in the united states district court for the district of...

ny-7950681

IN THE UNITED STATES DISTRICT COURTFOR THE DISTRICT OF COLORADO

Civil Action No.

COLORADO LEGAL SERVICES and TEXAS RIOGRANDE LEGAL AID, INC.

Plaintiffs,

v.

LEGAL AID NATIONAL SERVICES, d/b/a THE LANS CORP.,ED BROWN MANAGEMENT, INC.,LEGAL AID SERVICE/BROWNMGMT INC.,LEGAL AIDE INC.,LEGAL AID NATIONAL PARALEGAL SERVICES DIVISION, INC.,LEGAL AID LOW COST SERVICES INC.,LEGAL AIDE DIVORCE SERVICES, INC.,LEGAL SUPPORT SERVICES CORP. d/b/a LEGAL AID SUPPORT SERVICES, INC.,P.I. INTERNATIONAL, CORP.,US CHAPTER 7 & 13 INC.,LEGAL AID SERVICES LLC,NATIONAL DOCUMENT PREPARATION SERVICES, INC.,NATIONAL PARALEGAL SERVICES, INC.,LEGAL AID NETWORK, INC., KENDRICK BROWN, DERRICH EDWARD BROWN, JASMINE EWING WHITE, MICHAEL KELLEY, RAYMOND ASHLEY,ANDREW E. EVANS, JR., MARK STEVEN MEAD,MICHELLE “MIKI” MINZER, THOMAS MATHIOWETZ, CARMEN JONES, KEITH THARPE, ELIZABETH FORBES, CARMELLA JONES, SANDRA BROWN, GAIL HURRY, andDOES 1 – 50.

Defendants.

COMPLAINT

Case 1:08-cv-00258-MSK -KMT Document 1 Filed 02/07/08 USDC Colorado of 77

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Plaintiffs Colorado Legal Services (“CLS”) and Texas RioGrande Legal Aid, Inc.

(“TRLA”) upon personal knowledge as to themselves and upon information and belief as to

all other matters, by and through their undersigned attorneys, bring this complaint against

Defendants Legal Aid National Services, d/b/a LANS Corp. (“LANS”), Ed Brown

Management, Inc., Legal Aid Service/Brownmgmt Inc., Legal Aid National Paralegal

Services Division, Inc., Legal Aid Low Cost Services Inc., Legal Aide Divorce Services,

Inc., Legal Aide, Inc., Legal Support Services Corp. d/b/a Legal Aid Support Services, Inc.,

P.I. International, Corp., US Chapter 7 & 13 Inc., Legal Aid Services LLC, National

Document Preparation Services, Inc., National Paralegal Services, Inc., Legal Aid Network,

Inc., Kendrick Brown (a/k/a Kendrick White) (“White”), Derrich Edward Brown (“Brown”),

Jasmine Ewing White, Michael Kelley, Raymond Ashley, Andrew E. Evans, Jr., Mark

Steven Mead, Michelle “Miki” Minzer, Thomas Mathiowetz, Carmen Jones, Keith Tharpe,

Elizabeth Forbes, Carmella Jones, Sandra Brown, Gail Hurry, and Does 1–50, and in

support thereof hereby allege as follows.

INTRODUCTION

1. This is an action for trademark infringement, false advertising, unfair competition,

racketeering, unauthorized practice of law, violation of the Colorado Consumer Protection Act

and common law claims under Colorado and Texas law arising out of conduct of Defendants.

2. Defendants are engaged in a nationwide enterprise designed to defraud consumers of

legal services.

3. This action arises under the Racketeer Influenced and Corrupt Organizations Act

(“RICO”), 18 U.S.C. § 1962; Lanham Act, 15 U.S.C. § 1125(a) (federal statutory trademark

infringement and unfair competition); 15 U.S.C. § 1125(a)(1) (federal false advertising or

promotion); and state statutes and common law.


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JURISDICTION AND VENUE

4. This Court has jurisdiction over this action pursuant to 28 U.S.C. § 1331 (federal

question); 28 U.S.C. § 1338(a) (any Act of Congress relating to trademarks); and 28 U.S.C.

§ 1367 (supplemental jurisdiction).

5. Venue for this action is properly founded in this Court under 28 U.S.C.

§ 1391(b)(2).

PARTIES

I. Plaintiffs

6. Colorado Legal Services is a Colorado corporation which was formed in 1925 as the

Legal Aid Society of Denver. On October 1, 1999, Colorado’s three legal services programs,

the Legal Aid Society of Metropolitan Denver, Pikes Peak/Arkansas River Legal Aid and

Colorado Rural Legal Services, merged and adopted the overall corporate name of “Colorado

Legal Services.” CLS is a non-profit agency funded by the Legal Services Corporation pursuant

to 45 C.F.R. § 1600, et seq. CLS specializes in providing free legal services in civil matters to

indigent clients throughout the State of Colorado. CLS has fifteen offices in Colorado including

Alamosa, Boulder, Colorado Springs, Denver, Durango, Fort Collins, Frisco, Grand Junction,

Greeley, Gunnison, Hayden, La Junta, Leadville, Pueblo and Salida.

7. Texas RioGrande Legal Aid, Inc. is a Texas corporation, which was formed by the

merger of Legal Aid of Central Texas, Bexar County Legal Services, Coastal Bend Legal

Services, El Paso Legal Aid Society, and Texas Rural Legal Aid, all of which are or were at the

time of existence funded by the Legal Services Corporation pursuant to 45 C.F.R. § 1600, et seq.

TRLA is a non-profit agency that specializes in providing free civil legal services to the indigent

residents of Central, South and West Texas. TRLA has thirteen offices in Texas including


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Weslaco, Austin, El Paso, Corpus Christi, San Antonio, Del Rio, Eagle Pass, Harlingen,

Edinburg, Laredo, Sinton, and Victoria.

II. Defendants

A. The Entity Defendants1

8. Upon information and belief, Legal Aid National Services, Inc. (d/b/a The LANS

Corp., and/or Legal Aid Housing Development) is a nonprofit corporation organized under the

laws of Colorado, with a principal place of business at 2600 South Parker Road, Building 5,

Suite 359, Aurora, Colorado 80014 (formerly 3801 East Florida Avenue, Suite 400, Denver,

Colorado 80210,2 191 University Boulevard, Suite 251, Denver, Colorado 80209, and 600 17th

Street, Suite 2800, Denver, Colorado 82020) and a registered agent’s address at 875 S. Colorado

Boulevard, Suite 672, Denver, Colorado 80246. White is the registered agent for LANS.

9. Upon information and belief, Ed Brown Management, Inc. (a/k/a Brown

Management) is a Colorado corporation, with a principal place of business at 3801 East Florida

Avenue, Suite 400, Denver, Colorado 80209 and a registered agent’s address at the same

location. White is the registered agent for Ed Brown Management, Inc. In addition to its

connection to the provision of legal services, Ed Brown Management, Inc. reportedly represents

recording artists such as Rai (www.raiplace.com), Bone Daddy (www.bonedaddyrocks.com),

and LaTonya Peoples (www.myspace.com/latonyapeoples).

1 A chart with information regarding the fourteen entity defendants is attached for the Court’s convenience as Exhibit S.

2 This address appears to be a shared office suite offered by Wallstreet Executive Suites (http://www.suiteplace.com), which advertises “Full Service Office Space Leasing and Virtual Offices . . .‘the image of a fortune 500 company for less than you’d pay a receptionist.’”


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10. Upon information and belief, Legal Aid Service/Brownmgmt Inc. is a Colorado

corporation with a principal place of business at 8100 W. Crestline Drive, Littleton, Colorado

80123, a registered agent’s street address at 8100 W. Crestline Drive, Littleton, Colorado 80123

and a registered agent’s mailing address at P.O. Box 620158, Littleton, Colorado 80162. Brown

is the registered agent for Legal Aid Service/Brownmgmt Inc.

11. Upon information and belief, Legal Aid National Paralegal Services Division, Inc.

(d/b/a Legal Aid National Paralegal Services Divisions, Inc.) is a Colorado corporation, with a

principal place of business at 3333 E. Bayaud Avenue, Suite 618, Denver, Colorado 80209 and a

registered agent’s address at the same location. Fareeda Afra Suliaman is the registered agent for

Legal Aid Paralegal Services Division, Inc. At a hearing before the United States Bankruptcy

Court for the District of Colorado held on May 17, 2006, Brown testified that he lived at this

address and that LANS paid the rent.

12. Upon information and belief, Legal Aid Low Cost Services Inc. is a Colorado

corporation with a principal place of business at 8100 Crestline Avenue, Littleton, Colorado

80123 and a registered agent’s address at the same location. White is the registered agent for

Legal Aid Low Cost Services, Inc.

13. Upon information and belief, Legal Aide Divorce Services, Inc. is a Colorado

corporation with a principal place of business at 3801 E. Florida Avenue, Suite 400, Denver,

Colorado 80210 and a registered agent’s address at 10089 Park Meadows Drive, Suite 89109,

Lone Tree, Colorado 80124. Eric Jones (a known alias of White) is the registered agent for

Legal Aide Divorce Services, Inc.

14. Upon information and belief, Legal Aide Inc. is a Colorado corporation with a

principal place of business at 10089 Park Meadows Drive, Suite 89109, Lone Tree, Colorado


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80124 and a registered agent’s address at the same location. Sandra Forbs is the registered agent

for Legal Aide Inc.

15. Upon information and belief, Legal Support Services Corp. (d/b/a Legal Aid

Support Services, Inc.) is a Colorado corporation with a principal place of business at 3801 E.

Florida Avenue, Suite 400, Denver, Colorado 80210 and a registered agent’s address at 875 S.

Colorado Boulevard, Suite 672, Denver, Colorado 80246. White is the registered agent for Legal

Support Services Corp.

16. Upon information and belief, P.I. International, Corp. is a Colorado corporation

with a principal place of business at 3801 E. Florida Avenue, Suite 400, Denver, Colorado 80210

and a registered agent’s address at 875 S. Colorado Boulevard, Suite 672, Denver, Colorado

80246. White is the registered agent for P.I. International, Corp.

17. Upon information and belief, US Chapter 7 & 13 Inc. is a Colorado corporation

with a principal place of business at 8100 Crestline Drive, Suite 225 Littleton, Colorado 80123

and a registered agent’s address at the same location. Brown is the registered agent for US

Chapter 7 & 13 Inc.

18. Upon information and belief, Legal Aid Services LLC is a Colorado limited

liability company with a principal place of business at 6207 La Plata Peak Drive, Colorado

Springs, Colorado 80923 and a registered agent’s address at the same location. Bridgette

DuCote Kaczmarek is the registered agent for Legal Aid Services, LLC. Kaczmarek was a

bankruptcy lawyer in Louisiana, who recently moved to Colorado. For a period of time,

Kaczmarek was reportedly employed by LANS. On September 28, 2007, Kaczmarek claims

to have resigned her position with LANS. In an October 24, 2007 submission to the United

States Bankruptcy Court for the District of Colorado regarding her dealings with LANS,


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Kaczmarek commented that she “had encountered con artist[s], phonies, and all sorts of

horrible people, the true dregs of society” and that she “had worked in a pool hall in New

Orleans throughout college and never came into contact with such despicable . . . lowlifes as

she has since her relocation to Colorado.”

19. Upon information and belief, National Document Preparation Services, Inc. (d/b/a

www.nationaldocumentservice.com) is an unincorporated association with a principal place of

business at 3333 E. Bayaud Avenue, Suite 618, Denver, Colorado 80209.

20. Upon information and belief, National Paralegal Services, Inc. (d/b/a

www.legalfiling.net) is an unincorporated association with a principal place of business at

8100 W. Crestline Avenue, Littleton, Colorado 80123.

21. Upon information and belief, Legal Aid Network, Inc. (d/b/a www.legalfiling.net)

is an unincorporated association with a principal place of business at P.O. Box 620158, Littleton,

Colorado 80162.

B. The Individual Defendants3

22. Upon information and belief, Kendrick Brown (a/k/a Kendrick White, a/k/a Eugene

Wilson, a/k/a Eugene White, a/k/a Pendrick White, a/k/a Willie Williams, a/k/a Scott Johnson,

a/k/a Keith Jackson, a/k/a Paul Mitchel, a/k/a Woody Mitchell, a/k/a Eric Jones) is an individual

residing at 10087 Park Meadows Drive, Apt. 106, Lone Tree Colorado 80124. White is

reportedly the Chief Executive Officer and a director of LANS. White is reportedly a convicted

felon and has previously been incarcerated in both Florida and California.

3 A chart with information regarding the sixteen individual defendants is attached for the Court’s convenience as Exhibit T.


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23. Upon information and belief, Derrich Edward Brown (a/k/a Derrick Brown, a/k/a

John Brown, a/k/a John Tharpe, a/k/a Edward Brown, a/k/a Ytricia Edward, a/k/a Michael Willy,

a/k/a James Z. Pointer, d/b/a National Document Service Filing) is an individual residing at

10075 Park Meadows Drive, Apt. 103, Lone Tree Colorado 80124. Brown and White are

brothers. Brown is reportedly a convicted felon.

24. Upon information and belief, Jasmine Ewing White (f/k/a Darika Sharae Ewing) is

an individual residing at 80000 W. Badura Avenue, Apt. 1168, Las Vegas, Nevada 89113.

Jasmine Ewing White is married to White. Jasmine Ewing White participated in all aspects of

the operation of LANS.

