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Writer's pictureKirk Hartley

“Mass Torts and Mass Frauds” – With Fraudulent Conveyances

For an outlier  example of some of the worst of mass tort claiming, proceed directly to Mass Torts and Mass Fraud, the June 6, 2018 post at the Drug and Device Law blog. Part of the introduction is pasted below to entice readers to go read it in full:

“Wouldn’t you know it that the day after our post last week the Sixth Circuit issued a decision, McGirr v. Rehme, ___ F.3d ___, No. 17-3519, 2018 WL 2437184 (6th Cir. May 31, 2018), that reminded us of another fraud associated with the diet drug mass tort litigation – this time involving the legal profession in a very ugly way.  The case was an effort by diet drug plaintiffs to recover money from a plaintiff lawyer who had stiffed them.  Their entitlement to the money had already been established.  The problem was collecting on the judgment, because the plaintiff lawyer was doing a nifty job of moving his assets around.  Because any further characterization by us will likely elicit accusations of schadenfreude on our part, we will rely on direct quotes from the Sixth Circuit’s opinion as much as possible.

Here is how the opinion begins:  “For years, plaintiffs’ attorney Stanley Chesley appears to have been orchestrating a high-stakes shell game in an effort to escape a long overdue multi-million dollar judgment. In the process, he has defrauded hundreds of judgment creditors, many of whom are plaintiffs here.”  2018 WL 2437184, at *1.  And we’re off.”

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