Over five years after a deadly Louisiana State University fraternity hazing incident, a federal jury awards the parents of then 18-year-old Maxwell Gruver $6.1 million.¹ Gruver Family Attorney Don Cazayoux says, “[T]he verdict sends a strong message to hazers and would-be hazers.”¹

Max Gruver’s 2017 death was the result of a hazing ritual in which older fraternity brothers directed a series of Greek life-related questions at freshmen “pledges” including Max, punishing wrong answers with forced consumption of 190-proof liquor. Shortly after the hazing event, Max became unconscious and remained on a couch in the fraternity house for ten hours before being brought to the hospital. Upon arrival at the hospital, Max’s blood alcohol concentration was still .495 – over ten hours after the hazing had ended.¹ The cause of Max’s death was officially deemed acute alcohol intoxication with aspiration.

Last week’s verdict against defendant Ryan Isto, a fraternity brother, marked the final case following settlements against other defendants, including Phi Delta Theta fraternity and LSU since late 2017.² Max’s parents, Stephen and Rae Ann Gruver, have directed a portion of all settlement funds toward the Max Gruver Foundation, the pair’s nonprofit entity that spreads awareness and shapes public policy to prevent the dangers of hazing.³

The Gruver family’s hope is that the highly publicized verdict will prompt strengthening anti-hazing laws and will send a powerful message to young people who may be on the brink of life-altering decisions. The attorneys at Cazayoux Ewing Law Firm agree the latest verdict will be monumental in supporting their foundation’s mission.

“This is going to give the Gruvers another tool in their arsenal during their campaign to stop hazing,” explained Cazayoux.¹

When asked about what message this sends to current and future fraternity and sorority members, Cazayoux put it plainly: “The first message is, don’t do it [hazing] because you could hurt someone, you could kill someone.”²

In 2018, thanks to the advocacy efforts of the Gruver family, Louisiana Legislature passed the Max Gruver Act, officially making hazing a felony.⁴

[1]https://lawandcrime.com/high-profile/family-of-lsu-fraternity-pledge-who-died-after-chugging-190-proof-liquor-in-hazing-ritual-gets-6-1-million-verdict/

[2]https://www.nbcnews.com/news/us-news/lsu-fraternity-pledges-family-awarded-61m-hazing-related-death-rcna74894?fbclid=IwAR1WSfUK1_wgd4EXqAhDX3jfifv-V7q9_5iiAANXWXzr8BVS7uR0KPkxEho

[3]https://www.maxgruverfoundation.com/mission

[4]https://legis.la.gov/Legis/Law.aspx?d=79979

During the coronavirus pandemic, the federal government has taken significant actions to try and cushion the hard impacts of the economic crisis.  With over 11 trillion dollars available through a variety of federal assistance programs, federal investigators and prosecutors have identified several cases where these funds have been fraudulently obtained.

One way the federal government has responded to the economic challenges of the COVID crisis is through the Paycheck Protection Plan. The purpose of the PPP loan program is to allow small businesses to stay open during this unprecedented financial crisis and continue paying wages to employees. An Arkansas woman was indicted by a grand jury for allegedly requesting fraudulent PPP loans.³ She obtained nearly $2 million in PPP loans for two of her companies that were no longer in good standing with the Arkansas Secretary of State. Two days after receiving PPP funds, she made an $8,000 payment on her student loan debt.

A Los Angeles man has also been reported misappropriating PPP loans totaling $9 million. Andrew Marnell allegedly transferred millions of obtained funds to his brokerage account in order to engage in stock trading. Additionally, Marnell also spent hundreds of thousands of dollars at the Bellagio Hotel & Casino in Las Vegas. Marnell was charged with bank fraud and faces up to 30 years in prison.⁴

Besides attempting to spot and stop abuse of the federal programs connected to the crisis, federal investigators have also been active in attempting to identify and curtail crimes where consumer fears about COVID have been exploited. A federal grand jury indicted Huu Tieu for alleged mail fraud for introducing a misbranded drug into interstate commerce with the intent to defraud.⁵ Tieu is the CEO of Golden Sunrise Pharmaceutical Inc., which since April had been selling a package of herbal mixtures that he claimed could treat COVID-19. On his website and Facebook pages, Tieu falsely claimed his dietary supplement was the first in the country to have been approved by the FDA to treat COVID-19.

