, becoming the chamber’s first female leader. Her advocacy focuses on enhancing small-business competitiveness, workforce programs, and local regulatory reform to bolster California’s business climate.
The Greater San Fernando Valley Chamber of Commerce was founded in 1911 with a mission to advance regional economic vitality through business development, education, and advocacy. The chamber represents the Valley’s largest business network and prioritizes tax policies, workers’ compensation issues, and economic-growth initiatives affecting small businesses in Los Angeles County.
