The Department of Justice and a reader have recently shared information about UpRight Law and the headwinds they are facing regarding their bankruptcy efforts in representing consumers.
The Department of Justice sent out this press release and I received three PDF documents from recent court actions involving UpRight Law.
The first document is from the United States Bankruptcy Court for the Western District of Louisiana. In the opinion issued on February 2, 2018, Bankruptcy Judge Jeffrey Norman. In this case, a consumer named Lillie Banks stated she was contacted by UpRight Law.
“On December 29, 2015, after discovering UpRight on the internet, Banks called UpRight for the first time. First, Banks spoke to an employee named David, who placed notes from their conversation into UpRight’s computer system. David ultimately routed her to Brian, who is described as a “senior consultant” and is not an attorney. Banks disclosed she had between $15,000 and $18,000 in debt that she could not pay. She told Brian her problems stemmed from a broken $10,000 heating and air conditioning system that Sears refused to fix. She indicated that, given her fixed income, she could not afford to pay Sears. The Court considers Brian a salesperson, as it is obvious he was following a sales script.”
The Judge approved a sanctions agreement between UpRight Law and the United States Trustee. The record also states, “every employment contract for debt relief services between UpRight Law LLC and its clients must contain the original “wet” signatures of both the client and the UpRight Law LLC attorney licensed in the Western District of Louisiana. The attorney who executes that contract shall be designated as the attorney in charge of that case. Further, UpRight Law LLC and its affiliates may not accept a retainer from any client before an employment contract is executed. This order applies with respect to UpRight Law LLC and its affiliates and any of their prospective clients residing in or anticipating filing bankruptcy in the Western District of Louisiana.”
You can read the full opinion here.
Law Solutions Chicago, doing business as UpRight Law, objected to Court actions in Louisiana. They appear to especially object to remarks made by the United States Trustee in this case regarding their efforts to comply. Law Solutions Chicago states, “The Motion to Enforce paints an inaccurate picture of UpRight Law’s good faith and diligent efforts to comply with the Court’s February 6 Order and to negotiate solutions with the UST. The UST uses terms like “mockery” and “chicanery” to describe UpRight Law’s proposals and the steps taken by UpRight Law, when the UST’s counsel knows this is not the case. From the moment the Court entered its Interim Order on January 10, 2018 (the “January 10 Interim Order”) [Dkt. No. 35], counsel for UpRight Law has been in regular contact with counsel for the UST to ensure that UpRight Law was in compliance with that Order. Counsel for UpRight Law also has been in regular contact with counsel for the UST to ensure that UpRight Law is not running afoul of the Court’s Order and Memorandum Opinion on the Acting United States Trustee’s Motion to Disgorge Fees and for Other Appropriate Relief [Dkt. No. 41], dated February 2, 2018, and entered in the docket on February 6, 2018 (the “February 6 Order) [Dkt. No. 41].”
You can read this full document here.
The UpRight Law Sales Play Book
One of the documents I received was from another court case. Apparently, the UpRight Law Sales Play Book had been made part of the public record.
In that case, the Judge stated on February 12, 2018, “Bankruptcy courts have long recognized that Congress sought to enact certain provisions of the Bankruptcy Code so that lawyers would preserve the integrity of the bankruptcy process and not treat bankruptcy matters as “matters of traffic.” See In re Worldwide Direct, 316 B.R. at 646 and cases cited therein (addressing Section 504 of the Bankruptcy Code). The Bankruptcy Code provisions and Rules in play here are part of a larger structure, all of which operate in their own way to support those same goals. The integrity of the bankruptcy process was a distant thought in these cases. The pursuit of the next dollar of compensation was the primary consideration here, by Sperro, LSC/Upright, its organizers, and its local partners.
Do You Have a Question You'd Like Help With? Contact Debt Coach Damon Day. Click here to reach Damon.
Local attorneys joining multi-jurisdictional law firms as local or limited partners cannot be both tall and short. An attorney cannot claim to be a partner in the firm and file cases with the Court as lead counsel, but yet claim no responsibility for what happens in the main office on the files the attorney decides to take. Attorneys considering joining firms with this business model should understand that, in this Court, while an injury might be initiated elsewhere – there is a real possibility the pain is going to be felt at home.”
The primary issue I find with the sales script and guidance has nothing to do with the underlying legal services provided directly by an attorney who signed on for the UpRight Law program.
As always the problems begin because of a sales process and statements made by commissioned salespeople to close deals rather than provide legal services.
For example, in the Banks case above there is a reasonable question if the consumer needed to file bankruptcy or seek assistance with her issue with Sears. Potentially through a local attorney or even with her Attorney General office.
The UpRight Law sales guide starts strong by saying “Treat every client like a millionaire” but then devolves into “Never quit on a buyer. If they are hard no one else will close it. We can close it.”
What appears to be completely missing from the sales guide is guidance and direction about when bankruptcy might be appropriate.
I invite you to read the UpRight Law sales script and provide your feedback in the comments section below regarding any concerns or observations you may have regarding the application of this script to selling legal services.
Upright Law is NOT for the consumer! They are a total scam.