California is the worst in the United States when it comes to the population vs state legislator issue. 80 members of the assembly and 40 members of the senate for 38.4 million people. Compare that to Vermont with 150 members of the House and 30 senators for a population 600,000. California could be construed as taxation without representation. You are completely correct that more legislators means less big lobbyist influence.
By that logic, a guy who had completely consensual sex may be unable prove it wasn't rape. There has to be a limit on what you can call rape or men will have no protection from false accusations.
Your mistake is assuming behavior like this is rare. If a law firm has connections in the state bar, there is no force that will punish them besides media outlets. Even then, the law firm (or reputation management company) can sit through the storm until public interest fades. I think required electronic document filing with computers analyzing the cases is the best way to solve the widespread problem of lack of legal accountability.