25. Upon information and belief, Michael Kelley is an individual residing at 3333 E.

Bayaud Avenue, Suite 618, Denver, Colorado 80209. Kelley is reportedly a principal at LANS.

26. Upon information and belief, Raymond Ashley a/k/a Stephen Jones is an individual

residing at 411 South Virgil Avenue, Los Angeles, California 90020. Ashley is reportedly a

principal at LANS. Ashley is affiliated with Legal Aid Service a/k/a Legal Aid Network, 269

South Beverly Drive, Suite 3300, Beverly Hills, California 90212-3807.

27. Upon information and belief, Andrew E. Evans, Jr. is an individual residing at 975

Lima Street, Aurora, Colorado 80010. Evans was involved in the incorporation of Legal Support

Services Corp.

28. Upon information and belief, Mark Steven Mead is an individual currently in

custody at Fremont Correctional Facility (FCF), Canon City, Colorado 81215-0999. At the

relevant time, Mead was reportedly the Attorney Division Manager at LANS. Although he

reportedly held himself out as an attorney, Mead is not a licensed attorney. Mead is reportedly a

convicted felon.


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29. Upon information and belief, Michelle “Miki” Minzer is an individual residing

in Colorado. At the relevant time, Minzer was reportedly Corporate Counsel at LANS.

Minzer is associated with Minzer & Frazer, PC, Attorneys at Law, 936 E. 18th Avenue,

Denver, Colorado 80218.

30. Upon information and belief, Thomas Mathiowetz is an individual residing in

Colorado. At the relevant time, Mathiowetz was reportedly Manager of the Bankruptcy

Division at LANS. Mathiowetz is associated with Thomas M. Mathiowetz, P.C., 3801 E.

Florida Avenue, Suite 400, Denver, Colorado 80210, which is also the address of the

principal place of business of LANS. Mathiowetz was involved in the formation of LANS.

31. Upon information and belief, Carmen Jones is an individual residing in Colorado.

Carmen Jones is reportedly an officer and a director of LANS. Carmen Jones may be a fictitious

name or an alias of one of the Defendants.

32. Upon information and belief, Keith Tharpe is an individual residing in Colorado.

Keith Tharpe is reportedly the Chief Financial Officer and a director of LANS. Keith Tharpe

may be a fictitious name or an alias of one of the Defendants.

33. Upon information and belief, Elizabeth Forbes is an individual residing in

Colorado. Elizabeth Forbes is reportedly the Vice President of Operations and a director of

LANS. Elizabeth Forbes may be a fictitious name or an alias of one of the Defendants.

34. Upon information and belief, Carmella Jones is an individual residing in Colorado.

Carmella Jones is reportedly the Vice President of Customer Service and a director of LANS.

Carmella Jones may be a fictitious name or an alias of one of the Defendants.


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35. Upon information and belief, Sandra Brown is an individual residing in Colorado.

Sandra Brown is reportedly the Vice President of Customer Service and a director of LANS.

Sandra Brown may be a fictitious name or an alias of one of the Defendants.

36. Upon information and belief, Gail Hurry (a/k/a T. Hurry) is an individual

residing in Colorado. Gail Hurry is reportedly the Managing Partner of National Document

Preparation Services, Inc. Gail Hurry may be a fictitious name or an alias of one of the

Defendants.

FACTUAL ALLEGATIONS

I. Defendants Are Engaged in a Nationwide Enterprise Designed to Defraud

Consumers.

37. For more than a decade, Defendants have engaged in various schemes by which

they fraudulently induced consumers looking for legal representation to retain their services by

using variations of the well-known and trusted “Legal Aid” designation.

38. Each of the fifty states has at least one “Legal Aid” program that is funded in part

through the Legal Services Corporation (“LSC”), a corporation that administers federal funding

to these programs.

39. All legitimate “Legal Aid” programs, including the Plaintiffs, that receive Legal

Services Corporation funds must adhere to the same federal regulations.

40. These regulations include the requirements that “Legal Aid” programs must

provide services free of charge to eligible clients and are prohibited from receiving fees for those

services pursuant to the restrictions placed on them by LSC regulations. 45 C.F.R. § 1600, et seq.

(2007)

41. Defendants are not legitimate “Legal Aid” programs in compliance with these

regulations.


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42. Before moving the nerve center of their operation to Colorado, Defendants Brown

and White had been operating out of: (1) California under such names as: Legal Aid Services,

(a/k/a Legal Aide Services, a/k/a Legal Aid Services of America, a/k/a Worldwide Legal Aid

Services) 2331 D- 2 East Avenue S., Suite 264, Palmdale, California 93550, 44847 N. 10th

Street W., Suite 2, Lancaster, California 93534, and 641 West J, #153, Lancaster, California

93534; (2) Florida under such names as: (a) Legal Aide Paralegal Services, Inc. (d/b/a LAPS)

(formed June 2, 1997), 4632 Forest Hill Boulevard, Suite 357, West Palm Beach, Florida 33415;

(b) Legal Aide U.S.A., Inc. (formed August 28, 1998), 13833 Wellington Trace, E4-103,

Wellington, Florida 33414; and (c) Legal Aid Self Help Center, Inc. (formed May 17, 1999),

6999-02 Merrill Road, Jacksonville, Florida 32277; and (3) Nevada under such names as:

(a) Legal Aide State Services, Inc. (formed April 30, 2003), 8000 W. Spring Mountain Road,

Suite 1080, Las Vegas, Nevada 89117 and 8665 W. Flamingo Road, Suite 2000, Las Vegas,

Nevada 89147 and (b) Legal Aid Affordable Services Inc. (formed February 14, 2005), 4040 W.

Pioneer Avenue, Suite 208, Las Vegas, Nevada 89102.

43. Defendants Brown and White are brothers who together, with others, and

separately defraud consumers using various corporate entities posing as legal service providers.

44. Defendants’ scheme to defraud is relatively simple; they target consumers who are

in dire need of legal assistance, have limited financial means, and are relatively unsophisticated.

They induce those consumers to engage Defendants under the misrepresentation that Defendants

are legitimate “Legal Aid” organizations, confuse those consumers with changing terms, names,

and phone numbers, collect large fees for simple services, render inadequate or incomplete

services (if they render services at all), and then make it nearly impossible for those consumers

to reach Defendants after the fraud has occurred.


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45. Defendants purport to offer paralegal services through LANS’s “paralegal

division” in all states except Alaska. Defendants purport to offer attorney services through

LANS’s “attorney division” in the following twenty seven states: Alabama, Arizona, Arkansas,

California, Colorado, Connecticut, Georgia, Hawaii, Illinois, Kansas, Louisiana, Maryland,

Minnesota, Missouri, Nevada, New Hampshire, New Jersey, New York, North Carolina, Ohio,

Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, and Wisconsin.

46. Defendants use several methods to defraud consumers.

47. Defendants maintain local telephone numbers in various jurisdictions, as well as

national toll free numbers and advertise their services in telephone directories under variations of

the well-known and trusted “Legal Aid” designation to induce customers to contact them

thinking that Defendants are offering free legal services, as legitimate “Legal Aid” organizations

traditionally do. (Ex. A).

48. Defendants also operate several internet websites designed to induce consumers to

retain their services, again under the false assumption that Defendants are operating a legitimate

“Legal Aid” organization. These websites include but are not limited to; www.thelanscorp.com,

www.legalfiling.net, www.brownmgmt.com, www.legalaideusa.com,

www.nationaldocumentservice.com, and www.legalaidenationalservices.com. (Ex. B).

49. Defendants also advertise on public websites, such as on www.craigslist.com, and

hold themselves out as providers of legal services under variations of the well-known and trusted

“Legal Aid” designation. (Ex. C).

50. Defendants give the false and confusing impression that Defendants are or are in

some way affiliated with legitimate “Legal Aid” organizations, the common provider of free

legal services in their respective communities.


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51. Defendants explicitly offer various legal services that Defendants are unable and

unauthorized to provide.

52. Defendant LANS is a registered 501(c)(3) not-for-profit charitable organization.

Defendants improperly use this status to fraudulently convince consumers that Defendants are

indeed legitimate “Legal Aid” charitable organizations or affiliated with such organizations. To

further the misrepresentation that LANS is a philanthropic organization, Defendants solicit

“donations” on LANS’s internet website, even providing the option of making a “donation” by

credit card.

53. Communication between consumers and Defendants are principally via telephone,

fax, and e-mail.

54. Defendants specifically target consumers who have limited financial means, are

relatively unsophisticated, and in many cases do not speak English. By targeting these

consumers, Defendants are able to confuse them as to the source of the purported services and as

to what services are actually being rendered.

55. After receiving payment from defrauded consumers, Defendants are unresponsive

to those consumers.

56. Once in contact with the consumers, Defendants provide fake names, aliases, and

constantly change their statements regarding the services to be rendered and the cost of those

services.

57. When Defendants provide legal paperwork to consumers, the paperwork is

typically inadequate and routinely rejected by the courts.


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58. Defendants often complete the wrong paperwork for consumers, prolonging the

time it takes for the consumers to get services, if they receive any services at all, and at great cost

to the consumers.

59. Once in contact with consumers, Defendants inform those consumers that they will

be represented by an attorney. Nonetheless, typically, when the consumers are given paperwork

to complete, they are deceptively required to sign away their rights to be represented by an

attorney.

60. Once in contact with consumers, Defendants require those consumers to pay

significant amounts of money for “filing fees.” Generally, Defendants do not explain to the

consumers what these fees are for. Defendants instruct consumers to send money only by

MoneyGram, but sometimes accept cashiers checks or debit card payments.

61. As a result of the fraud by Defendants, consumers often lose significant amounts of

money and do not get the legal representation and relief that they require.

62. Defendants have been engaged in the foregoing practices for more than a decade

and continually recreate themselves and their fraudulent businesses in an attempt to defraud and

confuse more consumers.

63. By all accounts, Defendants’ enterprise is extremely lucrative. In papers filed with

the United States Bankruptcy Court for the District of Colorado, witnesses claimed that White

alone expected to earn $1.7 million in 2007 from Defendants’ fraudulent businesses.

II. Defendants Have Repeatedly Ignored Court Orders Enjoining Them from the

Unauthorized Practice of Law.

64. Since at least 1995, and up to and including the present time, Defendants have

repeatedly ignored court orders, injunctions, sanctions, and fines imposed in connection with

their unauthorized practice of law.


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A. Colorado v. Brown, Nos. 04UPL034, 05SA156 (Colo. S. Ct.)

65. On November 14, 2005, the Colorado Supreme Court issued an order

enjoining Defendants Brown and Legal Aid Service/Brownmgmt Inc. from the unauthorized

practice of law. (Ex. D). Although the Assistant Attorney Regulation Counsel reportedly

certified that Brown was served with the Order on January 4, 2006, Brown testified at a May

17, 2006 hearing before the United States Bankruptcy Court for the District of Colorado that

he does not recall the Order.

66. The injunction from the Colorado Supreme Court was issued as a result of a

petition by the Assistant Attorney Regulation Counsel after an investigation revealed that

Brown and Legal Aid Service/Brownmgmt Inc. had solicited legal work, accepted a retainer

from a “client,” and otherwise falsely held themselves out as providers of legal services.

(Ex. E). In communications with consumers, Brown and Legal Aid Service/Brownmgmt

Inc. deceptively held themselves out as “a network of trained, qualified paralegals and pro

bono attorneys.” (Id.) The Colorado Supreme Court enjoined Brown and Legal Aid

Service/Brownmgmt Inc. from any further unauthorized practice of law. Brown has ignored

that Order.

B. In re Duran, No. 05-27650-SBB (Bankr. D. Colo.)

67. On December 21, 2007, the United States Bankruptcy Court for the District of

Colorado issued an order enjoining Defendants Brown and Legal Aid Network from aiding

or assisting in any bankruptcy or bankruptcy petition in front of that court. (Ex. F). The

Court further enjoined Brown and his related entities from “utilizing in any manner

whatsoever any trade name, legal name, trademark, service mark, or other form of

identification which uses the terms ‘legal’ or ‘law’ or any similar term.”


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68. Defendant Legal Aid Network Inc., through Brown, attempted to represent a

bankruptcy petitioner before the court. After the Bankruptcy Court rejected the paperwork

prepared by Brown and Legal Aid Network Inc., the bankruptcy petitioner informed the

court that he had paid nearly $300 to “Legal Aid,” but the papers they sent to him were

inadequate and rejected by the court. At a hearing on January 17, 2006, the defrauded

bankruptcy petitioner testified “I wish it wouldn’t have come this far, but I pay my money

up front . . . to do paperwork for me, and they never did. And when I tried to get in contact

with them, they wouldn’t even speak to me anymore. So then I decided I’d just come to you

. . . .”

69. After an investigation by the United States Trustee for the District of Colorado,

and days of hearings before the court, the Honorable Sidney B. Brooks concluded that those

parties before him had held themselves out as bankruptcy lawyers and/or preparers although

they were not.

70. Following multiple days of testimony, Judge Brooks strongly questioned both

Brown and White’s credibility. With respect to Brown, Judge Brooks noted that it “has been

demonstrated in the past and I’ve made findings that he has no credibility with this Court.”

With respect to White, Judge Brooks noted that his “testimony has come across to me as not

being 100 percent accurate and true. . . . Mr. Brown and you have done business. And Mr.

Brown and you have had a connection. And you denied it, unqualifiably, completely and

without reservation before [the United States Trustee] pointed it out to you.”

