[pre-paid legal] is Being Sued

[Crossfire]

[Pre-paid legal service] is accused of using fear mongering tactics to coerce CHL students into signing up for its services.

http://www.thetrace.org/2015/08/texas-l ... n-lawsuit/

[loktite]

Based on what I heard, this does not surprise me.

And thank you for not making me sit through that crap :)

[joe817]

Very interesting article Crossfire. Thanks for posting!

[Crossfire]

This is very timely for us, as we just broke ties with the gun store where we were teaching. They insisted that we had to let [pre-paid legal] make their pitch in our classes in order to use their classroom. We declined. So, we are moving back to the Roanoke Recreation Center, starting with our September class.

[JALLEN]

So what exactly is done when you have an incident?

Selling these services by fear of loss is not exactly novel. Most insurance is sold in exactly that way. If it is insurance, don't the companies and agents need licenses?

It may not be insurance exactly. A number of "services" are cloaked in the mantle of insurance respectability which are actually not insurance at all. The most glaring example is title insurance which is actually a settlement agreement for the company's negligence, negotiated in advance.

Most insurance coverages kick in to alleviate the risk of financial losses. This seems to kick in for criminal exposure. Liability policies almost always exclude intentional acts. This seems to offer protection only for such.

I wasn't exposed to the pitch when I went to class ~2 years ago and have only seen references here and there on this forum.

[mojo84]

JAllen, it's pretty much prepaid legal services for gun and self defense related legal issues. It has generated some significant differences of opinion here on the forum.

[joe817]

And our dear friend cj is up to his usual
Got a screen shot but can't seem to make it work.

Well, you're a big help! Just kidding!

Link? What''d he say? What'd he say?

[ELB]

[Pre-paid legal service] is accused of using fear mongering tactics ...

Well, the article sort of implies that, but that's not the basis for the law suit. [pre-paid legal] is being sued for allegedly paying instructors to bring it customers -- a form of barratry.

But now [pre-paid legal] itself stands accused of “barratry” — an archaic term that covers ...paying to receive clients.

It’s that last proviso that has [pre-paid legal] in hot water: ...for [Pre-paid legal service], who encourages students to sign on to [Pre-paid legal service] at a cost of about $130 a year for ‘peace of mind.'” In return, the suit alleges, [pre-paid legal] pays about 500 facilities that offer CHL courses ...$30 for each of their students that sign up for the company’s legal service.

[joe817]

Great news. I dont think they or any like them should be allowed in any classroom. And shame on any schools that allow them just to get some kick backs!

Ambulance chaser is a perfect analogy

Well put.

[mojo84]

I am glad this is being addressed. As an insurance agent I cannot legally pay an unlicensed person for a referral. Here, you have attorneys paying for essentially what is a referral and the sales pitch implies a quasi-insurance product and legal service that is being sold.

It makes it difficult for those that comply with the law to compete with those that do not.

[rotor]

The issue of course should be whether [pre-paid legal] does or does not provide a needed service to those that decide to sign up for it's services ( I did) and I don't really care if a referral "fee" was given. This seems to be the standard for attorneys on everything and is considered "ethical" whereas for medical caregivers it is grounds for loss of license.

I honestly don't know if [pre-paid legal] service is worthwhile and I hope I never find out. I do consider them as "insurance" even if they technically are not. I also reviewed the NRA insurance offering and I was not impressed. I have received what I consider valuable advice from [pre-paid legal] but again, I hope I never use them.

For those that don't believe this kind of service is needed please tell me what the alternatives are that you would use ( I know NRA ) and retaining a private attorney are possible. Private attorney doesn't mean you won't go broke.

Just realize that anyone can sue anyone. Doesn't mean any wrongdoing is done.

I am not in any way affiliated with [pre-paid legal] except as a paying member.

[suthdj]

This is very timely for us, as we just broke ties with the gun store where we were teaching. They insisted that we had to let [pre-paid legal] make their pitch in our classes in order to use their classroom. We declined. So, we are moving back to the Roanoke Recreation Center, starting with our September class.

Gone full circle, I guess.