The U.S. Attorney’s Office in Kentucky filed a lawsuit to shut down six websites and a Facebook page that were attempting to “pre-register” consumers for a then-nonexistent COVID-19 vaccine in exchange for $100 worth of Bitcoin.⁶ Luke John Flint, the man responsible for running the sites, has not yet been criminally charged, but agreed to sign a civil injunction shutting down those sites. At the time, there was no known vaccine. Flint is not a licensed medical professional, nor is he registered with the FDA to distribute the currently available vaccines for COVID-19.

In an attempt to keep the economy afloat and businesses solvent during the COVID health crisis, the government fast-tracked its economic aid. This made it easier for people to misrepresent intentionally and unintentionally to receive government assistance.  Others have used this public health crisis and the fears associated with it to scam people and businesses. If you have been a victim of a COVID-related scam, you should contact the National Center for Disaster Fraud Hotline at 866-720-5721 or Justice.gov/DisasterComplaintForm. If you are approached by law enforcement or others about disaster assistance you have obtained, you should consult an experienced criminal defense lawyer about the ramifications of cooperating with officials under your unique circumstances.

__________

¹https://www.justice.gov/usao-nj/press-release/file/1263416/download

²https://www.cnbc.com/2020/03/30/coronavirus-man-charged-with-with-billing-for-fraudulent-test-claims.html

³https://www.justice.gov/usao-edar/pr/little-rock-woman-charged-covid-relief-fraud

⁴https://www.justice.gov/usao-cdca/pr/west-la-man-charged-fraudulently-obtaining-about-9-million-covid-relief-loans-some#:~:text=LOS%20ANGELES%20%E2%80%93%20A%20resident%20of,excursions%20to%20Las%20Vegas%20and

⁵https://www.justice.gov/usao-edca/pr/tulare-county-man-indicted-falsely-marketing-herbal-mixtures-fda-approved-treatment

⁶https://www.justice.gov/usao-wdky/pr/us-attorney-s-office-shuts-down-multiple-websites-claiming-offer-preorders-covid-19

⁷https://www.cdc.gov/vaccines/acip/recs/grade/covid-19-pfizer-biontech-etr.html#:~:text=On%20December%2011%2C%202020,of%20COVID%2D19.

⁸https://www.fda.gov/emergency-preparedness-and-response/coronavirus-disease-2019-covid-19/moderna-covid-19-vaccine

Updated May 26, 2021

For years, Ford Motor Vehicle’s F-Series Super Duty truck models have been plagued by an errant suspension system which causes a vehicular condition known as the “death wobble.” This wobble is an issue that results in some F-Series trucks beginning to shake uncontrollably at high speeds.[1] Drivers report the shake as occurring after hitting a bump, pothole, or groove in the road. Complaints from truck owners about the defect extend back to 2005, with a definitive response or assistance measure from the automaker being just as prolonged. Recently, a class-action lawsuit has been filed against Ford.

In June 2019, a class-action lawsuit was filed against Ford by F-Series truck owners.^[2] The suit alleges that Ford knowingly sold F-Series trucks (specifically F-250 and F-350 models between 2015–2019) that possessed a defective suspension system. The lawsuit was brought after a Ford truck owner tried to have his suspension fixed at a San Diego Ford dealership only to be turned away for lack of a visible problem. In a brief filed to dismiss the case, Ford asserts that the Ford truck owner never attempted to have his vehicle fixed during the limited-time warranty coverage.^[3] Litigation in this case is still ongoing. However, if Ford has been proactive in any response, it has been to their legal recourse rather than consumer demands.

The lawsuit alleges that the death wobble is caused by a flaw linked to abnormal wear or loosening of parts such as the damper bracket, shocks, ball joints, or struts. As such, the shake has been a significant financial concern of Ford drivers for 15 years. The National Highway & Traffic Safety Administration has registered over 1,200 complaints, many of them about the cost of repairs.[4] Yet Ford has still not issued an official manufacturer’s recall, nor has there been a national recall from the NHTSA. Instead, the manufacturer has directed dealerships to replace certain steering components, the cost of which falls primarily to the truck owner. So far, owners of F-Series trucks that have experienced the wobble have spent thousands of dollars to correct a very dangerous issue.

While the financial cost of the death wobble is certainly important to Ford owners, the physical dangers of the defect should not be overshadowed. Lessin v. Ford states that the death wobble results in a nearly uncontrollable vibration which will “cause loss of control of the vehicle and difficulty steering while the [vehicles] are in operation at any time and under typical driving conditions or speed. This exposes the driver and occupants of the [vehicles], as well as others who share the road with them, to an increased risk of accident, injury, or death.”[2]

In January 2021, Ford filed a motion to dismiss the cases against it. The motion is still pending.

