February 25, 2010

Foreclosures may be put off while homeowners scramble for government mortgage relief

The federal government has admitted that homeowners have not been treated fairly under its recent $75 billion mortgage relief program. However, the government may soon implement new policies which could help level the playing field between homeowners and mortgage companies.

The Atlanta Journal Constitution has the story.

One of the largest complaints by home owners is that lenders can continue to foreclose on a home even if a homeowner has enrolled in the relief program. If the new policies go into effect, a mortgage company would be required to halt any legal proceedings as soon as a borrower enrolls. Moreover, if a borrower is rejected from the program, he or she may appeal the decision within 30 days. During those 30 days, a lender would not be able to carry out a foreclosure sale.

At Pate & Brody, we have seen many homeowners who have not been treated fairly by their mortgage companies. When a home owner is not being treated fairly, we can often step in and stop a foreclosure sale from taking place. It may also be appropriate to file suit against the mortgage company to recover damages for the harm caused to the home owner. The amount of recovery in such cases can often be significant.

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February 11, 2010

Brunswick, Ga nursing home cited by health officials for substandard care

The Senior Care Center in Brunswick, Georgia has been cited for serious federal violations. The nursing home, which is owned by Southeast Georgia Health Systems, is one of the largest nursing homes in Brunswick.

Georgia Public Broadcasting has the story.

Georgia’s Department of Health and Human Services found that the Senior Care Center did not address pressure sores and failed to monitor bowel movements. Moreover, investigators found that the Center was managing patient funds without ever receiving permission to do so. The state agency has recommended a fine of $550 per day until the violations have been brought into compliance with federal law.

The 200-bed nursing home was originally shut down by the state in 2007 for safety reasons. Southeast Georgia Health System then bought the nursing home in 2008.

Our personal injury attorneys have been fighting on behalf of abused nursing home patients for years. Georgia law provides nursing home residents with a Bill of Rights that entitles every resident to adequate and appropriate treatment and care. Residents are also entitled to treatment and care that is in compliance with all laws and regulations. When a resident is injured, suffers or dies because a nursing home failed to provide adequate care, the resident or resident’s family may bring a civil suit against the home for damages. By filing a civil suit, an abused resident can often recover a significant sum of money as well as prevent the abuse of future residents.

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February 5, 2010

Toyota Prius brake flaw may expose the company to further liability

Toyota has admitted to braking problems in the Prius after receiving nearly 180 complaints in the US and Japan. This latest admission comes on the heels of a 4.5 million car recall in which the automaker warned consumers that gas pedals may stick on various models.

The Atlanta Journal Constitution has the story.

The design defect within the Prius’ braking system causes the brakes to become unresponsive for a brief period of time. The company noted that when the vehicle moves over an uneven or wet surface there is a lag due to the vehicle switching from hydraulic brakes to electronic brakes.

In the US, the National Highway Traffic Safety Administration has received around 100 complaints so far. Of those complaints, at least two involved accidents with reported injuries. It is unclear how many other crashes and injuries may be related to the Prius’ breaking system.

Prius drivers who believe that they have been injured due to the Prius’ breaking system should know that they may have a product liability claim against Toyota. When a manufacturer creates a defective product and the defect causes an injury, the law generally entitles the injured consumer to money damages for the harm he or she suffered. In many cases, the monetary award can be significant.

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February 2, 2010

Product liability claims may still be viable despite Toyota's fix for dangerous acceleration problem

On Monday, Toyota announced that it had engineered a solution to nearly 4.2 million recalled vehicles that were designed with gas pedals that could potentially stick. While the solution restored some consumer confidence, it comes too late for the drivers that were involved in accidents due to the sticking pedals.

The Atlanta Journal Constitution has the story.

The problem involved excessive friction between two accelerator mechanisms. When the friction reached a certain level, the gas pedal became stuck causing the vehicle to move forward. Toyota's fix is a steel shim that is installed behind the gas pedal.

Consumers who believe that they have been injured due to a sticking gas pedal on their Toyota need to know that they may have certain legal rights. When a consumer is injured due to a defective product, the consumer may bring suit against the manufacturer to recover medical bills as well as pain and suffering. If a death occurs, a claim for wrongful death may be appropriate. In many of these cases, an injured consumer can receive a hefty monetary award. Moreover, product liability suits often force the manufacturer to design a safer product which can cut down on the number of future injuries.

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January 28, 2010

Atlanta lawyers at Pate & Brody file suit against Wells Fargo alleging wrongful foreclosure

Our firm was recently retained to represent a Georgia homeowner who had been threatened with foreclosure by Wells Fargo, even though she had faithfully followed the bank’s repayment plan.

The Marietta Daily Journal featured the story in an article called “American Nightmare.”

Although the client was to be kicked out of her house right before Christmas, Attorney Jennifer Jordan of our firm took immediate action and helped our client keep her home. Based on the actions of Wells Fargo, we also filed a complaint against the company alleging wrongful foreclosure and breach of contract. Among other things, the complaint seeks recovery of damages and attorneys fees.

The case is currently pending in Gwinnett County. No trial date has been set.

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January 26, 2010

Graco of Atlanta recalls 1.5 million baby strollers due to fingertip amputations

Graco Children’s Products has announced a recall of around 1.5 million strollers after five children had their fingertips cut off. The Consumer Product Safety Commission has stated that the main concern centers on the canopy hinge.

