Corporations are known to file frivolous lawsuits as a form of coercion against competitive small businesses that refuse to be bought out, employing them as a means of legal intimidation or with the intent to cause financial harm with the incurring of massive legal fees that smaller businesses are ill-equipped to pay. This practice threatens to stifle these businesses, fosters corporate monopolies (leading to higher prices), hinders the growth of local businesses (affecting job availability) and undermines the notion of an openly competitive, capitalist economy.
The proposal is simply to discourage this practice by obligating the plaintiff to cover the expenses of legal representation and court fees incurred by the defendant, should the lawsuit be judged frivolous and malicious in nature.