71. Moreover, two former employees of LANS, Dorothy Hoffman and Jeannette

Cote, testified that White threatened them with a sham lawsuit to prevent them from

cooperating with the United States Trustee. Hoffman and Cote testified that as they were


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attending a day of testimony in the proceedings before Judge Brooks, they were served with

a complaint in the hallway. In the complaint, LANS alleged that they breached a

confidentiality agreement by discussing LANS with “third parties,” an obvious reference to

their cooperation with the United States Trustee. In fact, the complaint had never been filed

with any court. Judge Brooks found that “this Complaint was never filed with the City and

County of Denver District Court, as it would appear, but was sent as a means to harass or

otherwise intimidate Ms. Cote and Ms. Hoffman. . . . It is quite clear that this was a cynical

and brazen attempt to intimidate Ms. Cote and Ms. Hoffman.” (Ex. F at 2 n.2).

72. Although White denied that he or LANS had any business dealings with his

brother Brown, Judge Brooks found that “the testimony of other former employees or

individuals connected to Messrs. Brown and White and/or LANS provides strong and

compelling evidence of interlocking relationships, business, and activities among the three,

and a pattern of unmistakable links despite efforts to mask, evade or obfuscate such links

among the three.” (Ex. F at 3).

73. With respect to the services purportedly provided by LANS, Judge Brooks

found that “the primary function of the Denver office of LANS was sales not services, legal

or otherwise. The paperwork from LANS’s ‘Paralegal Division,’ when prepared at all, was

prepared through a subcontractor in India, was of poor quality, was never corrected, was

neither accurate nor complete, and based upon LANS’s ex-employee’s testimony, these

papers were often unusable by the customer.” (Ex. F at 6).

74. After more than a year of hearings, motions, and investigation, Judge Brooks

sanctioned Brown and Legal Aid Network, who were directly involved in the filing of the

debtor’s petition before Judge Brooks. Although Judge Brooks found that White and LANS


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were also engaged in misconduct, he found that the court did “not have jurisdiction over

those issues under applicable non-bankruptcy law.” (Ex. F at 4). With apparent frustration,

Judge Brooks noted “[t]he Court is left with few remedies to address the panoply of

misconduct and deceit by Mr. Brown, Mr. White, LANS and their affiliates. The Court’s

limited bankruptcy jurisdiction does not permit it to further investigate or pursue remedies

associated with this fraudulent conduct, which is sometimes part of, but not always or

necessarily, related to bankruptcy.” (Ex. F at 8).

C. In re Davis, No. 06-10736-ELF (Bankr. E.D. Pa.)

75. On September 13, 2006, the United States Bankruptcy Court for the Eastern

District of Pennsylvania, pursuant to a stipulation and order, fined Defendants Brown and

Legal Aid Network, Inc. and enjoined them from acting as bankruptcy preparers or engaging

in the unauthorized practice of law in any federal judicial district. (Ex. G). The Stipulation

and Order was issued in connection with the United States Trustee’s Motion for

Disgorgement of Fees and for the Imposition of Fines against Stephen Jones and/or Legal

Aid Network, which was filed on May 11, 2006. On June 14, 2006, Defendant Brown filed

a response to the motion arguing that “Legal Aid Network was simply a referral service that

referred individuals to independent contractors who then prepared the individuals’

bankruptcy petitions.” (Ex. H). In the response, Brown represented to the Bankruptcy

Court that “Legal Aid Network . . . will agree to no longer prepare bankruptcy petitions in

this jurisdiction, or any other jurisdiction.” (Id.)

D. Trustee v. Brown, Adv. No. 05-80139-W (Bankr. D.S.C.)

76. On August 29, 2005, the United States Bankruptcy Court for the District of

South Carolina issued an order imposing injunctive relief, fines, and requiring the

disgorgement of fees from Brown (d/b/a www.legalfiling.net, Legal Aid Service, Legal Aid


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Network, and Brown Management). The court found that the “advice and assistance

provided to the debtor by the defendant constitute the unauthorized practice of law in the

District of South Carolina.” (Ex. I). The court issued an injunction prohibiting Brown from

engaging in the unauthorized practice of law, fined him $4,500, and prohibited him from

participating in any way with the preparation of bankruptcy documents in any federal

judicial district.

E. In re Ms Rainbow, No. 03-16053-EEB (Bankr. D. Colo.)

77. On September 10, 2003, the United States Bankruptcy Court for the District of

Colorado ordered Brown (d/b/a Legal Aid Services) to disgorge fees associated with the

filing of a bankruptcy case for a debtor. (Ex. J). The court further ordered the parties to

appear and show cause within fifteen days why the court should not enter further orders

enjoining them from performing bankruptcy preparation services and referring the case to

United States Attorney for further investigation of the violation of criminal or civil statutes.

The record reflects that Brown did not respond to the order to show cause.

F. In re Cozad, No. 03-15425-HRT (Bankr. D. Colo.)

78. On August 11, 2003, the United States Bankruptcy Court for the District of

Colorado ordered Brown to appear and show cause within fifteen days why the court should

not enter further orders enjoining him from performing bankruptcy preparation services and

referring the case to United States Attorney for further investigation of the violation of

criminal or civil statutes. (Ex. K). The record reflects that Brown did not respond to the

order to show cause.

G. Tennessee v. White, No. 99-2625 (Tenn. Chancery Ct.)

79. On September 16, 1999, White, on behalf of himself and Legal Aide Paralegal

Services, Inc., signed an Assurance of Voluntary Compliance with the Tennessee Attorney


ny-79506820

General prohibiting the unauthorized practice of law in Tennessee. (Ex. L). The Assurance

of Voluntary Compliance was entered into after an investigation by the Tennessee Attorney

General and the Division of Consumer affairs of the Department of Commerce and

Insurance of Tennessee revealed that Defendants White and Legal Aide Paralegal Services,

Inc. had violated the Tennessee unauthorized practice of law statute. Specifically, the

defendants in that action had advertised as “legal” or “attorney” in phone books and on the

internet, agreed to perform legal services for Tennessee citizens, accepted payment for those

services, and offered to prepare legal documents for consumers despite the fact that none of

the defendants in that action were licensed to practice in Tennessee. The Chancery Court of

Davidson County, Tennessee issued an order adopting the Assurance of Voluntary

Compliance on September 17, 1999. (Ex. M). White, through LANS, currently holds

himself out as offering legal services in Tennessee in direct contravention of the Assurance

of Voluntary Compliance and the Agreed Order.

H. Brokenbrough v. Legal Aide Services, Adv. No. 95-274 (Bankr. S.D. Ohio)

80. On June 6, 1996, the United States Bankruptcy Court for the Southern District

of Ohio entered an order granting a motion for a default judgment and assessing penalties

against White (d/b/a Legal Aid Services, Legal Aide Services, and Legal Aid Services of

America) for violations of Section 110 of the Bankruptcy Code and for the unauthorized

practice of law. (Ex. N). Due to White’s mishandling of a bankruptcy petitioner’s claim,

the debtor nearly lost her home and incurred significant expense and time rectifying White’s

errors. The court found that White had prepared the bankruptcy petitioner’s papers in direct

contravention of the orders of several other bankruptcy courts. The court found that White

violated the Ohio Consumer Sales Practices Act “by using the term ‘Legal Aid’ in a way

that is likely to cause confusion and misunderstanding as to whether Defendants are a Legal


ny-79506821

Services program such as the Legal Aid Society of Dayton.” The court enjoined White and

his organizations from the unauthorized practice of law and required them to pay monetary

damages.

I. In re Hernandez, No. 95-51477-RBK (Bankr. W.D. Tex.)

81. On June 15, 1995, the United States Bankruptcy Court for the Western District

of Texas enjoined Legal Aide Services (an organization operated by Brown), Scott Johnson

(a known alias of White), and any parties acting in concert with them from engaging in the

conduct of bankruptcy preparers and fined the individual and organization for their conduct

in relation to the preparation a debtor’s bankruptcy paperwork. (Ex. O).

J. In re Parks, No. 95-1-0853-PM (Bankr. D. Md.)

82. On June 12, 1995, the United States Bankruptcy Court for the District of

Maryland imposed a $1,500 fine against Legal Aide Services (an organization operated by

Brown), Keith Jackson (a known alias of White), and Tracy Russell and ordered them to

turn over all fees received from the bankruptcy petitioner. (Ex. P). At a hearing before the

court, the bankruptcy petitioner testified that he recalled that Keith Jackson (a known alias

of White) had held himself out as an attorney, which he is not. The court certified the facts

for review by the United States District Court. (Ex. Q).

K. In re Lackey, No. 95-10453-FM (Bankr. W.D. Tex.)

83. On May 15, 1995, the United States Bankruptcy Court for the Western District

of Texas enjoined Legal Aide Services (an organization operated by Brown) from engaging

in the conduct of bankruptcy preparers and fined the organization for their conduct in

relation to the preparation a debtor’s bankruptcy paperwork. (Ex. R). The court found that

Legal Aide Services had rendered “services of no value” and “engage[d] in fraudulent and

deceptive behavior in the handling of [the] bankruptcy petition.”


ny-79506822

L. Trustee v. Legal Aid Services, Adv. No. 95-159-DAS (Bankr. E.D. Pa.)

84. On May 11, 1995, the United States Bankruptcy Court for the Eastern District

of Pennsylvania entered a decision and order imposing a $3,000 fine against Legal Aid

Services (an organization run by Brown) and its principals Tracy Russell, Keith Jackson (a

known alias of White), and Scott Johnson (another known alias of White), and enjoining

them from acting as a bankruptcy preparer in any jurisdiction unless they petition a

particular court for permission to do so. In re Gavin, 181 B.R. 814, 815 (Bankr. E.D. Pa.

1995).

85. The adversary proceedings arose out of two underlying bankruptcy actions, in

each of which the petitioner was defrauded by Legal Aid Services. The bankruptcy

petitioner in one of the underlying bankruptcy cases (In re Gavin) had been advised by a

private law firm that she and her husband should contact “legal aid” for assistance,

obviously intending to refer them to a legitimate “Legal Aid” organization. The petitioner

contacted Legal Aid Services believing that it was a legitimate “Legal Aid” organization.

The bankruptcy petitioner dealt with Keith Jackson (a known alias of White). The

bankruptcy petitioner in the other underlying bankruptcy case (In re Fulginiti) had dealt with

Scott Johnson (another known alias of White). Both petitioners received worthless services.

86. The court heard testimony from an employee of Legal Aid Services, Patricia

Smith. Smith, who the court found credible, described the methods by which Defendants

Brown and White defrauded their “customers.” The customers would call a number and

speak with an employee who represented himself as an attorney. That employee would in

turn set up an appointment between the debtor and an unqualified employee who had no

training in law, bankruptcy, or anything else. The employee would collect whatever

information the debtor had been instructed to bring as well as payment. Based on this


ny-79506823

exchange, paperwork would be filled out and returned to the debtor to file as a pro se

petitioner. The court found that “the services provided by LAS to the Debtors were of

extremely poor quality and constituted the unauthorized practice of law.”

III. Defendants Are Continuing to Actively Defraud Consumers.

87. The following are just some examples of individuals who have been defrauded by

Defendants:

A. Simone Jones

88. In or around May 2007, Simone Jones (“Jones”) sought legal assistance in

obtaining spousal support from her husband who resides in Illinois.

89. Jones went to LANS’ offices in Denver and requested an attorney to assist her in

connection with her divorce. Representatives of LANS required Jones to pay $475.00 and

complete a questionnaire prior to completing any paperwork or taking any action on Jones’

behalf. Jones completed all required questionnaires and paid the $475.00 fee.

90. LANS failed to file or serve any of the divorce or support documents for Jones. As

a result, Jones’ husband was able to file and receive a decree from an Illinois court.

91. Despite LANS’ failure to assist Jones, LANS refused to refund any of Jones’

$475.00 payment.

B. Kathy DeLaRiva

92. In or around March 2006, Kathy DeLaRiva (“DeLaRiva”) sought legal assistance

in obtaining a divorce.

93. DeLaRiva called directory assistance (“411”) seeking “Legal Aid.” Instead of

receiving a number for CLS, DeLaRiva was given a local number which connected her to LANS.


ny-79506824

94. DeLaRiva contacted LANS to help her obtain her divorce. LANS required her to

pay more than $500.00 prior to completing any paperwork or taking any action on DeLaRiva’s

behalf.

95. Despite providing incomplete and erroneous paperwork, LANS refused to refund

any of DeLaRiva’s payment. DeLaRiva ultimately qualified for assistance from CLS under

CLS’ financial guidelines and CLS assisted DeLaRiva with her divorce.

C. Karen Harris

96. In or around February 2007, Karen Harris (“Harris”), as result of her husband’s

illness and inability to work, fell behind on her mortgage.

97. Harris sought help from an attorney on possible bankruptcy and foreclosure advice,

and found LANS through the Yellow Pages. Harris spoke with an attorney listed as Mike

Walker, who said he could help Harris.

98. In early July 2007, Harris obtained an appointment with Mr. Walker at LANS to

discuss bankruptcy and avoiding foreclosure on her home. Once there, the LANS receptionist

informed Harris that Mike Walker no longer worked at LANS. Harris instead met with

Defendant Mathiowetz.

99. Defendant Mathiowetz explained Chapter 7 bankruptcy to Harris, and put Harris in

contact with LANS’ financial office to discuss payment.

