Law Firm Is Target of First Civil Enforcement Action Filed by New Consumer Agency
Posted Jul 31, 2012 10:40 AM CDT
By Debra Cassens Weiss
A Los Angeles law firm is being targeted by the Consumer Financial Protection Bureau in its first civil enforcement action filed in federal court.
The Gordon Law Firm is accused of charging homeowners upfront fees for loan modifications and then doing little or nothing to assist the clients, according to The BLT: The Blog of Legal Times. The upfront fees ranged from $2,500 to $4,500. The complaint (PDF) was filed July 18 and unsealed on July 23.
The law firm is under a temporary receivership. The CFPB is seeking an injunction and restitution.
The CFPB was in the news earlier this month when it announced a $165 million settlement with Capital One Bank.