More on the Morgan Drexen & Howard Law Mystery

Recently I answered a reader inquiry from a former Morgan Drexen reader who said their debt settlement account had been taken over by Howard Law. See Is Howard Law Really Involved With Former Morgan Drexen Clients?.

Well further information has surfaced from public court documents that make me wonder even more what is going on. For those not familiar with the Morgan Drexen shutdown, click here.

As I noted in that previous article, Howard Law describes themselves as primarily a employment and labor law focused firm. It is still perplexing why Howard Law would now appear to be so involved in the Morgan Drexen issue.

My previous email request for information sent to Howard Law is still unanswered so all I can rely upon is public information and reader comments to fill in the gaps. I’d love for Howard Law to contact me and provide some clarification why it APPEARS they are making an end run around the court injunction regarding Morgan Drexen clients when a reader and former Morgan Drexen client told me, “Now I’m told that Howard Law is still my attorney and I never knew they were.”

On July 6, 2015 the Court issued clarification on the permanent injunction that put Morgan Drexen out of business. The Court said this injunction applied to attorneys that serviced Morgan Drexen accounts.

“As a result of the fee-sharing arrangement and contractual relationship between the Attorneys and Morgan Drexen, it appears to the Court that the Attorneys were in “active concert or participation with” Morgan Drexen while Morgan Drexen was collecting illegal up-front fees from Affected Consumers. The majority of the Court’s injunction not only binds Morgan Drexen, but also those “in active concert or participation with” Morgan Drexen. Accordingly, because the Attorneys appear to have been in “active concert or participation” with Morgan Drexen and thus fit within one ofRule 65’s categories of non-parties that are bound by a permanent injunction, the majority of the Court’s permanent injunction order applies equally to the Attorneys as it does to Morgan Drexen.”

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So the kicker here is this was determined by a motioned filed with the court by a few law firms. Take a guess who one of them might be?

The firms were Howard Law, Williamson & Howard, The Williamson Law Firm. From that collection of names it’s almost a junior high math problem about the union of two sets.

The permanent injunction that the Court determined applied to the attorneys who filed the motion prohibits them “from collecting any additional fees from Affected Consumers.”

If you want to read the full Court issued document, click here.

If any former Morgan Drexen client has more information to share, hit me up here.

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Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
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