100. LANS required payment of $800.00 from Harris for representation in Chapter 7

bankruptcy proceedings. Harris did not have the required $800.00, but began making installment

payments. Over the next several months, Harris ultimately paid LANS a total of $748.00, yet

LANS did not prepare or file any bankruptcy documents or provide services of any kind for

Harris.


ny-79506825

101. Harris met with Mathiowetz again in August 2007. At this time Mathiowetz

requested a $30.00 “retaining fee” and directed Harris to complete documentation for the

bankruptcy proceedings.

102. In October 2007, Harris was notified by LANS that her case had been transferred

to a David Paul Smith. Mr. Smith agreed to represent Harris in connection with her bankruptcy.

After hearing nothing for the next month, Harris again contacted Mr. Smith. Mr. Smith notified

Harris that he had not been paid by LANS so his “hands were tied.”

103. Despite repeated requests by Harris to either refund or transfer the deposits paid to

Mr. Smith, LANS has continued to withhold Harris’ payments. As a result of LANS’ refusal to

provide service or refund Ms. Harris’ payments, Harris now faces imminent foreclosure on her

home.

D. Kristy Matthijetz

104. In or around early December of 2007, Kristy Matthijetz (“Matthijetz”) was served

with divorce papers by her husband’s family while he was in the hospital receiving treatment for

a brain tumor.

105. Shortly after being served with papers, Matthijetz and her father began searching

for legal representation for her divorce and custody proceeding. Matthijetz’s first scheduled

court hearing on the matter was December 19, 2007.

106. After speaking with a number of local attorneys, Matthijetz and her father realized

that they could not afford the prices quoted to them by private counsel and decided to call “Legal

Aid.”

107. Matthijetz and her father believed that there was one “Legal Aid” organization

that served their community and that this “Legal Aid” organization provided free and reliable

legal services to the community.


ny-79506826

108. On or about December 18, 2007, Matthijetz called the number for “Legal Aid,

Inc.” that her father found in the phone book, local number (512) 322-9676. The area (512) is a

Travis county area code.

109. When Matthijetz called this number, the first thing she heard was an automated

voice recording that stated “you have reached the Legal Aid Offices” before directing her call to

a live person.

110. Based on this voice recording, Matthijetz believed that she had reached the

legitimate “Legal Aid” organization servicing the Austin area of Texas.

111. Additionally, based on the fact that the company advertised itself as “Legal Aid,

Inc,” Matthijetz believed that she had reached a legitimate “Legal Aid” organization servicing

the Austin area of Texas.

112. Matthijetz was connected to a man who identified himself as “Mr. John” and

explained to “Mr. John” that she needed legal representation for a court hearing the following

day, December 18, 2007.

113. “Mr. John” represented to Matthijetz that she would need to send a $525.00

MoneyGram to “Ed Brown” in order to be appointed a lawyer for her proceeding and that

because it was such short notice, the only lawyer available to assist her was “Ed Brown.”

114. “Mr. John” further told Matthijetz that she would need to wire the money as soon

as possible because he would only be in the office for one more hour and he needed to be sure

that she sent the money before he could help her.

115. On March 18, 2007, a Money Gram in the amount of $175.00 was sent on behalf

of Matthijetz by Dan Leteff from a Wal-Mart store located in Austin, Texas.


ny-79506827

116. Because Matthijetz had to borrow money from two different sources, a few

moments later, Matthijetz, herself, sent a MoneyGram in the amount of $350.00 to “Edward

Brown” from a Supercenter, located in Georgetown, Texas.

117. The following day, Matthijetz arrived at the courthouse an hour early in order to

meet with her lawyer and explain more details about her situation.

118. After waiting for someone to approach her, Matthijetz finally grew concerned and

called “Mr. John” to ask where her lawyer was and what her lawyer looked like so that she could

identify him before entering the courtroom.

119. “Mr. John” asked Matthijetz to hold. When he returned to the line, he told

Matthijetz that he had “paged” her lawyer and had learned that there was a conflict.

120. “Mr. John” told Matthijetz that her lawyer, Mr. Ed Brown, had to make an

appearance in another court and would not be able to attend her hearing.

121. Upon hearing Matthijetz’s panic at this news, “Mr. John” proceeded to advise

Matthijetz what she should do during her hearing.

122. Matthijetz found it strange that “Mr. John” would advise her on how to handle a

legal proceeding because she knew based on her conversation the previous day that he was not a

lawyer, but because she was desperate, she listened to what he recommended.

123. “Mr. John’s” advice included, but was not limited to, recommending that

Matthijetz tell the judge that “the lawyer you hired is stuck in another trial” and telling Matthijetz

to ask the judge for a continuance.

124. Matthijetz attended her court hearing by herself with no understanding of what

was occurring.


ny-79506828

125. During that December 19, 2007 court hearing, Matthijetz lost custody of her

daughter for two weeks and did not understand why she was losing custody.

126. After her December 19, 2007 hearing, both Matthijetz and her father called “Mr.

John” to complain.

127. For days, “Mr. John” did not answer or return their calls.

128. When Matthijetz finally made contact with “Mr. John” she expressed her anger

about having sent $525.00 to “Edward Brown” even though “Edward Brown” did not represent

her during her custody hearing.

129. “Mr. John” told Matthijetz that her “MoneyGram is here waiting for you to pick it

up if you want it.”

130. Matthijetz declined to pick her MoneyGram up because, amongst other reasons,

she believed that she was in touch with the only legitimate “Legal Aid” organization in her area

and was frightened that she would “lose her lawyer” if she tried to get the money back.

131. Matthijetz told “Mr. John” that she would call him back when she received her

next court date.

132. Shortly after this last conversation with “Mr. John,” Matthijetz was informed by a

colleague that TRLA was accepting intakes from individuals who had complaints against

fraudulent legal aids.

133. Matthijetz’s contact with TRLA regarding her complaint against Legal Aid, Inc.

was her first contact with a legitimate “Legal Aid” organization.

134. Matthijetz is now being represented by TRLA on her divorce and custody matters.

135. Matthijetz has not received a refund of her $525.00 from Legal Aid, Inc., nor has

she received anything of value in return.


ny-79506829

E. Dinah Lea Roberts

136. On or about late March of 2007, Dinah Lea Roberts (“Roberts”) was served with

divorce papers by her husband.

137. Following the service of papers, Roberts grew extremely depressed and unhappy.

She was admitted to the state hospital in Kerrville, Texas.

138. Following her release from the hospital, Roberts was assigned a mental health

counselor by the Office of Mental Health and Mental Retardation.

139. During one of her visits to her counselor’s office, Roberts expressed that she

needed to seek representation in her divorce proceeding.

140. Roberts also expressed her confusion about how to get in touch with “Legal Aid,”

as Texas Rural Legal Aid (now TRLA) had closed its Kerrville office.

141. Roberts’ counselor said that even though the Legal Aid office in Kerrville had

closed their office, they still listed a toll free number in the phonebook and the Office of Mental

Health and Mental Retardation had the phone number posted on their bulletin board.

142. Roberts first called the number she was given from her counselor’s office.

143. After Roberts got through the automated machine, she was connected to a man

named “Howard James.”

144. Roberts first told “Howard James” her location and asked if she could meet with

an attorney.

145. “Howard James” told Roberts that he would check and see if there were any

attorneys available in her “area.”

146. Roberts was confused by “Howard James’” response and told him that she

thought she had called the “Texas Legal Aid.”

147. “Howard James” told Roberts that “now we have offices all around the country.”


ny-79506830

148. Roberts then asked “Howard James” if he could help her find a lawyer who could

help her in her divorce proceeding. Specifically, she asked him if they had lawyers who handled

divorce proceedings.

149. “Howard James” answered this question affirmatively, but told her that until he

knew more about her case, he could not tell her if she would need a paralegal or a lawyer to

assist in her case.

150. Roberts proceeded to tell “Howard James” about her case, repeatedly asking him

whether he thought that she needed a lawyer.

151. After Roberts finished describing her case, “Howard James” said that he believed

that she would probably require a lawyer but that he could not say for sure until she sent him her

paperwork and the “legal office” looked at her case.

152. “Howard James” also told Roberts that there would be a fee for their services and

that there would “quite possibly” be an additional fee if she required a lawyer.

153. Roberts was extremely confused about why Legal Aid would charge her a fee for

their services and she questioned “Howard James” at length about this.

154. Roberts explained to “Howard James” that she had absolutely no money, had just

been released from the hospital and she was unemployed.

155. She told “Howard James” that she had believed that Legal Aid helped people who

could not afford lawyers.

156. “Howard James” then told Roberts that “Legal Aid works on a lesser fee.”

157. “Howard James” led Roberts to believe that this fee structure was the way that all

legitimate “Legal Aid” organizations work and this was because they needed to cover the cost of

their “help,” including secretaries.


ny-79506831

158. Roberts told him that she would get him the money somehow and “Howard

James” told her that someone would call her within a week.

159. Approximately three days after her initial conversation with “Howard James,”

Roberts received a phone call from a “Chad Hart” who identified himself as someone who

worked with “Howard James” at Legal Aid.

160. Roberts again explained that she needed assistance and again asked “Chad Hart”

why they were charging her a fee for the services.

161. “Chad Hart” told Roberts, as “Howard James” had earlier in the week, that “Legal

Aid” worked on a lesser fee.

162. “Chad Hart” told Roberts that he thought that $450.00 would cover “Legal Aid

starting on the case.”

163. Because “Chad Hart” had told Roberts that he believed she would require a

lawyer’s assistance, Roberts believed that the $450.00 that she was going to send to “Chad Hart”

would secure her the assistance she needed in her case.

164. “Chad Hart” agreed to fax Roberts a contract that she needed to fill out and have

notarized at her mental health counselor’s office. He also gave her an account number to which

she should wire the $450.00.

165. “Chad Hart” asked Roberts to contact him as soon as she found the money and

sent the wire of the fee.

166. Excited at the prospect of getting assistance, Roberts quickly filled out the forms

and asked her counselor to return it to “Chad Hart” on her behalf.

167. Additionally, Roberts wired the “fee” within 48 hours.


ny-79506832

168. Roberts called “Chad Hart” back a few days later in order to get an update on her

case.

169. When she called, “Chad Hart” seemed surprised and asked her if she had sent the

wire.

170. Roberts confirmed that she had and asked “Chad Hart” why the “Legal Aid bank”

would not notify Legal Aid when it received transfers of money.

171. “Chad Hart” told Roberts that “Legal Aid” had so many clients, they could not

track who had sent their fee in and who had not.

172. Once “Chad Hart” confirmed that he had received Roberts’ fee, he told her that he

could not do anything further for her because his job was only to do intakes.

173. “Chad Hart” told Roberts that “Amy Brown,” a paralegal, would be contacting

Roberts once he transferred all of Roberts’ paperwork to the “legal office.”

174. An “Amy Brown” eventually contacted Roberts, but only a few days before the

court date set for May 25, 2007.

175. Roberts expressed her concern about this and “Amy Brown” told Roberts that she

needed to file a “motion to delay” and that “Amy Brown” would send the motion to her.

176. Roberts finally received the “Motion for Continuance” on May 29, 2007.

177. Roberts missed her court date because the papers did not reach her in time and she

was afraid to go to court without any papers or a lawyer.

178. On May 29, 2007, Roberts called “Amy Brown” again and asked what to do.

179. “Amy Brown” told Roberts to take the motion to the courthouse and file it, even

though the date of the court hearing had passed.


ny-79506833

180. Roberts took the motion to the courthouse, where it was rejected for being

submitted late.

181. Terrified that she had lost her chance of an amenable divorce, Roberts called

“Amy Brown” desperate for counsel.

182. Roberts begged “Amy Brown” to send someone to the courthouse to help her.

183. “Amy Brown” told Roberts that she was “99% sure” that if Roberts got a lawyer

she would have to pay “Legal Aid” more money.

184. Dejected, Roberts hung up the phone.

185. Later that month, Roberts sought refuge from an abusive partner in a battered

women’s shelter.

186. The battered women’s shelter had TRLA’s phone number and personal contacts at

TRLA. They recommended that Roberts contact TRLA regarding her legal problems.

187. Roberts is now in touch with TRLA. Nonetheless, because of her financial and

personal difficulties, she was forced to leave her home in Texas and is now residing with her

mother in Pensacola, Florida.

F. Hector Garcia

188. On or about early June of 2007, Hector Garcia (“Garcia”) attempted to find legal

representation in bringing a divorce action against his wife.

189. Garcia first attempted to do everything on his own, believing that he would be

able to do this by using internet sites that advertised themselves as “one stop” divorce assistance

sites.

190. Garcia struggled to understand the complicated websites and decided that he

needed additional assistance from a legal services organization.


ny-79506834

191. Garcia called Information (“411”) and asked for the phone number of “Legal

Aid.”

192. The phone number that Garcia was given by the 411 operator for “Legal Aid” was

“(303) 991-4671.”

193. The area code (303) is a Denver, Colorado area code.

194. Realizing that this was not a local number, Garcia asked to be connected

automatically by the operator.

195. Garcia was first put through the answering service at this number and eventually

spoke with a “Mary Frazier.”

196. Garcia asked “Mary Frazier” if he had correctly dialed “Legal Aid.”

197. When “Mary Frazier” told Garcia that he had called “Legal Aid,” Garcia mused

that he was located in El Paso and was confused why he was directed to a non-local number.

198. “Mary Frazier” told Garcia that “Legal Aid” could handle cases anywhere

because “Legal Aid” was a national organization. She also told Garcia that “Legal Aid” had its

own paralegals and lawyers who would represent him no matter where he was located.

