Derin Scott, David Klein and Shannon Scott have asked the court to approve a settlement in the case against World Law, Orion Processing, and others. – Source
The World law operation was one of the national attorney model advance fee operations that eventually collapsed under the weight of it’s violations.
The proposed World Law Settlement seems to just free the Scotts and Klein from the case but leaves others. “The Bureau and Defendants Derin Scott and David Klein (“Settling Defendants”) and Relief Defendant Shannon Scott (“Relief Defendant”) have agreed to entry of this Stipulated Final Judgment and Order (“Order”) by this Court.”
Not only does the crew admit they operated World Law illegally but they also agree to cough up some cash. In fact it’s a big number, $106,813,049.
As a result of this settlement, Derin Scott and David Klein agree to exit the debt relief industry. The exact language says:
“Settling Defendants and their officers, agents, servants, employees, and attorneys, and all other persons in active concert or participation with them who have actual notice of this Order, whether acting directly or indirectly, are permanently restrained from any of the following:
a. Participating in telemarketing or assisting others engaged in telemarketing any Consumer Financial Product or Service;
b. Advertising, marketing, promoting, offering for sale, selling, or providing any Debt Relief Product or Service;
c. Assisting others in advertising, marketing, promoting, offering for sale, selling, or providing any Debt Relief Product or Service; and
d. Receiving any remuneration or other consideration from, holding any ownership interest in, providing services to, or working in any capacity for any person engaged in or assisting others in advertising, marketing, promoting, offering for sale, selling, or providing any Debt Relief Product or Service.”
But That’s Not All…
“Settling Defendants and their successors, assigns, officers, agents, servants, employees, and attorneys, and those persons in active concert or participation with any of them, who receive actual notice of this Order whether acting directly or indirectly, in connection with the advertising, marketing, promotion, offering for sale, sale, or performance of any Consumer Financial Product or Service may not misrepresent, or assist others in misrepresenting, expressly or impliedly:
a. Any aspect of any Consumer Financial Product or Service, including but not limited to, the amount of savings a consumer will receive from purchasing, using, or enrolling in such Consumer Financial Product or Service;
b. The total costs to purchase, receive, or use, or the quantity of any Consumer Financial Product or Service, including that there will be no charge for all or a portion of such service;
c. Any material restriction, limitation, or condition to purchase, receive, or use any Consumer Financial Product or Service;
d. Any aspect of the nature or terms of a refund, cancellation, exchange, or repurchase policy for any Consumer Financial Product or Service, including but not limited to, the likelihood of a consumer obtaining a full or partial refund, or the circumstances in which a full or partial refund will be granted to the consumer;
e. The income, profits, sales, or savings likely to be achieved from any Consumer Financial Product or Service;
f. The terms or rates that are available for any loan or other extension of credit;
g. Any person’s ability to improve or otherwise affect a consumer’s credit record, credit history, or credit rating or ability to obtain credit;
h. That a consumer will receive legal representation or services from an attorney duly licensed to practice law;
i. Any material aspect of the performance, efficacy, nature, or central characteristic of any Consumer Financial Product or Service; and
j. Any other fact material to consumers concerning any Consumer Financial Product or Service.
35. In addition, Settling Defendants, whether acting directly or indirectly, in connection with the advertising, marketing, promotion, offering for sale, or sale of any Consumer Financial Product or Service, are hereby permanently restrained and enjoined from making any representation or assisting others in making any representation, expressly or by implication, about the benefits, performance, or efficacy of any Consumer Financial Product or Service, unless, at the time such representation is made, such Settling Defendant possesses and relies upon competent and reliable evidence that substantiates that the representation is true.
36. In addition, Settling Defendants, whether acting directly or indirectly, are permanently restrained from offering or providing any Consumer Financial Product or Service for which a state license, registration, permit, bonding or other regulatory authority is required, unless such Settling Defendant first obtains such authority.”
Scott and Klein also agree to help the Consumer Financial Protection Bureau (CFPB) to pursue others.
“Settling Defendants must cooperate fully to help the Bureau determine the identity, location and contact information of any Defendant and any person who might have contact information for any Defendant.” – Source
[documentcloud url=”http://www.documentcloud.org/documents/2996972-Proposed-World-Law-Settlement.html” sidebar=false text=false]
As part of the settlement a number of toys are losing their titles>
i. 2007 Cadillac Escalade SUV;
ii. 2007 Mercedes Benz S600;
iii. 1995 Range Rover County LWB SUV
iv. 2007 MB Sport B52 boat;
v. 1999 Malibu LX boat;
vi. Pair of 2007 Polaris Vintage Jet Skis;
vii. Polaris 4-Wheeler;
viii. 2004 Kawasaki KDX Motorcross Bike;
ix. 2004 Kawasaki KX60 Motorcross Bike;
x. 2006 Honda CFR Motorcross Bike;
xi. 2012 Husqvarna Zero turn Lawn Mower;
xii. 4 2012 mini ATVs;
xiii. Triathalon racing bicycles; and
d. The building located at 9011 Mountain Ridge Drive, Austin, Texas and any personal property inside the building.
So rather than get the full $108 million the CFPB is instead taking the money out of all the identified bank accounts and the stuff listed above.
This settlement will then allow the lifting of the asset freeze and I suspect allow the settling defendants access to some cash to live on.
But it appears the hunt is still on for Bradley Haskins and others who participated in this mess.
The settlement is just waiting to be signed by a judge.
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