[1]https://www.motorbiscuit.com/what-you-should-know-about-the-ford-super-duty-death-wobble/

[2]https://www.classaction.org/media/lessin-v-ford-motor-company-et-al.pdf

[3]https://mccunewright.com/blog/2019/08/ford-seeks-to-dismiss-death-wobble-class-action-lawsuit/

[4]https://www.nhtsa.gov/vehicle/2019/FORD/F-250%252520CREW%252520CAB/PU%25252FCC/4×2

As a member of the National Association of Former United States Attorneys, we are proud to stand by the below statement made by the organization’s board of directors addressing the killing of George Floyd.

We are members of the Board of Directors of the National Association of Former United States Attorneys (NAFUSA). NAFUSA is a bipartisan group of more than 300 former United States Attorneys that was established in 1979 to protect and support the mission of United States Attorneys and to improve the administration of justice within the federal courts.

There can be no question that the horrific treatment and death of George Floyd is far outside the bounds of any civilized society. The police officer who suffocated Mr. Floyd and those officers who stood by and did not protect him have all been charged criminally. We firmly believe that all criminal defendants deserve the presumption of innocence; however, the video depiction of the events of that day makes it difficult to imagine any excuse for these officers.

Providing justice for Mr. Floyd and his family cannot be the end of the matter – it must be a beginning. Many African-Americans are exhausted from their long suffering and unfair treatment by those in society who see only their color and not their character. Racist and unlawful acts of violence against black men and women while in the custody of police officers must be exposed, challenged and prosecuted. It is untenable that a large part of our population fears physical harm and death from an encounter with law enforcement. Intimidation and fear imposed by any police officer on any person of color must end.

As former federal prosecutors, we recognize the challenges that police officers face as they protect our local communities. The overwhelming number of law enforcement officers are fair-minded and serve the public admirably. But many Americans, ourselves included, recognize that in the United States today justice is denied to far too many of our citizens. Any abuse or excessive force by law enforcement cannot be tolerated, because it is illegal and undermines the trust and faith we have in the administration of justice.

Our road to complete justice will be long and difficult, but the hallmark of America is its strong and compassionate people. We will never forget George Floyd and the injustice he suffered, and as former United States Attorneys, we are committed to achieving through the rule of law, and with compassion, a just society for all Americans.

In recent years, there has been a surge in popularity in the use of vaping devices for the consumption of tobacco and marijuana. E-cigarettes or “vapes” come in many shapes and styles, but they generally consist of a battery that heats liquid containing nicotine or marijuana to produce vapor. The liquid is commonly contained in pre-filled cartridges or pods that attach to the battery and heating element. Vaping has been touted as a safer and healthier alternative to smoking cigarettes because it doesn’t involve inhaling the burnt tobacco or other carcinogens and chemicals contained in cigarettes.  However, there has recently been a surge in lung illnesses associated with vaping that has caused alarm across the country.

Federal data shows that there have been 1,888 cases in the US of vaping-related lung illness.^[1] The Centers for Disease Control and Prevention reported that there have been 37 deaths confirmed in 24 states. According to the FDA, patients have reported a gradual start of symptoms, including breathing difficulty, shortness of breath, and/or chest pain before hospitalization. Some cases reported mild to moderate gastrointestinal illness including vomiting and diarrhea, or other symptoms such as fevers or fatigue.^[2]

Although these numbers may be small in comparison to those associated with the damage inflicted by traditional smoking, they have been enough to catch the attention of Washington D.C. President Donald Trump is expected to finalize plans with the FDA in the upcoming week to ban all flavored vaping products, with the exception of tobacco and menthol flavors.^[3] While the impetus for putting this plan into action may have been related to the widespread media reports about the vaping illnesses, it’s possible the intended target of the flavor regulation is to curb the explosion of youth vaping.

Based on the preliminary research regarding the culprit causing the harm, it is not clear the new FDA regulations on flavor restrictions will have any effect on preventing the vaping lung illnesses.^[4]  Data on the affected individuals shows the illness has been associated with those using vaping devices containing marijuana/THC. These THC-containing cartridges are also coming from black market sources, as opposed to legal marijuana dispensaries.