199. After listening to Garcia’s explanation of what he was seeking assistance with,

“Mary Frazier” explained to Garcia that “Legal Aid” could get him his divorce in two or three

weeks. She also said that if the divorce was contested it would cost him $400.00 and if the

divorce was uncontested it would cost him $350.00.

200. Garcia was excited that his divorce would be such a painless process, particularly

since he had struggled to understand the directions on the websites he had initially looked to for

guidance.


ny-79506835

201. After exchanging a number of forms back and forth through facsimile, Garcia

gave “Mary Frazier” authorization to charge his debit card for the preparation of his divorce

papers on July 15, 2007.

202. A few weeks after this, Garcia received the “divorce papers” in the mail and

found multiple mistakes, including typos and misspellings.

203. After calling “Mary Frazier” a number of times to complain, Garcia received what

he was told was a “final” copy of the divorce papers.

204. Garcia attempted to file for divorce with the papers received from LANS, Corp.

205. Unaware that a Custody and Support Order was already entered in his case,

Garcia paid an additional and unnecessary $243.00 to the El Paso County Courthouse as a filing

fee for submission of his incorrectly prepared “divorce papers.”

206. Garcia’s final divorce decree was rejected on October 5, 2007 based on the fact

that his submission was prepared incorrectly.

207. Disheartened, after his court date on October 5, 2007, Garcia approached a peace

officer working in the Courthouse about the decision in his case.

208. After showing this officer his papers, the officer told Garcia that he was sure that

the papers were not prepared by the Legal Aid in El Paso and gave Garcia the correct phone

number for TRLA’s El Paso office so that he could contact them directly.

209. Garcia called the El Paso TRLA office and is being represented by them in his

further proceedings.

G. Michelle Alexander Ervin

210. Michelle Alexander Ervin (“Ervin”) is a lifelong resident of San Antonio, Texas.

211. In 2003, Ervin had a son with Darrell Lynn Jones (“Jones”).


ny-79506836

212. Jones was later convicted of indecency with a child by exposure and required to

register as a sex offender under Chapter 62 of the Texas Code of Criminal Procedure.

213. After a prolonged period of anger and despair over what felt like an

uncontrollable tragedy, Ervin “picked up her life” and moved on.

214. She married Terrell Gene Ervin, who has raised her son as if he were the child’s

biological father.

215. In late August of 2007, Ervin’s husband decided that he would like to formally

and legally adopt her son as his own.

216. Ervin also wanted to change her son’s name to reflect the adoption and to be able

to finally move on with her life both in reality and legally.

217. After looking on the internet to find the correct procedure for an adoption, Ervin

realized that she would require legal assistance with the process.

218. Ervin then looked in the yellow pages and found a local number for “Legal Aid”

in San Antonio.

219. Ervin called this local phone number and spoke with an unknown woman who

told Ervin that “the San Antonio Legal Aid did not do adoptions” but that Ervin could call the

“national Legal Aid” for assistance.

220. The woman then told her to call a toll-free number that would connect her to the

“national Legal Aid.”

221. When Ervin called this toll-free phone number, she spoke with a “Brenda” who

took her basic information and then told her that it would cost $440.00 to complete the adoption

and name change for her son.


ny-79506837

222. “Brenda” also told her that “Legal Aid” had paralegals who would do all the

paperwork for the adoption and name change and all she needed from Ervin was for her to fill

out a questionnaire.

223. Shortly after this call, on September 20, 2007, Ervin authorized the withdrawal of

$300.00 from her account by the LANS Corp. to “get them started.”

224. Once “Brenda” had received the money, “Brenda” put Ervin in touch with a

“Mark” at the LANS Corp., who sent a questionnaire to Ervin for her to fill out.

225. Ervin filled it out almost immediately upon receiving it and sent it back to “Mark”

via facsimile.

226. She was told on various phone calls by both “Mark” and later by a “Chris” that

the paralegals at the LANS Corp. would fill out and prepare all the necessary documents and that

her only responsibility would be to file the papers with the local court. Ervin reassured both

“Mark” and “Chris” that she understood what her role would be.

227. Ervin was also told that after filing the paperwork, she would have to notify

someone at the LANS Corp. within 10 days that she had done so. Ervin also agreed to do this.

228. In or around late September or early October, after hearing nothing from any of

the people that she had spoken with at the LANS Corp., Ervin finally reached “Mark” again.

229. “Mark” guaranteed Ervin that she would receive the proper paperwork for filing

within 30 days.

230. On October 15, 2007, Ervin authorized the LANS Corp. to withdraw the

additional $140.00 from her account believing that, as “Mark” represented to her, there were

paralegals working on her son’s adoption paperwork.


ny-79506838

231. Despite numerous phone calls and messages, Ervin has not spoken to anyone at

the LANS Corp. since she authorized this last payment of $140.00.

232. In fact, during one attempt to reach the LANS Corp., Ervin reached the “Legal

Aid” answering service and was patched through to a live representative. However, the

unknown woman told her that the number she had called was “now a doctor’s office.”

233. Throughout this entire process, Ervin believed that she was speaking with

representatives of TRLA.

H. Isela and Roberto Caldera

234. On or about July 1, 2007, Isela Caldera (“Caldera”) began actively seeking legal

representation for her father, Roberto Caldera, in his attempts to legally adopt his granddaughter.

235. Caldera initiated the attempts to secure legal representation because her father

does not speak any English and was uncomfortable seeking out assistance on his own.

236. Caldera herself is not particularly comfortable speaking English and feels much

more comfortable conversing in Spanish.

237. Caldera found out about “Legal Aid” through her sister, who, years before, had

gotten divorced for free with representation from the El Paso Legal Aid office.

238. Caldera decided to call Legal Aid on her father’s behalf. She first dialed

Information (“411”) to find their phone number. She was given the local El Paso number, 591-

0230 by the 411 operator.

239. When she called this number, she was immediately connected to a voice recording

that referred her to the phone number “1-866-417-7314” and stated that someone would help her

when she called this toll-free phone number.

240. On or about July 2, 2007, Caldera called 1-866-417-7314 and spoke with a

“David Durojave.”


ny-79506839

241. The first question “David Durojave” asked her was where she had gotten the

“Legal Aid” phone number from, which Caldera thought was odd.

242. Additionally, “David Durojave” spoke only English and Caldera was forced to ask

and answer his questions in English.

243. Caldera explained, as best she could, that she had called 411 because she had

wanted to visit the El Paso Legal Aid office and speak with an attorney about her father’s

situation.

244. “David Durojave” told Caldera that the El Paso “Legal Aid” offices were closed

and that “Legal Aid” no longer accepted in-office applications. He told her that instead

everything was now done by facsimile.

245. When Caldera—confused by how this could be true—told “David Durojave” that

her sister had received a divorce through the Legal Aid in El Paso, “David Durojave” said that

Texas “Legal Aid” offices had recently moved to Colorado and the Colorado offices now served

as the “Legal Aid” for Texas and 12 other states.

246. Caldera believed “David Durojave” and so she explained to him that her father

wanted to adopt his granddaughter because her sister had passed away in 2007.

247. Caldera explained that she had a letter from her deceased sister that stated she

wanted to grant guardianship and custody of the child to Roberto Caldera, but that this was not

enough to grant her father full, legal custody.

248. While “David Durojave” did not represent that he was a lawyer, Caldera believed

that he was because she understood him to say that “everyone at legal aid is a lawyer” and that

he would be “in charge” of her father’s case.


ny-79506840

249. “David Durojave” told Caldera that he would send her all of the necessary papers

and that she needed to sign the papers in front of a notary and fax them back to him as soon as

possible.

250. “David Durojave” repeatedly told her that there would be no problem for either

her or her father and guaranteed that he would get custody for her father without either Caldera

or her father physically going to court.

251. “David Durojave” represented to Caldera that he would file the documents for

them.

252. “David Durojave” initially told Caldera that his services would cost $500.00.

253. At this point, Caldera again questioned “David Durojave” because her sister had

received her divorce for free and the entire process had taken less than six months.

254. “David Durojave” told Caldera that “Legal Aid” was no longer free and now there

was a “percentage fee.”

255. “David Durojave” then told Caldera that “Legal Aid” could do the adoption for a

reduced rate of $415.00.

256. Caldera, believing that she had no other option, gave “David Durojave” her check

card number and $415.00 was withdrawn from her account on July 5, 2007 by “Legal Aide

Divorce Ser”

257. On or about July 20, 2007, Caldera received documents from the LANS Corp. to

fill out.

258. On or about August 7, 2007, Caldera sent the completed documents back to the

LANS Corp.


ny-79506841

259. On August 29, 2007, Caldera sent supplemental information, including her sister’s

name, death certificate and statement from her father regarding the unknown whereabouts of his

granddaughter’s biological father, to the LANS Corp.

260. During this time period, Caldera spoke with a “Mark Mead,” a “Michael LNU”

and a “Rhonda Krause.”

261. “David Durojave” assured Caldera that her father’s adoption process should be

complete by early September of 2007.

262. On or about the first Saturday in September, Caldera received a phone call from

“Mark Mead” who told her that he had all the documents and they were going to “take them and

file them.”

263. Caldera asked if her father needed to be there with them and “Mark Mead” said

that her father did not need to be with them and that “Legal Aid” would do everything.

264. Caldera asked “Mark Mead” to fax anything that he filed or received on her behalf

to the notary who had witnessed Caldera signing the initial statements.

265. “Mark Mead” assured her that he would fax her as soon as everything was filed.

266. Since that Saturday, Caldera has not heard from anyone at the LANS Corp. or

anyone else affiliated with “David Durojave,” “Mark Mead,” “Michael LNU” or “Rhonda

Krause.”

267. Caldera has repeatedly checked with her county courthouse and there has been

nothing filed on her behalf or on her father’s behalf.

268. Caldera has attempted to contact all of the people she spoke with at the LANS

Corp. and she has been unable to get through to anyone. She has left messages on the automated

message system and still has received no return phone call.


ny-79506842

269. Caldera has received no completed paperwork or filing directly from the LANS

Corp. or “David Durojave,” “Mark Mead,” “Michael LNU,” or “Rhonda Krause.”

270. Caldera’s father still does not have legal custody over his granddaughter and

TRLA is currently trying to place Caldera’s case with a private attorney.

I. Blanca Duran

271. On or about April 26, 2007, Blanca Duran (“Duran”), called a phone number that

she received from a friend for “Legal Aid.”

272. When Duran called this phone number, the answering machine represented that

she had reached the office of “Legal Aid.”

273. Duran was then connected to a live person, “Michael.”

274. Duran first asked “Michael” about their office in El Paso and was told, brusquely,

that “Legal Aid” did not have an office in El Paso but was located in Colorado.

275. Duran, who speaks limited English, was beginning the divorce process and did not

understand how the process worked in Texas. She was hoping to speak with someone about how

to file for divorce.

276. Duran began asking “Michael” about the divorce process in Texas and he cut her

off and told her that she would be charged money because “Legal Aid” was no longer free.

277. Duran was surprised by this and also asked “Michael” how they would help her in

Texas if they were in Colorado.

278. “Michael” told Duran that they would send a representative to help her if she

required it.

279. “Michael” also told Duran that because there were no children or property

involved in the divorce, her case would be very simple and she probably would not need any

assistance in court.


ny-79506843

280. During this first phone call, Duran gave “Michael” her debit card number and

authorized a charge for legal assistance in her divorce.

281. On May 2, 2007, $399.00 was withdrawn from her account.

282. On May 7, 2007, Duran received a contract and paperwork from the LANS Corp.

and she filled it out and sent it back on or about May 17, 2007.

283. After submitting this paperwork, Duran did not hear from anyone at the LANS

Corp. for quite some time. Duran did not initially worry, because she knew that legal offices are

often extremely busy.

284. However, after a longer period and despite numerous messages and attempts to

speak with someone, Duran’s calls were not answered or returned. Duran became increasingly

nervous that she had “lost her money.”

285. Finally, in mid-August, a “Mark Mead” called Duran and told her that he would

be “taking over her case.” Duran was extremely relieved to hear that someone was still working

on her case.

286. During that conversation “Mark Mead” warned Duran it would take a long time to

process her divorce because she was “out of state.” Duran was so excited to be back in contact

with her “lawyers” that she did not mind that it would take a longer time than she had initially

expected.

287. A few weeks after this conversation, “Mark Mead” called her back to verify her

address and told her that he had completed her divorce papers and would be sending them out for

her to review and sign.

288. During that conversation, “Mark Mead” again represented that he would file the

papers with the appropriate court once she had reviewed and signed them.


ny-79506844

289. Duran has not received any paperwork or spoken to anyone from the LANS Corp.

since this time.

290. Duran has called them repeatedly and left multiple messages, but has not received

any response.

291. In mid-September, a friend of Duran’s told her that the friend’s niece was getting

a divorce through TRLA’s El Paso office.

292. Duran argued with this friend and told her that this was impossible, because she

had been told by “Michael” that “Legal Aid” did not have an El Paso office.

293. The friend—bewildered—gave Duran the El Paso TRLA office’s phone number

and recommended that Duran call them as soon as possible.

294. Duran was extremely upset that she had been lied to by “Legal Aid,” and instead

of calling them, she physically went to the offices intending to try to get her money back.

295. Once in the office, a TRLA representative explained that while she had been

speaking with “Mark Mead” and “Michael,” she had not actually been speaking to anyone from

the TRLA El Paso office.

296. TRLA then conducted an intake for her representation and will most likely be

representing her in her legal proceedings.

