NJ Attys Say Suit Is Meant To Discourage Debt Class Actions

Law360, New York (April 18, 2017, 5:13 PM EDT) -- A New Jersey law firm accused of running a “Mafia-style” operation of filing consumer protection class actions primarily to generate attorneys' fees asked a federal judge on Monday for sanctions, arguing that the litigation aims solely to tarnish its reputation and to discourage debtors from fighting predatory collection activities.

Ari H. Marcus and Yitzchak Zelman of Marcus Zelman LLC say the “fatally flawed,” frivolous suit by Collection Solutions Inc. fails to support the plaintiff’s “baseless” claims of civil Racketeer Influenced and Corrupt Organizations Act violations, fraud, negligence and legal malpractice against the Ocean Township firm and two others.

The lawsuit, a...

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