The FDA has hypothesized that Vitamin E acetate, which is used as a thickening agent in these black market products, may be what is causing the harm. The FDA has opened a criminal investigation alongside the Drug Enforcement Agency to track down anyone manufacturing illicit and adulterated vaping products. While the FDA appears to be enacting policy only prohibiting the usage of flavors, certain states have taken more aggressive approaches.  Massachusetts enacted a four-month ban on all vaping products. Juul, one of the most well-known vaping manufacturers, has already restricted its sales to only the flavors of tobacco, menthol, and mint.

While the recent outbreak of lung illness has been primarily linked to black market THC products, the publicity these cases have received has led to regulation by the federal government as well as some state governments. As of now, Louisiana has not enacted any form of a ban on vaping products. It remains to be seen how effective the new FDA regulations will be at curbing youth vaping or this new illness and whether they may become more expansive in the future.

[1] https://www.washingtonpost.com/health/2019/09/07/what-we-know-about-mysterious-vaping-linked-illnesses-deaths/

[2] https://www.fda.gov/news-events/public-health-focus/lung-illnesses-associated-use-vaping-products

[3] https://www.axios.com/trump-ban-flavored-vaping-products-4830652d-af8d-4c84-81b0-2174e9ad3344.html?utm_source=twitter&utm_medium=twsocialshare&utm_campaign=organic

[4] https://www.washingtonpost.com/health/2019/09/07/what-we-know-about-mysterious-vaping-linked-illnesses-deaths/

Baton Rouge has a bicycle problem. This past November alone, two bicyclists lost their lives after they were struck by vehicles. On November 1, a person crossing Sherwood Forest Boulevard was hit by a passing car at 6:30 p.m.[1] On November 15, a man was hit trying to cross Florida Boulevard at 10 p.m.[2] Louisiana is the second worst state nationally for bicyclists’ deaths; 93 people have died statewide since 2015, with 11 of those occurring in East Baton Rouge Parish.[3] Statistics show that the victims are usually men, with the accidents typically taking place between 6 and 9 p.m.  

The issue of bike safety gained added awareness in June of 2018 when Baton Rouge Metro Councilman Buddy Amoroso was killed while riding in West Feliciana Parish. Many bike riders frequent the roads in West Feliciana due to the rolling hills and scenery. However, the popularity and the nature of the roads has made it a relatively dangerous area to bike. After Buddy Amoroso’s death, many of the cycling enthusiasts envisioned changes that would more heavily penalize drivers or admonish them to be aware of the bikers, but the opposite occurred.[4] 

The West Feliciana council passed an ordinance that drew heavy criticism from the cyclists, as the regulations were aimed at them as opposed to drivers. The ordinance requires cyclists to wear high-visibility vests, mandates that they ride in single file lines within two feet of the shoulder and that they ride in groups of 10 or fewer. The fine for a violation is $100. To protest the new ordinance, organizers of a race in St. Francisville canceled their event two days after it was passed.[5]

While the West Feliciana ordinance may not sit well with cyclists, city planners are trying to make Baton Rouge a more bike-friendly city. BREC is in the process of enhancing Baton Rouge’s biking infrastructure, connecting different parts of the city with bike lanes or creating separate bike paths.[6] The Department of Transportation is allocating $250,000 toward a bike master plan in Baton Rouge, with BREC receiving $50,000.[7] Part of the plan is to make a bike loop around the entire parish.

One reason Baton Rouge tends to be more dangerous for riders is that it is a very auto-centric city.[8] Planners hope to reduce the amount of car traffic and boost the number of cyclists downtown by bringing a new BikeShare program to the city. The service will strategically place bikes available for rent via smartphone in the downtown area and near the LSU campus, hoping to encourage biking and reduce the amount of vehicle traffic.

While Baton Rouge aims to become more bike-friendly, unfortunately, accidents are likely to occur until lasting changes are in place. Contact us if you are involved in a bicycle accident and would like helpful legal advice.

