A December 22, 2014 story at Reuters is a reminder that the litigation industry is not always kind to lawyers. To the contrary, lawyers face increasing risks for actions taken in lawsuits. Key excerpts from the article are below:
“(Reuters) – Colorado’s Attorney General John Suthers has sued two more law firms in the state for fraud, accusing them of inflating foreclosure costs charged to homeowners, his office said.
As part of an ongoing investigation, Suthers has filed eight civil law enforcement actions against Colorado foreclosure law firms in 2014, five of which resulted in settlements totaling nearly $12 million.
The firms targeted earlier this year included the state’s two largest, which were accused of defrauding homeowners, investors and taxpayers by grossly hiking costs and padding bills with unauthorized expenses.
On Monday, Suthers’ office named the latest two firms as Robert J. Hopp & Associates and The Hopp Law Firm, and The Vaden Law Firm, including the firms’ principals and their affiliated title companies.
It said the Vaden firm is alleged to have inflated foreclosure costs for postings, court filings and titles, while Hopp is accused of routinely collecting between $1,200 and $1,400 in premiums for non-existent title insurance policies.”