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CA. State Bar Recommends Suspension of License Against Mr. Hedding, Principal of American Law Firm
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On 11/14/11, the State Bar of California recommended to the CA. Supreme Court that Mr. Hedding (principal of American Law Firm) be suspended from the practice of law for two years, be placed on probation for 3 years, and ordered to pay restitution to multiple complainant's including interest dating back to the date contracts were signed with American Law Firm.
The State Bar found, and Mr. Hedding agreed to, committing acts of professional misconduct, violation of sections 6106.3 and 6090.5 (a)(2) of the Business and Professional Code.
The original complaint against American Law Firm claimed violation of Senate Bill 94 that prohibits attorneys, real estate agents, mortgage brokers or anyone who negotiates, attempts to negotiate, arrange, or perform residential loan modifications from collecting an upfront fee. Advance fee is defined as claimed, demanded, charged or collected from an individual before fully completing each and every service contracted to perform and the services shall not be separated into components for the purpose of avoiding the application of this section of SB94. SB94 also requires the approval of marketing materials by a licensing agency when marketing loan modification services. This was not done by American Law Firm.
File a complaint with the Attorney General. Contact them at 1-800-952-5225. Also report them to the FTC as they collect information and put together a class action suit. Contact the FTC at 1-877-382-4357. Also, report them to the California State Bar Loan Modification Task Force at 1-800-843-9053 or www.calfar.ca.gov. Finally, you can request a Mandatory Fee Arbitration from the Orange County Bar Association to try to get your advance fees refunded. Contact them at 949-440-6700 ext. 153
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