[1] https://www.theadvocate.com/baton_rouge/news/crime_police/article_826cb4c8-de3e-11e8-bddc-9ff3c0e8ca87.html

[2] http://www.wafb.com/2018/11/15/bicyclist-dies-after-getting-hit-by-vehicles/

[3] https://www.theadvocate.com/baton_rouge/news/politics/article_96cce980-c334-11e8-bb33-0b2accfc7d93.html

[4] https://www.theadvocate.com/baton_rouge/news/article_15f7ab6e-c74a-11e8-9bef-fb069954fa61.html

[5] https://www.knoe.com/content/news/Bike-races-canceled-after-Louisiana-city-imposes-new-rules-497582271.html

[6] https://www.225batonrouge.com/things-to-do/citys-bad-rap-bike-safety-encouraging-enthusiasts-put-riders-streets

[7] https://www.theadvocate.com/baton_rouge/news/politics/article_96cce980-c334-11e8-bb33-0b2accfc7d93.html

[8] https://www.225batonrouge.com/things-to-do/citys-bad-rap-bike-safety-encouraging-enthusiasts-put-riders-streets

On September 13, 2017, Max Gruver and his pledge brothers were called to the Phi Delta Theta fraternity house at LSU to participate in a hazing ritual. The pledges were quizzed on the fraternity and the Greek alphabet, pelted with hot sauce and mustard and forced to do “planks” and “wall sits.”[1] Wrong answers to the older fraternity brothers’ questions were met with the penalty of being forced to chug hard liquor. Max’s pledge brother could hear him messing up the Greek alphabet and a member of Phi Delta Theta making him drink repeatedly.

Sadly, Max would not survive the hazing by his fraternity. He passed away at Our Lady of the Lake Hospital with an astounding blood alcohol content of .495, more than six times the legal intoxication level for driving. An autopsy showed Max died of “acute alcohol intoxication with aspiration.” It became clear that the actions of Phi Delta Theta fraternity brothers contributed to Max’s passing. Ten of the fraternity members would later be arrested and charged criminally. One would be indicted by a grand jury for negligent homicide and three would be indicted for hazing.[2]

Max’s family has suffered an unexpected tragedy. However, they are seeking to produce positive changes from their loss, so that no other family must endure a similar experience. They created the Max Gruver Foundation to combat excessive alcohol consumption, bullying, and hazing in college.[3]  The Max Gruver Foundation hopes to strengthen the laws across the country pertaining to hazing, as well as implement regulations colleges should be enforcing.  

A primary goal of the foundation is to increase transparency, making fraternities and sororities disclose hazing incidents, excessive drinking, or penalties they’ve received. The hope is that these disclosures would permit parents and prospective members to make informed decisions while choosing a fraternity or sorority. If they see a long history of violations, they can choose to steer clear of that organization. The Max Gruver Foundation believes transparency and negative attention would cause Greek organizations to avoid engaging in bad behavior.

The Max Gruver Foundation also seeks to solve a critical dilemma often facing fraternity members. When illicit behavior results in a medical emergency, fear of getting in trouble produces a hesitance to get help. A delay in seeking medical attention could be the difference between life and death. Thus, the Foundation hopes to bridge the gap between serious legal consequences for wrongdoing and amnesty for doing the right thing by seeking help.

The advocacy of Max’s family has spurred the Louisiana legislature to take action. In May of 2018, Governor John Bel Edwards signed the Max Gruver Act and a set of anti-hazing bills into law.[4] This legislation has increased penalties and fines for individuals engaged in hazing, as well as created fines for the organizations themselves.

The criminal justice system is currently prosecuting the individuals responsible for Max’s death. Max’s family has also filed a suit against the university and Phi Delta Theta for turning a blind eye to violations and hazing incidents for years.[5]  Max’s family is hopeful these actions will result in significant changes to this culture and protect future college students. The Cazayoux Ewing Law Firm is proud to represent the Gruver family and seek justice for Max.

To carry forward Max Gruver’s legacy and promote positive changes to our laws, schools, and Greek organizations, please donate to the Max Gruver Foundation here.

[1] https://www.nbcnews.com/storyline/hazing-in-america/ten-arrested-lsu-phi-delta-theta-fraternity-hazing-death-n809806

[2] https://www.nola.com/crime/index.ssf/2018/03/4_indicted_in_lsu_hazing_death.html

[3] https://www.theadvocate.com/baton_rouge/news/education/article_0d3063f6-e74c-11e7-bf2e-8bb41204414b.html

[4] https://www.theadvocate.com/baton_rouge/news/politics/legislature/article_7648a0c0-64e1-11e8-8074-dff7f1422134.html

[5] https://www.theadvocate.com/baton_rouge/news/courts/article_d93cd6e4-a189-11e8-9e61-438d3a74eb1f.html

Distracted driving is something that many of us have found ourselves guilty of at one point in time. There are numerous sources of distraction that can take our attention away from the road, such as talking on the phone, texting, adjusting the radio, using a GPS, applying makeup, eating, dealing with unruly kids in the backseat, etc. Regardless of the type of distraction, anything that takes our focus away from driving increases our chances of being involved in an accident. This article will take a look at the effects of distracted driving and analyze Louisiana’s laws regarding cell phone use.

