According to the CFPB, Progrexion makes most of its money by selling the credit repair services offered by Lexington Law. /Contents [65 0 R 66 0 R 67 0 R] /Rotate 0 However, in a 42-page motion for dismissal, Lexington Law does not deny the charges of deceptive marketing practices or any of the other consumer-described abuses.The entire motion is focused on legal maneuvering and lawyering to force CFPB to clean up this complaint and drop the unsupported charges. 47 0 obj /MediaBox [0 0 612 792] WebJohn C. Heath, Attorney at Law, PC d/b/a Lexington Law, and of counsel attorneys. /MediaBox [0 0 612 792] Without its massive (and, according to the Bureaus complaint, deceptive) lead generation program, Lexingtons source for these mass credit report disputes would not exist at its current scale. /Type /Page He was then arrested under the impression that he was part of the rape case and the lawyer representing him, strenuously denied that the man had committed the crime. Finally, plaintiffs waived their conspiracy claim by failing to move for judgment as a matter of law on the claim before and after the case was submitted to the jury or for a new trial. But that advertising isnt always on the up and up, the CFPB claims. /Contents [133 0 R 134 0 R 135 0 R] /Kids [33 0 R 34 0 R 35 0 R 36 0 R 37 0 R 38 0 R 39 0 R 40 0 R 41 0 R 42 0 R] The Bureau is also asking for its costs and post-judgment interest to be covered, too. /Annots [] /Resources 128 0 R /Rotate 0 /Parent 9 0 R /Resources 248 0 R Next Article: California State Legislature Advances Amendments to California debt-collection Only took my money for well over a year plus! DENITTIS OSEFCHEN PRINCE PC, Todd M. Friedman I never received anything from this settlement. 4/18 Consumer Relations Consortium Virtual Peer Call (Members Only), 4/18 Research Assist Peer Call (Members Only), 4/25 Research Assist Peer Call (Members Only), 4/27 ARM Industry Legal Trends to Know Now from insideARMs Legal Advisory Board, 5/2 Consumer Relations Consortium Virtual Peer Call (Members Only), 5/16 Work Smarter Not Harder - Getting the Most Out of Speech Analytics and QA Controls, 5/18 Best Practices for a Strong Debt Sale Strategy, 5/24 ARM Industry Legal Trends to Know Now from insideARMs Legal Advisory Board - Part 2, 6/7 Spring Consumer Relations Consortium Meeting (Members Only), 11/8 Fall Consumer Relations Consortium Meeting (Members Only), Collections & Recovery Newsletter (for Lenders). /MediaBox [0 0 612 792] endobj 8 0 obj endobj /CropBox [0 0 612 792] /Parent 4 0 R /Annots [] cfpb, Voice AI Is Becoming the ARM Industry Standard: Learn Why Collection Agencies Must Watch Out, Seven MUST-HAVE Collection Software Capabilities for 2023, Charting the Course and Steering Toward Success: The Collections Industry in 2022, 2022 Survey Report: Explore and Understand the Modern Consumers Expectations, How Credit Service Company Used Business Intelligence to Increase Revenue without Increasing Effort, How an Empathy-First Strategy Can Improve Your KPIs, Customizable or Configurable? Unhappy or they didnt do what they where supposed to do would be a totally different issue entirely. << To generate business, the companies allegedly use a network of marketing affiliates that advertise a variety of products and services, often related to consumer credit products, the CFPB said. /Rotate 0 /Resources 132 0 R /Resources 96 0 R This is an unfortunate turn of events in the fight against a practice that ultimately harms consumers. /Resources 152 0 R >> << /Type /Page /Rotate 0 stream Go Ahead: Its Time To Fix Your Credit this is the email from Lexington law firm I already posted there mail the email address for Lexington law firm in which the email was sent to me from please add me to the lawsuit of my name is already on the lawsuit, Your email address will not be published. endobj A copy of the motion in the case of Bureau of Consumer Financial Protection v. Progrexion Marketing et al. If you want to republish the article /Annots [] >> /Resources 76 0 R /Contents [101 0 R 102 0 R 103 0 R] 32 0 obj << Without its massive (and, according to the Bureaus complaint, deceptive) lead generation program, Lexingtons source for these mass credit report disputes would not exist at its current scale. Notably, whatever the truth or falsity of the Complaint, CFPB does not complain in the slightest about how any of the Defendants, particularly Lexington Law and CreditReport.com, treated those consumers referred for credit repair help. You can explore additional available newsletters here. << << /Contents [193 0 R 194 0 R 195 0 R] The Justice and Public Safety Cabinet likewise has denied the allegations made in those two suits. 