J. Gloria Robles

297. Gloria Robles (“Robles”) is a lifelong resident of San Antonio, Texas.

298. Robles wanted to get a divorce from her husband, who she had been separated

from for a long time.

299. In or around mid-May of 2007, Robles called information and when she asked for

the number for “San Antonio Legal Aid,” she was given the number (210) 224-9503.

300. The area code “210” is a San Antonio area code.


ny-79506845

301. Robles was first connected to an “Aubrey” who began asking her questions

immediately.

302. “Aubrey” first asked if Robles had any minor children, then whether there was

any property and finally, whether the divorce was contested or uncontested.

303. Robles explained that she had no children, no substantial property and that the

divorce would be uncontested.

304. “Aubrey” sounded excited and said that because it was uncontested, there would

be no need for Robles to go to court.

305. “Aubrey” also said that “Legal Aid” would have Robles divorced in 45 days and

that the fee would be $750.00.

306. Robles believed that she was speaking with the Legal Aid office in San Antonio

Texas (TRLA) and so willingly accepted this fee, having no reason to believe that “Legal Aid”

would “scam her” out of any money.

307. Robles told “Aubrey” that she would need some time to find the money and that

she would call “Aubrey” back.

308. Robles was unable to borrow the money until late October of 2007.

309. As soon as she borrowed the money from a close friend, she called the “Legal

Aid” number back and was connected to a man who identified himself as “John John.”

310. On or about October 23, 2007, “John John” told Robles that he was sending her

paperwork that she needed to fax back to him and that she needed to wire the fee to him directly,

as soon as possible.

311. Robles told “John John” that she wanted his office’s address because she would

rather bring the money directly to him than to wire it.


ny-79506846

312. Without giving her his address, “John John” told Robles that this was impossible

because “Legal Aid” only handled money via wire transfers.

313. After brushing off her desire to give him the money in person, “John John” told

Robles that as soon as they got the money, he would start preparing her papers.

314. “John John” also told Robles that he would set a court date as a precautionary

measure, but assured her that if her husband signed the papers he prepared, there would be no

need for this court date.

315. Excited at the prospect of having her divorce completed so simply, Robles

attempted to wire money to “John John” on October 25, 2007 in the morning.

316. The teller at the bank was having difficulty sending the wire and so Robles called

“John John” and had him speak directly to the bank teller.

317. After hanging up with “John John,” the bank teller reflected to Robles that she felt

there was something “fishy” about the wire.

318. Robles listened to the bank teller, but that afternoon, she found another bank and

wired $750.00 to “National Document Service Inc.” in Dallas, Texas at Academy Bank.

319. The “Legal Aid” bank address concerned her because she believed that she had

been speaking with someone in San Antonio, Texas throughout the entire process.

320. After wiring the money, Robles waited for “John John” to call her or send her

divorce paperwork.

321. One evening, while watching the local news, Robles saw a piece called

“Scambusters” that talked about an organization with “Legal Aid” in its name that was holding

itself out to be TRLA.

322. After seeing this, Robles became even more concerned.


ny-79506847

323. Robles called a number that referred consumers to government services and was

given the address for the Legal Aid office in San Antonio (TRLA).

324. Shortly after being given TRLA’s address, Robles attempted to call the (210) 224-

9503 phone number and was told that the office was “closed.”

325. Robles never received anything further from “Aubrey” or “John John” or anyone

affiliated with either of them or their organization, although she was told that she would be

contacted to review her papers and sign them.

326. Her husband has not received any papers to sign regarding a divorce.

327. Robles is currently waiting for assignment to a TRLA attorney for representation

in her divorce proceedings.

K. Sandra Orosco

328. On or about mid-November, Sandra Orosco (“Orosco”) was served with divorce

papers by her husband.

329. The papers included a summons for her appearance at a court date on November

21, 2007.

330. Upon service, Orosco’s husband informed her that he would be fighting for

custody of her 11- and 7-year old children.

331. Panicked by the thought that she might lose her children, Orosco called her

mother immediately asking her for help seeking legal assistance.

332. Orosco’s mother found a phone number for what she believed was the San

Antonio Legal Aid office, (210) 224-9503.

333. Upon calling this phone number, Orosco spoke with a man who identified himself

only as “John.”


ny-79506848

334. After Orosco explained her need for legal representation in her divorce and

custody proceedings, “John” assured Orosco that he could “get her divorced” in 20 days for the

“flat rate” of $650.00.

335. Orosco was elated that “Legal Aid” was willing to help her.

336. After speaking with “John” for a short while, he told her that he would send her a

“survey” to fill out and fax back to him.

337. “John” also told her that she needed to wire the $650.00 fee to him as soon as

possible so that he could assign her an attorney and so that she could “meet with her attorney.”

338. “John” also told her that there was a 20-day deadline on her filing response

papers.

339. On or about November 18, 2007, Orosco’s mother wired “John” $650.00 from her

account on Orosco’s behalf.

340. After her mother notified her that the transfer was made, Orosco immediately

called “John” to confirm the payment.

341. “John” told her that a lawyer by the name of “Richard Handelman” was going to

represent her.

342. “John” further represented that “Richard Handelman” would meet with her to go

over all of her necessary paperwork prior to her court date.

343. For the next few days, Orosco faxed “John” and “Richard Handelman” numerous

documents that “John” told her they required to represent her.

344. Concerned that she had not yet heard from “Richard Handelman,” Orosco called

“John” repeatedly, growing increasingly concerned.


ny-79506849

345. “John” made excuses for “Richard Handelman,” saying that he would email

“Richard Handelman” and ask him to call Orosco as soon as possible.

346. Finally, “John” told Orosco that “Richard Handelman” would meet her at court

the morning of her court date, November 21, 2007.

347. Orosco arrived at court early, but was not approached by anyone named “Richard

Handelman.”

348. Eventually, Orosco could not wait any longer and she entered the courtroom

herself and attempted to represent herself.

349. Unclear about how to represent herself, Orosco felt that she failed and was

confused about what the judge was asking her and how he was ruling.

350. Orosco signed the final judgment without understanding what her options were

for contesting or agreeing to its terms.

351. After the court hearing, Orosco called “John” and demanded the return of her

$650.00, since “Richard Handelman” never came to the courthouse.

352. “John” apologized and told her to write a statement and ask for her money back,

formally.

353. Orosco immediately did this and faxed the statement to “John.”

354. After hearing nothing from “John” in regard to her request for a refund, she called

him again and again.

355. Finally, in early December, she reached “John” again.

356. During this call, “John” told Orosco that getting the fee returned to her would

“take time” and that he would have “Richard Handelman” call her directly.


ny-79506850

357. At this point, Orosco could take no more and said to “John” that she believed that

“Legal Aid is a scam.”

358. “John” said “You are hurting my feelings now, Sandra” and proceeded to hang up

on her.

359. This was the last conversation that Orosco had with “John” or anyone affiliated

with the LANS Corp.

360. Still angry and believing that she had been dealing with the San Antonio office of

Legal Aid, Orosco made the decision to go directly to the office.

361. After finding the address of the San Antonio TRLA office, she gathered all of her

documents together, including everything from the initial “survey” that “John” sent to her

through her letter requesting a refund.

362. Orosco went to the San Antonio TRLA office believing that she would finally

meet “John” or “Richard Handelman” and could get her money back directly from them

363. Once she arrived at the TRLA office, she learned that she had not been speaking

with anyone from their office.

364. After speaking with an intake worker at TRLA, Orosco came to understand that

she had been speaking with an organization that was in no way affiliated with what she

understood to be “Texas Legal Aid.”

365. Orosco is now being represented by a private attorney in her family court matters.

L. Inna Carrasco

366. In or around August of 2007, Inna Carrasco (“Carrasco”) called Information

(“411”) to get the phone number for San Antonio Legal Aid.

367. Carasco was given the phone number (210) 224-9503.


ny-79506851

368. Upon calling the phone number, she was immediately transferred to Ext. 700 and

spoke with a “Debby.”

369. Carrasco proceeded to tell “Debby” why she was calling.

370. Carrasco’s son had been involved with a woman who had gotten pregnant. The

woman claimed that Carrasco’s son was the father and was bringing a child support action

against him.

371. Because Carrasco’s son was a minor, Carrasco was acting on his behalf to seek

representation for him in the child support action.

372. Carrasco made it clear that she knew her son was not possibly the father of this

woman’s child and that they wanted a paternity test to show this.

373. “Debby” told Carrasco that this would be “no problem.”

374. “Debby” told Carrasco that she would email Carrasco an intake form for her to fill

out and told her that the paralegal who would be assigned to her case was “Amy Brown.”

375. “Debby” also told Carrasco that it would cost $450.00 to secure representation for

her son.

376. Carrasco was so excited about the ease in which she was seemingly able to get

legal representation for her son that she asked if she could put her ex-husband, who she remains

friendly with, on the phone with “Debby” so that he could speak with her about modifying a

child support order from a previous divorce.

377. Carrasco received the questionnaire from “Debby” at her work email address the

following day.

378. Carrasco promptly filled it out and returned it to “Debby” via facsimile.


ny-79506852

379. Carrasco also sent $450.00 to “Debby” at the end of August 2007, via Legal

PayPal.

380. Shortly after this first transaction, Carrasco sent an additional $450.00 on behalf

of her ex-husband, who also believed that he was going to be represented by “Amy Brown.”

381. Unhappy that she had not yet spoken with an attorney about her son’s case,

Carrasco repeatedly asked both “Debby” and “Amy Brown” to allow her to speak with the

attorney they were working for.

382. Finally, “Debby” put a man named “Ed Brown” on the phone with Carrasco.

383. “Ed Brown” explained that he and “Amy Brown” were part of one organization

that did “certain things” and if she needed an attorney, she should call the “attorney division” at

(866) 565-7188.

384. “Ed Brown” told Carrasco that this division was in Denver, Colorado.

385. Carrasco was growing angry that she still had not spoken to an attorney, which is

what “Debby” had told her that she was paying the $450.00 fee to do.

386. “Debby” also told Carrasco that “Legal Aid” had merged in Denver, Colorado and

did not exist in San Antonio any longer, so Carrasco would have to call the toll-free number to

get in touch with “Legal Aid” attorneys.

387. Finally, Carrasco called the toll-free number that “Ed Brown” had given her.

388. “Ed Brown” had recommended that she ask for a “Mr. White.”

389. However, after calling and speaking with “Mr. White” at the number given to her

by “Ed Brown,” she was given another toll-free number to call by “Mr. White” who

recommended she speak with someone else.


ny-79506853

390. Carrasco did call the number provided by “Mr. White” and eventually she was

connected to a woman who identified herself as “Stephanie Allen” who said she worked for

“Mark Mead.”

391. “Stephanie Allen” put Carrasco on hold and, eventually, “Mark Mead” came back

onto the line to speak with Carrasco.

392. After speaking to him for a few minutes and explaining that she wanted a lawyer

to represent her son in his child support hearing, “Mark Mead” told Carrasco that he would try to

“help her out” and would call her back.

393. Tired of being run around, the following day, Carrasco called “Mark Mead”

again.

394. This time, she again spoke with “Stephanie Allen” who informed her that “Mark

Mead” could not speak with her because it would be a “conflict of interest.”

395. At this point, Carrasco was thoroughly confused and desperate for a lawyer’s

assistance.

396. She called “Debby” again at the local “Legal Aid” and expressed her outrage.

397. Shortly after this call to “Debby,” she received an email from “Amy Brown’s

email account from a “Rita” who claimed to be an attorney, licensed in Texas, who Carrasco

could email with any questions she had.

398. Finally, fed up and concerned that her son would not have an attorney in time for

his court date, Carrasco put a lien on her home and hired her son an attorney for his hearing.

399. The attorney made a motion for a paternity test and the test showed that

Carrasco’s son was not the father of the child.


ny-79506854

400. Carrasco has received no further contact from anyone affiliated with any of the

people she spoke to, including “Mark Mead,” “Stephanie Allen,” “Kendrick White,” “Rita,”

“Debby,” “Ed Brown” or “Amy Brown.”

M. Elvira Rubio

401. On or about early December of 2007, Elvira Rubio (“Rubio”) decided to file for

divorce from her husband.

402. Rubio called Information (“411”) and asked for the phone number for “Legal

Aid.”

403. The operator gave her the local El Paso phone number (915) 629-0644.

404. Upon calling this phone number, Rubio listened to an automated message for

“Legal Aid” that directed her to call a toll-free phone number to reach a live operator.

405. Because it was late, Rubio waited until the following day and then called the toll-

free number that the machine had provided.

406. Initially, an automated machine picked up at this number, as well.

407. The automated machine asked for the caller’s name and “problem.”

408. Rubio, as best she could because Spanish is her first language, described her

desire to get legal representation for a divorce.

409. Eventually, Rubio was put through to someone who identified themselves as

“Michael Harold.”

410. “Michael Harold” spoke Spanish, which made Rubio’s description of her problem

much simpler than it had been for the automated machine.

411. After hearing what Rubio wanted, “Michael Harold” told Rubio that he was a

paralegal and that she would not need an attorney for her divorce.


ny-79506855

412. “Michael Harold” then proceeded to explain the “procedure” she would have to

follow for the divorce.

413. “Michael Harold” told Rubio that all she had to do was sign and fill out a number

of documents and questionnaires with simple answers.

414. Rubio asked if Legal Aid had an office in El Paso that she could go to so that she

could have some assistance filling out the paperwork.

415. “Michael Harold” told her that they did not have an El Paso office, because they

were a nationwide organization and their primary office was in Denver, Colorado.

