"Loser pays" also gives large corporations carte blanche to screw individuals.
Did your boss walk by or something? Please expand on that a little.
I'll try.
In a nutshell, big corp, no matter how much in the wrong the are, can wave in front of the 'little guy's" face that they'll keep him in court for years and if he loses, he'll be on the hook for millions of dollars in legal fees. I don't care how sure you are about your case, that's a huge disincentive to stick up for one's self. Now, add in the fact that the laws are skewed in the corporation's favor, it's a system that's ripe for even more abuse than we have now.
Imagine the RIAA going after folks and saying that they could fight and not only have to pay their own legal bills but also the RIAA's if they lose. No one would even think about it. The EFF would have to become very selective of the cases it took - even more than they are now.
And one last thing: there's a huge difference with an individual being stuck with the legal bills as opposed to a corporation. With a corporation, at least the big ones, they lose a lawsuit it's not a big deal - any legal costs an individual runs up they can pay out of their toilet paper budget. An individual loses and they're ruined.
For a loser pays system, I would want restrictions placed on what a corporation can do - maybe even preventing them from collecting legal fees when litigating against an individual in a "loser pays" system.