Our legal system already allows for much of this. Either side can make motions to the judge for dismissal. If they make their case, the judge dismisses. No jury involved.
In most jurisdictions, you can counter sue for costs. The problem with loser pays, you cannot sue unless you can afford to pay. With counter suit, the judge (or jury) can decide what is a reasonable penalty for the frivalous suit.
And an attorney friend, says he prefers a judge trial to a jury trial. Judges actually listen to the evidence, versus juries getting emotional.
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