The latest data from the National Highway Traffic Safety Administration shows there were 3,477 people killed and an estimated additional 391,000 injured in motor vehicle crashes involving distracted drivers in 2015.[1] This means that 10% of all fatal crashes in 2015 were related to distracted driving. Additionally, 15% of crashes resulted in injuries and 14% of all crashes reported to police involved distracted drivers. And 9% of drivers, ages 15 to 19 years old involved in fatal crashes were reported as distracted at the time of the crash. This age group has the largest proportion of drivers who were distracted at the time of a fatal crash.

The subset of distracted driving that has received the most attention in recent years is cell phone usage; as a result, you’ll find many ad campaigns trying to bring awareness to fatal accidents caused by someone in the middle of sending a text message. The National Highway Traffic Safety Administration considers texting the most dangerous distraction. Sending or reading a text takes your eyes off the road for 5 seconds; at 55 mph, that’s like driving the length of an entire football field with your eyes closed.[2]  More than one-third of people surveyed admit to reading a text or email while driving in the past 30 days, and more than one-quarter admit to sending a text or email.[3]

Although texting while driving has been getting the most attention recently, studies show that people talking on a cell phone are involved in more crashes than those texting. In 2010, an estimated minimum of 160,000 crashes involved texting or emailing, compared to 1.1 million crashes involving talking on cell phones.[4]  

One study indicated crash risk was two to six times greater when drivers were using a cell phone compared to when they were not distracted.[5] The NHTSA estimates that at any point during the day, 9% of drivers are using cell phones.[6] In 2016, the National Occupant Protection Use Survey found that handheld cell phone use continued to be higher among female drivers than male drivers; it also found that handheld cell phone use continued to be highest among 16- to 24-year-old drivers, and lowest among drivers 70 and older.[7] However, one study showed a bit of good news, a sign that awareness campaigns about cell phone use may be working: the percentage of passenger vehicle driver handheld cell phone use decreased from 3.8 percent in 2015 to 3.3 percent in 2016.[8]

Now that you know the extent of the danger involving cell phone usage while driving, here are the laws the state of Louisiana has enacted to combat this distraction:

1. Anyone with a learner’s permit may not talk on the phone at any time unless its use is for emergency purposes.[9]  
2. For all other drivers, you may legally talk on your cell phone even if you are not using a hands-free device unless you are in a school zone.[10]  If you are driving in a school zone, you may not engage in a call.
3. It is illegal for any driver in Louisiana to write, read, or send a text message while driving; it is also illegal to access, read, or post to a social networking site.[11]  Under this statute, you will not be found in violation if you are reading, selecting, or entering a phone number or name in your phone; it is also not a violation if you are navigating using a GPS.
4. In addition to being considered a moving violation, the penalties for texting/using social media or using a phone while in a school zone are the following:
   1. Up to $500 for a first offense
   2. Up to $1,000 for each subsequent offense
   3. If involved in a crash at the time, double the standard offense

In today’s world, distractions are all too common while driving. However, no matter how good of a driver or multitasker you think you are, it’s smart to minimize distractions as much as possible and devote your attention to the road so that you (or someone else) don’t become one of these statistics.

[1] https://crashstats.nhtsa.dot.gov/Api/Public/ViewPublication/812381

[2] https://www.nhtsa.gov/risky-driving/distracted-driving

[3] https://www.nsc.org/Portals/0/Documents/DistractedDrivingDocuments/Cognitive-Distraction-White-Paper.pdf?ver=2018-03-09-130423-967

[4] https://www.nsc.org/Portals/0/Documents/DistractedDrivingDocuments/Cognitive-Distraction-White-Paper.pdf?ver=2018-03-09-130423-967

[5] https://www.iihs.org/iihs/topics/t/distracted-driving/qanda

[6] https://www.nsc.org/Portals/0/Documents/DistractedDrivingDocuments/Cognitive-Distraction-White-Paper.pdf?ver=2018-03-09-130423-967

[7] https://crashstats.nhtsa.dot.gov/Api/Public/ViewPublication/812426

[8] https://crashstats.nhtsa.dot.gov/Api/Public/ViewPublication/812426

[9] http://www.legis.la.gov/legis/Law.aspx?d=630882

[10] http://www.legis.la.gov/legis/Law.aspx?d=918939

[11] http://www.legis.la.gov/legis/Law.aspx?d=630881

Since the world embraced computers, connected via the internet, and converted mass amounts of sensitive data into digital form, several problems have arisen.  Hacking, identity theft, and manipulation of digital data plague businesses, consumers, and governments daily. It’s very difficult to trust and verify the identity of someone you’re conducting business with on another continent, that you’ll receive what they claim to be selling, and that your payment will get there securely and quickly.  

