An editorial published in the New York Post describes recent revelations about the lawsuit lending industry’s marketing tactics. The editorial also points to a new report from the Lawsuit Reform Alliance of New York on the increase in ADA lawsuit abuse in New York.
LawCash and other “advance settlement” legal sharks are at it again, moving to profit off New York’s new medical-malpractice law.
You may recall The Post’s January exposés on these firms, which front money to potential litigants in exchange for the lion’s share of future settlements, locked in via predatory payback rates and other fees.
The sharks also wind up creating cases that likely never would have been brought — some by career criminals — without the industry’s “help.” Last year, LawCash’s $60,000 advance to a pair of Bronx buddies turned deadly when, sources said, a feud over the money led Salim Wilson to shoot Julio Velasquez.
And now the firm is advertising for clients to sue under “Lavern’s Law,” the new state statute allowing more time to file a medical-malpractice case.
It gets worse: The New York Times has reported on LawCash recruiting #MeToo plaintiffs, offering money up front with tweets like “Sexual abuse is a crime #HarveyWeinstein,” followed by offers of cash up front to sexual-abuse plaintiffs “if you or someone you know is in need of financial help.” Consumer groups have long called the advance-settlement industry exploitative. But exploiting the victims of sexual assault is a new low. (The Times reported last week that federal prosecutors are probing the industry.)
Of course, this isn’t the only way lawyers profiteer. The Lawsuit Reform Alliance of New York is highlighting another legal racket: hundreds of suits in the Empire State alone under the American with Disabilities Act over Web sites that are insufficiently “accessible” to the deaf and/or blind.
The full editorial can be found here.