Shirley Gao from The Center for Public Integrity just posted a look at the activities of Morgan Drexen in the case of retired schoolteacher Mary Linville from West Virginia. Linville had engaged Morgan Drexen to provide her with debt settlement services and wound up sued by one of her creditors. The West Virigina Attorney General later filed suit against Morgan Drexen using the Linville situation.
I covered this case in detail in the story, Details on Mogran Drexen Lawsuit by West Virginia AG. Allegedly Unlicensed, Unfair, and Unrefunding.
“But Morgan Drexen did not deliver the promised services, Linville claims. Instead, the firm took — and kept — about $7,000 from her checking account but never paid a cent to Discover, Bank of America, Lowes and most other creditors, she said.” – Source
Morgan Drexen insists it is “NOT a debt settlement company,” according to the article. “Morgan Drexen provides a platform where attorneys, clients and businesses can reach amicable solutions together. Clients and their attorneys use this platform in a variety of situations including bankruptcy, personal injury and resolution of claims by creditors,” says Raychel Harvey-Jones, vice president of media relations for Morgan Drexen.
In the past year, consumers or state officials have filed suit against Morgan Drexen and similar businesses in at least 10 states, including Colorado, Virginia, Washington, New Jersey , Kansas, Ohio, Michigan, New Hampshire , Illinois and West Virginia . The lawsuits accuse the named companies of charging illegal up-front fees, giving clients little or no contact with an attorney, and failing to settle clients’ debts.
If you are interested in reading the full article, you can find it here, Borrower Nightmares: Small town teacher seeks help for big debt, ends up in bankruptcy.