41 0 obj /CropBox [0 0 612 792] /Annots [] /MediaBox [0 0 612 792] << /Type /Page << >> Lexington Law responded to the CFPB complaint with a motion to dismiss the lawsuit. mcowenm endobj << The Consumer Financial Protection Bureau has filed a motion in its case against Lexington Law, asking the judge to assess $3.1 billion in penalties in the form of redress to consumers and fines arguing that is the amount that the defendants took from four million consumers. /Annots [] (7i`Z/,N 3C` /Rotate 0 /Parent 8 0 R /MediaBox [0 0 612 792] /Parent 4 0 R HWYk#G~_}+$cK2jGf46cspj4F>*?|TTQg@zm\3{OkvUHU|\sx25P:HmBF[m#bm E]Ez ig'rdGQbPm2FS=,-;2NdcuS)I,n6=eq5 ;BwJACo:j*'x Get free summaries of new Fifth Circuit US Court of Appeals opinions delivered to your inbox! All rights reserved. /Resources 88 0 R /Type /Pages While I understand that this motion to dismiss is not an admission of the facts, it is not uncommon for these sorts of motions to include a blanket denial of the charges, so people like me dont overly read into the motion. The issue is now with the court, and we can expect further exchanges and court proceedings before it is resolved. The jury awarded to the debt collectors a little over half a million dollars in damages and expenses, as well as a whopping $1,948,317 in exemplary A=4?7i%m!LPTfzf1%3S`V(QqtSF>(# :11}>y\2N-RfdwzQ=MsJZMcG:5pkbT /Rotate 0 In one example, one of Progrexions most productive marketing affiliates falsely advertised that it guaranteed ANYONE a 0-3.5% Down Home Loan no matter how bad their Credit is when we start!. Katie Grzechnik Neill General Counsel & Regulatory Editor 37 0 obj << Actions does not process claims and we cannot advise you on the /MediaBox [0 0 612 792] /Resources 180 0 R I had multiple numbers since then. Decide which cookies you want to allow. >> The CFPB this week filed a lawsuit against CreditRepair.com and Lexington Law, which the bureau claims are two of the countrys largest credit repair companies, I paid about 300.00 but it was well worth it Filing a motion to dismiss is standard practice in litigation which forces the Plaintiff to define the charges against Lexington Law further and sometimes results in some dropped charges. WebAccording to the Utah Department of Commerce, Lexington Law Firm is a DBA registered to John C. Heath, Attorney at Law, PLLC. Some of the scripts that Lexington Law provided its hotswap affiliates include a statement that Lexington Laws services can just make the whole process of getting this loan funded easier, and that [Y]ou just need to get a few things taken care of with your credit in order to get qualified for a loanthat is exactly what Lexington specializes in.. /MediaBox [0 0 612 792] I signed up once I told the people I couldnt afford it they kinda didnt care. endobj The incident took place on I-26 eastbound near mile marker 130 around 11:15 p.m. on Friday, April 14. << 9n@P\:"#b(.T8,$G,#ge 1"LfLKl(w-KEhRf/;c\ /Rotate 0 /Type /Page /Count 48 /Count 10 While, yes, the motion to dismiss was expected, what wasnt expected was what was missing from the motion! /Annots [] The Bureau is asking the judge to award consumers who paid for Lexington Laws credit repair services $2.75 billion in restitution, $367 million to consumers who paid for CreditRepair.coms services, as well as $17 million in civil money penalties for John C. Heath, and $35 million in civil money penalties to the other defendants. /MediaBox [0 0 612 792] The lawyers have finally been proved wrong and the victim is satisfied with the decision reached by the court. insideARM is a publication of The iA Institute. /Rotate 0 /MediaBox [0 0 612 792] /Rotate 0 /MediaBox [0 0 612 792] Lexington replied on Dec. 30, claiming that they do not promise a specific result and are thus exempt from the rule. The process is as follows: Step 1: The plaintiff /Parent 12 0 R /Nums [0 7 0 R] As summarized in the complaint, fees can only be collected after a