Supreme Court Ruling Narrows Scope of RICO in Personal Injury Cases: What It Means for You

On April 2, 2025, the United States Supreme Court delivered a significant decision that clarifies how the Racketeer Influenced and Corrupt Organizations Act (RICO) applies to personal injury cases. While the case hasn’t generated mainstream attention, it has serious implications for victims seeking justice—especially when injury is tied to fraudulent or criminal enterprise activity.

What Is RICO?

Originally enacted in 1970 to combat organized crime, RICO allows individuals to file civil suits against persons or entities engaged in a "pattern of racketeering activity." Over the years, it’s been used in various contexts, including business disputes and fraudulent schemes.

Crucially, RICO provides triple damages to prevailing plaintiffs, making it a powerful tool in civil litigation.

The Supreme Court’s Key Finding

In the April 2025 ruling, the Court clarified that:

RICO does not allow individuals to recover damages for personal injuries such as physical harm or emotional distress. However, victims may still pursue compensation for economic losses that stem from personal injuries—such as lost wages or increased medical expenses—if those losses are directly tied to racketeering activity.

This means if you’re the victim of a criminal scheme and suffer bodily harm, RICO may not cover your pain and suffering. But if you suffer financial losses because of that injury, those economic damages might still qualify under RICO.

Why This Matters

This ruling narrows the use of RICO in personal injury litigation, particularly for plaintiffs trying to hold large organizations accountable for harms caused through deceptive or criminal practices. Examples where RICO has previously been invoked include:

• Defective medical devices linked to fraudulent marketing schemes
• Large-scale insurance scams that caused individuals financial harm
• Nursing home abuse tied to profit-driven corporate neglect

Under the new interpretation, financial injuries may still qualify but claims for physical or emotional trauma must proceed under traditional personal injury statutes, such as negligence or product liability.

What Should Injury Victims Do?

If you’ve been injured as a result of a fraudulent or criminal scheme, it’s important to work with a legal team that understands both personal injury law and complex civil litigation strategies. The attorneys at Nurenberg Paris Injury Lawyers are equipped to explore every legal avenue to maximize your recovery.

We’ll assess whether your case qualifies for damages under state law, RICO, or other applicable federal statutes—and build a strategy that gets you the justice you deserve.

Bottom Line

While this Supreme Court decision limits one path to recovery for injury victims, it doesn’t eliminate your options. At Nurenberg Paris, we fight to uncover every opportunity to secure compensation, especially when you're up against powerful interests.

Questions about how this ruling could affect your case? Contact us today for a free, no-obligation consultation.

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