Ford Motor Co. has filed a lawsuit against several California-based law firms and lawyers, accusing them of fraudulently inflating their legal fees by more than $100 million under the state's Lemon Law. The complaint alleges that the defendants submitted falsely inflated timesheets in thousands of consumer protection cases over the past decade, including one instance where a lawyer billed 57.5 hours in a single day. The lawsuit, which invokes the Racketeer Influenced and Corrupt Organizations (RICO) Act, claims that these law firms conspired to overcharge clients and defraud automakers through a complex scheme described by Ford as a “magical mystery tour” of bogus work and time entries designed to evade detection. Ford is seeking $300 million in damages and has identified five Southern California lawyers as masterminds behind the racketeering enterprise spanning hundreds of lemon law cases.
Ford called the alleged improper billings a “magical mystery tour” of bogus work and time entries, spread across thousands of cases against several automakers so they would go undetected. https://t.co/0hua0muIMh https://t.co/6gShhzGQKj
(Billable Hours is Reuters' weekly report on lawyers and money. Please send tips or suggestions to D.Thomas@thomsonreuters.com) https://t.co/bbaOPdPbyZ
RICO billing conspiracy by law firms "hoodwinked" courts, Ford alleges in suit seeking $300 million. https://t.co/H59uLWj2ak