416. Rubio was confused and asked how someone from Denver, Colorado would come

help her at the courthouse.

417. “Michael Harold” told her that they would “send someone from their legal office”

to help her.

418. “Michael Harold” told her it would cost her $399.00 to get her divorce and that

this fee would could cover his preparation and filing of all the papers necessary for her divorce.

419. Rubio did not have the money and it took her a few days to borrow it from

friends, but she finally got the full amount together.

420. On or about December 17, 2007, as soon as she got the money together, Rubio

attempted to wire the money to “Michael Harold.”

421. This first wire attempt did not go through and a friend who was with her seemed

skeptical about the transaction.

422. She called “Michael Harold” and “Michael Harold” told her that if she absolutely

had to, she could send the money in “BillPay” form to the attention of “Kendrick White” who he

said was their Financial Director.


ny-79506856

423. However, Rubio desperately wanted her divorce to be finalized and so she again

wired the money to “Michael Harold” on December 21, 2007.

424. After calling to confirm that she had sent the money, “Michael Harold” told Rubio

that he would “call her at the end of the week” to go over papers with her.

425. At the end of the week, “Michael Harold” called Rubio and they spent a short

time on the phone while Rubio answered the questionnaire that “Michael Harold” had sent her

the previous week.

426. That weekend, “Michael Harold” told Rubio that she still needed a two page

document.

427. “Michael Harold” told Rubio he would call her from his cell phone, (720) 435-

1434 on Sunday and they would go through these final papers together.

428. Rubio emailed “Michael Harold” on Sunday night after not hearing from him.

429. On Monday, Rubio received a call from “Michael Harold” telling her that his car

was towed and this was why he had been unable to call her.

430. Instead of calling “Michael Harold” back, however, Rubio called the Texas

Attorney General’s Office to ask them a question about her child support calculations.

431. While speaking with someone at the Attorney General’s office, Rubio was told

that she should be cautious about having someone in Colorado prepare her divorce papers since

Texas had specific procedures.

432. After hearing this, Rubio went to the courthouse and spoke with the librarian at

the courthouse about who she should speak with about having her divorce papers prepared in

accordance with Texas procedures.

433. The librarian referred Rubio to TRLA.


ny-79506857

434. After speaking with TRLA, she realized that she had not been dealing with Legal

Aid.

435. Rubio has not yet secured alternate representation in her legal proceedings.

N. Rosario Rodriguez

436. On or about the first week of July 2007, Rosario Rodriguez (“Rodriguez”) began

seeking assistance for her divorce from her husband.

437. Rodriguez first looked in the yellow pages, where she found a phone number for

“Legal Aid.”

438. Rodriguez called the phone number listed, which was (303) 991-5749.

439. Rodriguez first spoke to a woman named “Brenda Duran.”

440. “Brenda Duran” told Rodriguez that if Rodriguez paid $450.00, she could be

divorced within three months.

441. Rodriguez did not have the money, but desperately wanted to start the process of

her divorce and so she asked “Brenda Duran” if she could send the money in two separate

installments.

442. “Brenda Duran” told Rodriguez that this was fine, but that she would need to send

the money via MoneyGram.

443. In their first conversation, “Brenda Duran” told Rodriguez that she would not

need a lawyer because she and “Rhonda Krause” would fill all the paper work out for Rodriguez,

publish a notice for her husband, whose address she did not know, and file any necessary papers

for her, as well.

444. Rodriguez agreed to pay the $450.00 and made two payments, the first was a

MoneyGram for $200.00 on July 10, 2007 to the attention of “Brenda Duran” and the second on


ny-79506858

August 8, 2007 in the form of a credit card payment given to an “Elizabeth” at the same phone

number.

445. Rodriguez’s credit card statement for the second payment was to the “LANS

Corp.”

446. “Brenda Duran” sent Rodriguez a number of documents to fill out and then told

her that she would have to eventually file the divorce papers at the courthouse herself after

having them notarized.

447. Rodriguez was surprised by this because she had believed that “Brenda Duran”

would send someone to file the papers for her.

448. “Brenda Duran” then put her in touch with “Mark Mead” who claimed to be the

Senior Paralegal at Legal Aid.

449. “Mark Mead” again told Rodriguez that she would have to file the papers herself

and that he would send them to her shortly.

450. This was in or around late August or early September.

451. Rodriguez received her “divorce papers’ approximately a week after this

conversation with “Mark Mead.”

452. As he had instructed her to do, Rodriguez brought her “divorce papers” to her

local courthouse, where the clerk immediately told her that her papers were “invalid and

insufficient.”

453. For example, the clerk pointed out, the papers need to include only the County

name, but the papers that Rodriguez had been given had the phrase “County District Court.”


ny-79506859

454. Additionally, the clerk explained to Rodriguez that her divorce filings must be

submitted in a certain order and not all at once, as Rodriguez had been instructed to do by “Mark

Mead.”

455. Finally, as a last example, the clerk explained to Rodriguez that she would require

a waiver of citation if Rodriguez did not know her husband’s address. This was not included in

the documents that “Mark Mead” provided to Rodriguez.

456. The clerk told Rodriguez that she might have been a victim of a fraud and

recommended that Rodriguez see a lawyer.

457. The clerk also gave Rodriguez the phone number of the San Antonio TRLA

office.

458. Upon leaving the courthouse, Rodriguez was infuriated.

459. Before calling TRLA, Rodriguez called “Mark Mead” and told him what had

happened.

460. “Mark Mead” apologized and told Rodriguez that if she sent back the papers with

a note about what was wrong with each section, he would fix any errors and return the papers to

her.

461. Throughout this entire process Rodriguez had been attempting to communicate

with “Mark Mead” in English, which is her second language.

462. Again, not wanting to believe that she had been defrauded, on or about September

5, 2007, Rodriguez sent “Mark Mead” the documents back with, to the best of her knowledge,

comments about what was wrong with them.

463. The facsimile transmission cost her $90.00—money she had to again borrow from

a friend.


ny-79506860

464. On or about September 6, 2007, Rodriguez called “Mark Mead” and asked if he

had received her documentation.

465. “Mark Mead” first had her speak to a “Michael Harold” who could speak Spanish,

so she could explain a little more fully what the errors were in the papers.

466. “Mark Mead” then got back on the phone and told her that he had received her

facsimile and told her that he would contact her as soon as he was finished with the corrections.

467. Despite phone calls and voice messages, September 6, 2007 was the last day that

Rodriguez spoke to “Mark Mead” or anyone else affiliated with the LANS Corp.

FIRST CLAIM FOR RELIEF

(RACKETEER INFLUENCED AND CORRUPT ORGANIZATIONS ACT)

468. Plaintiffs reallege each allegation set forth in Paragraphs 1 through 467, inclusive,

and incorporate them by reference herein.

469. Defendants are “persons” as defined by 18 U.S.C. § 1961(3).

470. Defendants communicated by fax with individual consumers in furtherance of

their fraudulent scheme. These faxes include, but are not limited to; faxes between Blanca

Duran and Legal Aid National Services Inc. on or about April 14, 2007; faxes between Rosario

Rodriguez and The LANS Corp. on or around July 11, 2007; faxes between Rosario Rodriguez

and Legal Aid National Services (Document Preparation Division) on or about July 17, 2007;

faxes between The LANS Corp. and Hector Garcia on or around June 21, 2007; faxes between

The LANS Corp. and Roberto Caldera on or around July 20, 2007, faxes between Paul Robles

and National Document Preparation Services Inc. on or around October 23, 2007; faxes between

Michelle Alexander-Ervin and The LANS Corp. on or around September 19, 2007; various other

fax, email, and internet communications.


ny-79506861

471. Defendants sent these faxes from their offices in Colorado to consumers in

various states including Texas.

472. These faxes were sent by Defendants with the intent to defraud consumers in

violation of 18 U.S.C. § 1343.

473. Defendants received money orders and credit card payments from various

consumers that were fees for the purported services provided by Defendants. These transfers

include, but are not limited to: a wire transfer from Clara Torres to Ed Brown Management, Inc.

of $450 from a friend’s bank account on September 18, 2007; a “MoneyGram express payment”

of $200 from Rosa Rodriguez to The LANS Corp.; a credit card payment of $250 from Rosario

Rodriguez on August 8, 2007 to The LANS Corp.; a wire transfer from Hector Garcia of $350 on

or about June 15, 2007 to Legal Aide Divorce Services; a check card payment to Legal Aide

Divorce Services from Isela Caldera to Legal Aide Divorce Services on July 7, 2007; a wire

transfer from Gloria Robles’ bank account to National Document Service, Inc. on or around

October 2007; credit card payments from Michelle Alexander-Ervin to The LANS Corp. on or

around September 20, 2007 in the amount of $300; various other credit card and money order

payments from defrauded consumers.

474. Defendants received these money orders and credit card payments at their offices

in Colorado from consumers in various states including Texas.

475. Defrauded consumers were instructed (either over the phone or by fax) to send

these money orders to Defendants, and Defendants so instructed consumers and collected the

money sent in these payments with the intent to defraud consumers in violation of 18 U.S.C. §

1343.


ny-79506862

476. Defendants continuing fraudulent scheme uses the internet, faxes, credit card

payments and wire transfers in a consistent pattern intended to defraud consumers.

477. Defendants have worked together to defraud consumers by creating an elaborate

web of aliases and entities by which they could defraud consumers through confusion.

478. Plaintiffs, as well as individual consumers were directly injured by Defendants’

fraudulent scheme.

479. The faxes and various electronic transfers of money were the very basis of the

scheme to defraud consumers because without the faxed forms, which gave the appearance of

legitimacy to Defendants’ schemes, Defendants likely would not have been able effectively

confuse consumers into using their services. Further, the acceptance of money via wire transfers

for services that were never or inadequately rendered induced the defrauded consumers to rely on

the representations that they would be getting legal assistance.

480. The faxes sent by Defendants, as well as the destination addresses and names of

the wire and credit card payments included the names of the various entities, including LANS

Corp., Legal Aid Services, Legal Aid National Paralegal Services, and several others. By faxing

these documents, which included the fraudulent legal aid names, Defendants further confused

and defrauded the consumers.

SECOND CLAIM FOR RELIEF

(FEDERAL TRADEMARK INFRINGEMENT)



482. The above acts by Defendants constitute trademark infringement in violation of

Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a).


ny-79506863

483. Defendants have used words, terms, names, symbols, devices, or combinations

thereof, in interstate commerce, in connection with their so-called services that are or are

confusingly similar to Plaintiffs’ service marks.

484. Defendants’ wrongful acts are likely to cause confusion, mistake, or deception as

to Defendants’ affiliation, connection, or association with Plaintiffs.

485. Defendants’ wrongful acts are likely to confuse and have confused a substantial

number of consumers.

486. Defendants’ actions in violation of Plaintiffs’ marks have been deliberate, willful,

and in complete disregard of Plaintiffs’ rights.

487. Defendants’ use of Plaintiffs’ marks were in the same geographic areas served by

Plaintiffs.

488. As a direct and proximate result of Defendants’ wrongful conduct, Plaintiffs are

likely to be damaged and have been damaged by Defendants’ wrongful acts, and such damage

will continue unless the Court enjoins such acts.

489. Plaintiffs have no adequate remedy at law for Defendants’ continuing violation of

their rights.

THIRD CLAIM FOR RELIEF

(FALSE ADVERTISING UNDER FEDERAL LAW)

490. Plaintiffs reallege each and every allegation set forth in Paragraphs 1 through 489,

inclusive, and incorporate them by reference herein.

491. The above acts by Defendants constitute acts of false advertising in violation of

the Lanham Act, 15 U.S.C. §§ 1125(a)(1)(A) & (B).


ny-79506864

492. Defendants have used and continue to use in advertising and commerce false and

misleading descriptions of fact, or false or misleading representations of fact, concerning their

so-called services.

493. Defendants have misrepresented and continue to misrepresent the nature,

characteristics, and qualities of their so-called services.

494. Defendants’ wrongful acts are likely to deceive and have deceived a substantial


495. Defendants’ wrongful acts are material, in that they are likely to influence the

decisions of consumers and have influenced the decisions of many purchasers of their so-called

services.

496. Defendants’ wrongful acts were made in interstate commerce.

497. Defendants’ actions have been and are deliberate and willful.


likely to be damaged and have been damaged, and such damage will continue unless the Court

enjoins these acts.


their rights.

FOURTH CLAIM FOR RELIEF

(UNFAIR COMPETITION AND FALSE DESIGNATION OF ORIGIN UNDER

FEDERAL LAW)

500. Plaintiffs reallege each and every allegation set forth in Paragraphs 1 through 499,

inclusive, and incorporate them by reference herein.

501. The above acts by Defendants constitute unfair competition and false designation

of origin in violation of Section 43(a) of the Lanham Act, 15 U.S.C. § 1125(a).


ny-79506865

502. Defendants have used false designations of origin in advertising and commerce to

describe the so-called services that they provide.

503. Defendants’ wrongful acts were made in interstate commerce.

504. Defendants’ wrongful acts have misrepresented and continue to misrepresent the

source and nature of the so-called services that they provide in that such use is likely to cause

confusion, mistake, or deception as to the origin, sponsorship, or approval of Defendants’ so-

called services by Plaintiffs.

505. Defendants’ wrongful acts are material, in that they are likely to influence the

decisions of consumers and have influenced the decisions of many purchasers of their so-called

services.

