by Ford accuses lawyers of multimillion-dollar fraud
Ford has filed a lawsuit against a group of attorneys who represented clients in “lemon law” cases (consumer protection laws for defective vehicles). The company claims that the lawyers artificially inflated bills, thereby obtaining over $100 million. Among the examples are billing for 57 hours of work in a single day or for simultaneous participation in two courts in different cities.
In the lawsuit filed in the federal court of Los Angeles, Ford accuses nine defendants of systematic fraud. The company believes that the lawyers took advantage of the automaker’s obligation to cover the legal costs of clients who reject faulty vehicles. According to Ford, about half of the submitted bills were falsified.
“These actions by Ford are nothing more than an attempt to intimidate lawyers who are trying to secure justice for consumers,” said representatives of Knight Law Group.
Lawyers deny the allegations
The attorneys mentioned in the lawsuit categorically reject the accusations. Meanwhile, Ford emphasizes that similar schemes could have affected other automakers. The company is seeking damages of at least $300 million.
This case could have serious consequences for the consumer protection system in California. At the same time, it raises questions about the line between protecting clients’ interests and potential abuses by lawyers. Such precedents could lead to a revision of legal cost compensation procedures in the future.
