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Law firm accused of fraud in Louisiana hurricane suits files for bankruptcy in Texas

NOLA.com, April 16, 2024

Law firm accused of fraud in Louisiana hurricane suits files for bankruptcy in Texas

  • Here’s what happened: McClenny Moseley & Associates (MMA), the Houston law firm under fire for its deceptive strategies in Louisiana hurricane lawsuits, has filed for bankruptcy in Texas.
  • Remind me: MMA’s lawyers allegedly used millions in third-party litigation financing to pay internet marketing firms to generate client sign-ups. The firm filed thousands of lawsuits after hurricanes in Louisiana in 2020 and 2021, in some cases signing property owners up without their knowledge, forging signatures, and sending demand letters to insurers and settling claims without the property owners’ knowledge, amid other serious misrepresentations. 
    • The firm has been fined a record $2 million by the Louisiana Department of Insurance and its attorneys have been barred from practicing law.

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