506. Plaintiffs have been and will be deprived of the value of their assets, reputation,

and goodwill represented by Plaintiffs’ use of the Legal Aid mark.



enjoins Defendants’ acts.


their rights.

FIFTH CLAIM FOR RELIEF

(UNFAIR COMPETITION UNDER COLORADO LAW)



510. Plaintiffs’ service names have acquired secondary meaning amongst consumers,

in that they identify Plaintiffs as the unique providers of the services related to the service names.


ny-79506866

511. Plaintiffs have established exclusive use of these distinctive service names in

commerce.

512. The similarity of service names used by Defendants in providing their so-called

services to Plaintiffs’ service names are likely to cause confusion, mistake, or deception as to

Defendants’ affiliation, connection, or association with Plaintiffs.

513. Defendants have palmed off their so-called services as Plaintiffs’ services.

514. Defendants’ acts, practices, and conduct constitute knowing and willful unfair

competition under Colorado common law.

515. As a direct and proximate result of Defendants’ wrongful conduct, Plaintiffs have

been and will be deprived of the value of their assets, reputation, and goodwill.

516. Unless enjoined, Defendants will continue to unfairly compete, to Plaintiffs’

irreparable injury.

SIXTH CLAIM FOR RELIEF

(TEXAS ANTI-DILUTION ACT)



518. The above acts by Defendants constitute injuries to Plaintiffs’ business

reputations, service names, and service marks, in violation of § 16.29 of the Texas Business and

Commercial Code.

519. Plaintiffs have established exclusive use of distinctive service marks in

commerce.

520. Defendants’ wrongful acts are likely to and have tarnished Plaintiffs’ service

names and service marks, and are likely to and have diluted their distinctive qualities, because


ny-79506867

Defendants’ acts in commerce link Plaintiffs to services of shoddy quality and otherwise portray

Plaintiffs in an unwholesome or unsavory context.

521. In that regard, the public has associated the lack of quality and lack of prestige of

Defendants’ so-called services with the services provided by Plaintiffs.

522. Plaintiffs have longstanding and excellent reputations in their communities for

providing low-cost, high quality legal services.

523. Defendants’ wrongful acts are likely to and have tarnished Plaintiffs’ business

reputations because Defendants’ acts in commerce link Plaintiffs to services of shoddy quality

and otherwise portray Plaintiffs in an unwholesome or unsavory context.

524. In that regard, the public has associated the lack of quality and lack of prestige of

Defendants’ so-called services with the services provided by Plaintiffs.




enjoins these acts.

527. Plaintiffs have no adequate remedy at law for Defendants’ continuing violations

of their rights.

SEVENTH CLAIM FOR RELIEF

(TRADEMARK INFRINGEMENT UNDER TEXAS LAW)



529. The above acts by Defendants constitute trademark infringement in violation of

Texas common law.


ny-79506868

530. Defendants have used words, terms, names, symbols, devices, or combinations

thereof, in interstate commerce, in connection with their so-called services that are or are

confusingly similar to Plaintiffs’ service marks.

531. Defendants’ wrongful acts are likely to cause confusion, mistake, or deception as

to Defendants’ affiliation, connection, or association with Plaintiffs.



533. Defendants’ actions in violation of Plaintiffs’ marks have been deliberate, willful,

and in complete disregard of Plaintiffs’ rights.

534. Defendants’ use of Plaintiffs’ marks were in the same geographic areas served by

Plaintiffs.


likely to be damaged and have been damaged by Defendants’ wrongful acts, and such damage

will continue unless the Court enjoins such acts.


their rights.

EIGHTH CLAIM FOR RELIEF

(UNFAIR COMPETITION UNDER TEXAS LAW)



538. The above acts by Defendants constitute unfair competition under Texas common

law in that they misappropriate Plaintiffs’ service names, palm off Defendants’ so-called services

as Plaintiffs’ services, and simulate Plaintiffs’ names, symbols, or devices.


ny-79506869

539. Plaintiffs’ service names have acquired secondary meaning among consumers, in

that they identify Plaintiffs as the unique providers of the services related to the service names.

540. Plaintiffs have established exclusive use of these distinctive service names in

commerce.

541. The similarity of service names used by Defendants in providing their so-called

services to Plaintiffs’ service names are likely to cause confusion, mistake, or deception as to

Defendants’ affiliation, connection, or association with Plaintiffs.

542. Defendants have palmed off their so-called services as Plaintiffs’ services.


number of consumers into believing that Defendants’ so-called services are being provided by

Plaintiffs.

544. Defendants’ simulation of Plaintiffs’ names, symbols, or devices is designed to

deceive and cause consumers to retain Defendants’ so-called services, whereas consumers

otherwise would have retained Plaintiffs’ services.




enjoins these acts.

547. Plaintiffs have no adequate remedy at law for Defendants’ continuing violations

of their rights.

NINTH CLAIM FOR RELIEF

(COLORADO CONSUMER PROTECTION ACT)




ny-79506870

549. By virtue of the acts set forth above, Defendants engaged in deceptive trade

practices in violation of the Colorado Consumer Protection Act, Colo. Rev. Stat. §§ 6-1-101, et

seq.

550. Defendants’ deceptive trade practices include (i) knowingly passing off their

services as those of another; (ii) knowingly making false representations as to the source of their

services; (iii) knowingly making false representations as to their affiliation with another;

(iv) knowingly making false representations as to the characteristics and benefits of their

services; (v) advertising services with the intent not to provide them as advertised;

(vi) employing “bait and switch” advertising, and (vii) engaging in the unauthorized practice of

law.

551. Defendants’ deceptive trade practices occurred in the course of Defendants’

business, vocation and/or occupation.

552. Defendants’ deceptive trade practices significantly impact the public as actual or

potential consumers of Defendants’ services.

553. Defendants’ deceptive trade practices constitute bad faith conduct.

554. Plaintiffs were injured in the course of their business as a result of Defendants’

deceptive trade practices.

555. As a direct and proximate result of Defendants’ actions, Plaintiffs have suffered

damages in an amount to be determined at trial.

556. Under the Colorado Consumer Protection Act, Plaintiffs are entitled to an

injunction.


ny-79506871

TENTH CLAIM FOR RELIEF

(TORTIOUS INTERFERENCE WITH PROSPECTIVE BUSINESS RELATIONS

UNDER COLORADO LAW)



558. Defendants have committed acts designed to induce or otherwise cause current

and prospective clients and others not to continue or enter into an economic or business

relationship with Plaintiffs.

559. Defendants’ conduct intentionally and improperly interferes with Plaintiffs’

economic or business relationships with their current and prospective clients and others.

560. Defendants’ illegal actions have been malicious, willful and wanton.

561. Defendants purposefully committed their acts, realizing that such acts were done

heedlessly and recklessly, without regard to the consequences or to the rights of others,

particularly Plaintiffs.

562. Defendants’ wrongful conduct is continuing and will continue unless restrained by

the Court. Defendants’ wrongful conduct causes Plaintiffs damage because Plaintiffs are

prevented from fully operating and providing their products and services.

563. Plaintiffs rely upon foundation grants, contributions from the local community,

and partnerships with various organizations

564. The loss of goodwill as a result of Defendants’ actions directly effects these

business and economic relationships to Plaintiffs’ detriment.

565. Unless Defendants are enjoined from engaging in their wrongful conduct,

Plaintiffs will continue to suffer immediate and irreparable injury, for which there is not

adequate remedy at law.


ny-79506872



ELEVENTH CLAIM FOR RELIEF

(TORTIOUS INTERFERENCE WITH PROSPECTIVE BUSINESS RELATIONS

UNDER TEXAS LAW)



568. Defendants have engaged in intentional misconduct and unlawful acts with the

conscious desire to prevent the formation of relationships between Plaintiffs and potential or

current clients and others.

569. Defendants engaged in this misconduct maliciously and willfully, with full

knowledge that Plaintiffs would have otherwise entered into a relationship with prospective or

current clients or others.

570. It is reasonably probable, if not certain, that were it not for Defendants’ unlawful

acts, Plaintiffs would have entered into a contractual relationship with their prospective and

current clients and others.

571. Defendants’ wrongful conduct is continuing and will continue unless restrained by

the Court. Defendants’ wrongful conduct causes Plaintiffs actual damage and loss because

Plaintiffs are prevented from fully operating and providing their products and services.

572. Although prohibited from seeking fees, Plaintiffs rely upon foundation grants,

contributions from the local community, and partnerships with various organizations

573. The loss of goodwill as a result of Defendants’ actions directly effects these

business and economic relationships to Plaintiffs’ detriment.


ny-79506873

574. Unless Defendants are enjoined from engaging in their wrongful conduct,

Plaintiffs will continue to suffer immediate and irreparable injury, for which there is not

adequate remedy at law.



TWELFTH CLAIM FOR RELIEF

(UNAUTHORIZED PRACTICE OF LAW UNDER TEXAS LAW)



577. Non-Attorney Defendants are not licensed attorneys in good standing with the

State Bar of Texas.

578. The above acts by Non-Attorney Defendants constitute the unauthorized practice

of law.

579. Plaintiffs are acting to protect the public interest against the unlawful acts of Non-

Attorney Defendants.

580. Plaintiffs are acting to prevent the Non-Attorney Defendants’ unlawful intrusion

into their office.

581. Plaintiffs have no adequate remedy at law for Non-Attorney Defendants’

continuing violation of their rights.

WHEREFORE, Plaintiffs pray for relief as follows:

(a) That the Court preliminarily and permanently enjoin Defendants from all use

of a name that in any way suggests association with a legitimate “Legal Aid” organization;


ny-79506874

(b) That the Court preliminarily and permanently enjoin Defendants from making

false and misleading statements about their services;

(c) That the Court preliminarily and permanently enjoin Non-Attorney Defendants

from falsely holding themselves out as a provider of legal or paralegal services;

(d) That the Court preliminarily and permanently enjoin Non-Attorney Defendants

from advertising under any name in the yellow pages, in on-line telephone directories, or

otherwise that suggests that they provide legal or paralegal services;

(e) That the Court order Non-Attorney Defendants to take all steps necessary to

disable any web site and disconnect any phone number used to solicit consumers for the

provision of legal or paralegal services;

(f) That the Court preliminarily and permanently enjoin Non-Attorney Defendants

from the unauthorized practice of law;

(g) That the Court award Plaintiffs treble damages pursuant to 15 U.S.C. §

1117(b) or 18 U.S.C § 1964(c) or Colo. Rev. Stat. § 6-1-113 or statutory damages pursuant to

15 U.S.C. § 1117(c);

(h) That the Court award Plaintiffs any other remedies to which they may be

entitled, including all remedies provided for in 15 U.S.C. § 1117, 18 U.S.C. § 1964 and under

state statutory and common law;

(i) That the Court award Plaintiffs all other costs and disbursements of this action,

including reasonable attorneys’ fees, pursuant to 15 U.S.C. § 1117(b) and 18 U.S.C. § 1964 and

Colo. Rev Stat. § 6-1-113;

(j) That the Court order Defendants to divest themselves of any interest in the

fraudulent legal aid enterprise pursuant to 18 U.S.C. § 1964(a)


ny-79506875

(k) That the Court award Plaintiffs actual, compensatory, punitive and exemplary

damages suffered by them as a direct result of Defendants’ unlawful conduct in an amount to be

determined at trial; and

(l) That this Court grant Plaintiffs all such other, further, and different relief as the

Court deems just and proper.

JURY DEMAND

Pursuant to Fed. R. Civ. P. 38(b), Plaintiffs hereby demand a trial by a jury on all

issues so triable.


ny-79506876

Dated: February 7, 2008 Respectfully Submitted,

s/J. Alexander Lawrence__________________

Steven M. Kaufmann, Esq.MORRISON & FOERSTER LLP

5200 Republic Plaza370 Seventeenth StreetDenver, Colorado 802o2-5638Telephone: (303) 592-1500Facsimile: (303) 592-1510Email: [email protected]

Nicole K. Serfoss, Esq.MORRISON & FOERSTER LLP

5200 Republic Plaza370 Seventeenth StreetDenver, Colorado 80202-5638Telephone: (303) 592-1500Facsimile: (303) 592-1510Email: [email protected]

Jamie A. LevittMORRISON & FOERSTER LLP

1290 Avenue of the Americas, 41st FloorNew York, NY 10104Telephone: (212) 468-8203Facsimile: (212) 468-7900Email: [email protected]

Joseph Alexander LawrenceMORRISON & FOERSTER LLP

1290 Avenue of the Americas, 41st FloorNew York, NY 10104Telephone: (212) 336-8638Facsimile: (212) 468-7900Email: [email protected]

Attorneys for Plaintiff Texas RioGrande Legal Aid, Inc.


ny-79506877

s/Natalie Hanlon-Leh__________________

Natalie Hanlon-Leh, Esq.FAEGRE & BENSON LLP1700 Lincoln Street, Suite 3200Denver, Colorado 80203Telephone: (303) 607-3500Facsimile: (303) 607-3600Email: [email protected]

Jared B. Briant, Esq.FAEGRE & BENSON LLP1700 Lincoln Street, Suite 3200Denver, Colorado 80203Telephone: (303) 607-3500Facsimile: (303) 607-3600Email: [email protected]

Attorneys for Plaintiff Colorado Legal Services

Plaintiffs’ Addresses:Colorado Legal Services1900 Sherman Street, Suite 400Denver, Colorado 80203-1811

Texas RioGrande Legal Aid300 S. TexasWeslaco, Texas 78596


in the united states district court for the district of...

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