SAN FRANCISCO (CBS SF) — The district attorneys of San Francisco and Los Angeles have filed a joint lawsuit against a law firm that has filed thousands of lawsuits against small businesses alleging violations of the Americans with Disabilities Act (ADA).
The lawsuit filed by San Francisco District Attorney Chesa Boudin and Los Angeles District Attorney George Gascón alleges that law firm Potter Handy LLP files fraudulent, boilerplate lawsuits against the businesses to seek damages and coerce cash settlements from vulnerable business owners.
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Authorities estimate more than 250 businesses in San Francisco, many of them in Chinatown, have been hit with these ADA lawsuits District Attorney Chesa Boudin calls “fraudulent.” The DA’s office says Potter Handy LLP has collected millions, and possibly more than $10 million in settlements.
According to the complaint, Potter Handy files the fraudulent lawsuits regardless of whether there are actual ADA violations at the businesses or whether compliance is “readily achievable” under the ADA.
“After receiving reports last year that hundreds of small businesses had been served with fraudulent lawsuits under the ADA, our office launched an extensive investigation and today we filed a civil case against the law firm that has filed thousands of these unlawful, boilerplate lawsuits,” said Boudin in a prepared statement. “We will hold accountable those who exploit vulnerable business owners, hurt immigrant communities, and subvert...
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