Attorney Jody Shackelford is suing the national personal injury firm Morgan & Morgan, alleging that the firm is violating the Federal Communications Commission’s (FCC) rules prohibiting unfair and deceptive advertising.
On July 17, Shackelford filed a complaint against Morgan & Morgan in the U.S. District Court for the Eastern District of Arkansas. According to the complaint, Shackelford said Morgan & Morgan has violated both FCC rules and state laws pertaining to the broadcasting of false, misleading, unfair, and deceptive advertising through its "extensive advertising campaigns."
Morgan & Morgan has "misled" plaintiffs, harming other law firms by drawing in clients who believe Morgan & Morgan offers "superior" services, Shackelford said. The firm has also gained "an unfair advantage by violating advertising rules that Plaintiff adheres to." Shackelford added that John Morgan, the founder and principal attorney of Morgan & Morgan, "is responsible for approving and authorizing the advertising campaigns."
According to a report from the American Tort Reform Association (ATRA), Morgan & Morgan spent $14,758,223 on legal services advertisements in California last year, resulting in approximately 128,818 ads. The report noted that "Doomsday" ads making claims about dangers associated with medications or medical devices can have adverse effects on patients. In some cases, consumers might see an ad about a medication they have been prescribed but then stop taking it without consulting their healthcare provider, which can lead to health problems.
ATRA President Sherman "Tiger" Joyce said large advertising campaigns ultimately help law firms make more money. "Trial lawyers continue to pump significant money into these ad buys because, armed with more clients, they can boost settlements and payouts, ultimately raking in larger contingency fees for themselves," Joyce said. He added that these ad campaigns contribute to a large volume of litigation, which costs California businesses and consumers money. Each Californian pays an extra "tax" of almost $2,300 every year due to the costs associated with excessive litigation.
John Morgan has a net worth of approximately $690 million according to a report from Sgxnifty.
Morgan & Morgan is a national personal injury law firm with more than 1,000 attorneys in offices throughout the country. Their practice areas include car and truck accidents, medical malpractice, and wrongful deaths.