certain period has elapsed and it has been demonstrated that the promised results have been achieved.. Plaintiffs' motion, on the other hand, argues that all elements were met with the evidence presented at trial and Lexington Law failed to present contrary evidence. /Resources 112 0 R /CropBox [0 0 612 792] /Type /Page endobj /Resources 80 0 R >> /MediaBox [0 0 612 792] All they did was take my money! /MediaBox [0 0 612 792] Filing a motion to dismiss is standard practice in litigation which forces the Plaintiff to define the charges against Lexington Law further and sometimes results in some 1 The Bureau of Consumer Financial Protection (Bureau) brings this action /Metadata 2 0 R Click Accept if you consent. /Parent 4 0 R Published on: That documentation cannot be provided to consumers until more than six months after the results were achieved. According to Progrexions website, This call-based program is so effective because it connects people to credit repair at the moment theyve been denied credit.. << /Type /Pages If you are not familiar with the deceptive marketing allegations against Lexington Law, let me give you a quick recap. Or you can read a more extensive Lexington Law Review that goes into much greater detail for each allegation. Gu`'tn6 67/uty endobj Last July, a jury in Texasreturned a $2.5M verdict in favor of the plaintiffsThe CBE Group and RGS Financialagainst Lexington Law and Progrexion, finding that the credit repair organization participated in a fraudulent scheme. /Contents [209 0 R 210 0 R 211 0 R] /Type /Page << THEY CONTACTED ME ALSO, BUT I STUPIDLY FELL FOR IT AND I LOST HUNDREDS OF DOLLARS & THEY CONTINUE TO CONTACT ME IN AN EFFORT TO GET MY SUPPOSED REMAINING BALANCE, WHICH I REFUSED TO PAY WHEN I REALIZED THEIR SERVICES WERE BS! 35 0 obj endobj I just am now seeing the list of class action suits, and Lexington Law definitely rings a bell for me. /Contents [145 0 R 146 0 R 147 0 R] /Annots [] /Resources 196 0 R << /Resources 172 0 R One of Lexington Laws largest lead generation affiliates would tell consumers on the phone that their credit score was the only thing keeping them from their desired product. This would follow with a lead-in to Lexington Laws service to help increase the consumers eligibility for a product that did not exist. /MediaBox [0 0 612 792] They employ over 400 credit experts in addition to their regular legal agents. When wannabe homeowners would call HSP1, they were told that they did not qualify for a loan because of bad credit (without a credit report being run).Consumers were told that if they signed up for Lexington Law credit repair services, they would qualify for a (non-existent) home loan with HSB1 in the near future. /Filter /FlateDecode collection-laws-and-regulations endobj There is also a question of whether Lexington Laws business model can survive if the court sides with the Bureau on this matter. /Count 8 /CropBox [0 0 612 792] They are still doing this. /Type /Page document.getElementById( "ak_js_5" ).setAttribute( "value", ( new Date() ).getTime() ); @2023 Top Class Actions. endobj /CropBox [0 0 612 792] >> According to the 48-page complaint, Lexington Law relied on a marketing affiliate network that used deceptive, bait advertising to generate referrals to Lexington Laws credit repair service. The Bureau focused on Lexington Laws referral fees, stating that the organizations failed to observe the mandatory waiting period required by federal law. [ 0 0 612 792 ] they employ over 400 credit experts in addition to their regular agents. Their regular legal agents by Lexington Law Review that goes into much greater detail for each.! Service to help increase the consumers eligibility for a product that did not exist 0 612 ]... /Mediabox [ 0 0 612 792 ] they employ over 400 credit experts in addition to their legal! Service to help increase the consumers eligibility for a product that did not exist employ 400!, the CFPB, Progrexion makes most of its money by selling the credit repair services offered by Lexington.. Mandatory waiting period required by federal Law according to the CFPB, Progrexion makes most its. With the court, and we can expect further exchanges and court proceedings before is... Denittis OSEFCHEN PRINCE PC, Todd M. 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