These problems slow commerce down and create costs, usually in the form of lawyers or other middle men doing the verification leg-work.  Blockchain technology helps eliminate concerns about hacking and trust, greatly reducing transaction costs and processing times.

Even if Bitcoin fizzles out tomorrow, the underlying blockchain technology is not only here to stay, but primed to grow exponentially…and soon.  You can look at Bitcoin like Myspace, one of the first social media platforms. Even though Myspace failed, the concept of social media lives on in countless other manifestations.  Many pundits believe blockchain technology will be “the next Internet.”

Smart Contracts

A “smart contract” is a commonly discussed application for blockchain technology.  A smart contract is automatically executed when certain predefined conditions occur (if X does Y, then execute Z).  Smart contracts theoretically allow individuals or companies to craft contracts with highly detailed conditions, but without the need for a legal document written by a lawyer.

Currently, if parties to a contract either don’t perform or don’t pay, the aggrieved party must sue the breaching party to get paid or get their money back.  This all costs time and money, even if the contract is honored.

The blockchain replaces lawyers and courts in a smart contract.  Let’s say I create a smart contract with the following conditions: I want 5 bushels of apples at a price of $200 delivered in 5 days.  Johnny Appleseed accepts and our smart contract becomes part of the blockchain, with its precise terms fixed and recorded across thousands of other computers.  Upon acceptance, $200 would automatically be deducted from my account, but not yet given to Johnny. If the apples arrive on the 5th day, that $200 automatically transfers to Johnny.  If Johnny fails to deliver on the 5th day, I automatically get my $200 back.

Additional conditions could also be built in, such as automatically giving me $10 from Johnny’s account if he fails to deliver by Day 5, charging either party $5 for backing out before Day 5, automatically refunding my account the price of however many apples he shorts me, etc.

The bitcoin blockchain does not have the capability to incorporate smart contracts; bitcoin was designed to only process payment transactions.  The second-most valuable cryptocurrency is called Ethereum; its blockchain was designed for monetary transactions, as well as smart contracts. Ethereum’s added functionality may give it an edge in the long run over bitcoin.

Research by Accenture estimates that investment banks alone could save up to $12 billion per year using blockchain and smart contracts for financial transactions.[1]  There will be many practical and legal kinks to work out before smart contracts gain widespread use, but businesses and consumers will certainly jump at the opportunity to avoid dealing with contract lawyers and the judicial system once a viable alternative presents itself.

Other Uses

Major players in the global food supply chain are poised to adopt blockchain, with IBM announcing a collaboration with several grocery chains and food suppliers such as Walmart, Kroger, Dole, and Tyson Foods.[2]  The goal is to streamline the entire process by securely and transparently tracking goods at every step, from the farmer to the store shelf.  Blockchain will reduce inefficiencies with ordering, shipping, and billing; most importantly, it will increase food safety by tracing sources of contamination, helping to quickly stem the spread of illness.

Coca Cola and the U.S. State Department are launching a project using blockchain’s digital ledger technology to create a secure registry for workers that will help fight the use of forced labor worldwide.[3]

Practically every industry is now analyzing how blockchain technology can reduce inefficiencies and establish trust through verification in a secure and transparent manner.  Blockchain has the potential to revamp even historically bureaucratic fields, such as healthcare, real estate, automotive/land title work, insurance, and the judicial system.

[1] https://www.forbes.com/sites/rogeraitken/2017/11/21/smart-contracts-on-the-blockchain-can-businesses-reap-the-benefits/#6d23a8461074

[2] http://www-03.ibm.com/press/us/en/pressrelease/53013.wss

[3] https://www.reuters.com/article/us-blockchain-coca-cola-labor/coca-cola-u-s-state-dept-to-use-blockchain-to-combat-forced-labor-idUSKCN1GS2PY