I'm surprised this wasn't mentioned in the article, but a few states have anti-SLAPP laws now. Although this isn't directly related to a "loser-pays" system, it is still relevant. SLAPP is a Strategic Lawsuit Against Public Participation -- usually when an a large, powerful party tries to use the court system to bury a smaller party that lacks the same resources. The idea is that, at the outset of such a lawsuit, a defendant can bring an anti-SLAPP motion before the court, staying discovery (which is very time- and lawyer-intensive, so its very expensive) and can provide a quick resolution to the case while the onus is on the prosecution to prove that they have a reasonable chance to win.
I'm not sure if this would directly apply in this situation (contract law vs. free speech rights/constitutional law), but it seems relevant.
Wikipedia has a good writeup: http://en.wikipedia.org/wiki/SLAPP
I'm not sure if this would directly apply in this situation (contract law vs. free speech rights/constitutional law), but it seems relevant.
Wikipedia has a good writeup: http://en.wikipedia.org/wiki/SLAPP