In addition to the five amputations, two other children received lacerations on their fingertips. The amputations and cuts occurred when the children placed their fingers in the canopy hinge while the canopy was being closed or opened.

Recalled strollers include various model numbers of the Spree, Alano, Passage, and Travel Systems models which were made between October 2004 and February 2008. The affected strollers were sold between October 2004 and December 2009 at retail stores across the country including Walmart, Target, Sears, Kmart and Toys R Us. Consumers can find manufacturing dates and model numbers above the back wheels on the rear frame.

Graco has released a statement telling consumers to stop using the potentially dangerous strollers and to contact Graco for free hinge covers. Consumers can also visit http://www.cpsc.gov to learn more. Graco is a division of Newell Rubbermaid, an Atlanta based company. A similar recall occurred last November which involved a million Maclaren strollers. Prior to that recall, twelve children received severed fingertips.

Our product liability attorneys represent children and their families who have been injured by dangerous and defective products. It is important for parents and families of children injured by defective products to know that they may be entitled to significant monetary damages. Damages may include medical bills as well as emotional and physical suffering. In order to receive such damages, an injured plaintiff must generally show that the product was defective and that the defect caused the child’s injury.

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January 2, 2010

Georgia trial lawyers win $16.4 million verdict in Jonesboro product liability case

A Jonesboro jury has held Ford liable for $16.4 million due to a Ford Explorer design defect that resulted in a woman’s paralysis. Lawyers for the injured woman were able to successfully convince the jury that her 2002 Ford Explorer’s occupant protection system was defective.

The Atlanta Journal Constitution has the story.

On Christmas morning in 2005, Lynn Wheeler and her husband were on their way to church when their 2002 Ford Explorer was struck head-on by another vehicle. Lynn was wearing a lap-only seat belt at the time of the accident. She sustained grave injuries and is now a quadriplegic.

Attorneys for the Columbus and Atlanta law firm Butler, Wooten & Fryhoffer argued before a Clayton County jury that Ford had created a defective seat belt system which failed to properly restrain Lynn. The jury agreed and returned a 16.4 million verdict against Ford on December 18. The jury also determined that it should award punitive damages since Ford had shown a reckless disregard for safety. However, the parties settled before punitive damages could be awarded.

Our product liability lawyers have also represented clients who have been seriously injured in car accidents due to a defect within a vehicle. Injured consumers should know that Georgia provides powerful laws which give them the right to sue companies involved in the manufacture or sale of a defective product. As in this case, a products liability suit can often result in a substantial monetary award and force the offending company to create safer products in the future. While vehicles are the classic example in a products liability case, a defective product may include virtually anything a manufacturer puts into the market place including lawn equipment, eye glasses and household appliances.

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December 18, 2009

Insurance "bad faith" claims may be on the rise in Georgia

Georgia homeowners affected by recent storms have seen a rise in the number of legitimate insurance claims which have been denied. However, some homeowners have fought back by filing formal complaints with the state and taking legal action against the unscrupulous insurance companies. In the past two years alone, formal complaints filed against insurance companies by homeowners have quadrupled.

The Atlanta Journal Constitution has the story.

The rise in denial of claims has been largely attributed to the number and severity of hail storms which have affected Georgia over the past couple of years. For instance, the first four months of 2009 saw at least 15 major storms. As insurance companies had to pay out more and more on storm claims, they began tightening their belts by adopting stricter standards. This left numerous homeowners with legitimate claims to fend for themselves. In some cases, homeowners were denied while their neighbors were approved for the same type of storm damage.

Yet, homeowners are not without recourse. Homeowners may file a formal complaint with the Georgia Department of Insurance which can often persuade an insurance company to pay a claim it originally denied. Prior to filing a complaint, a homeowner may also ask for a second adjuster or hire a private inspector.

There is also a powerful legal option which customers may utilize to punish the insurance company and attain significant monetary damages. If an insurance company refuses to pay a legitimate claim, the insured may have a legal action for bad faith. A bad faith action simply means the insurance company had no reason to deny a claim.

Our business fraud attorneys have won several cases in which our clients were victimized by insurance companies who simply refused to pay what they owed. In such cases, an insurance company may be liable for damages including significant punitive damages and attorney fees. However, it is important for every insurance customer who has been denied or been given the run-around to contact an attorney as soon as possible, since the statute of limitations can often sneak up on unwary victims of insurance bad faith.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon, Madison and Savannah. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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December 8, 2009

Atlanta lawyers at Pate & Brody file suit against The Real Yellow Pages alleging that the company defrauded a small business customer

Our firm was recently hired to represent the owner of a small heating and air conditioning business after an employee of BellSouth Advertising and Publishing Corporation fraudulently entered him into a contract.

We brought suit against BellSouth Advertising and Publishing (BAPCO) and its employee in October alleging identity fraud and forgery. We hope that this lawsuit will hold BAPCO accountable for any fraudulent practices and act as a stark reminder to corporations that their customers have rights and should be treated fairly.

In our experience, it is not uncommon for large corporations to take advantage of small business owners and individuals through either outright fraud or covering up the tracks of their criminal employees. Georgia law provides defrauded customers with several legal avenues to punish corporations and their employees for unfair practices. Under these laws, a defrauded plaintiff may be entitled to a significant monetary award.

Our client's business was harmed by the fraudulent acts described in our complaint against BAPCO. We hope to be able to help our client recover his damages in this case, and perhaps help deter large businesses from taking advantage of their customers in the future.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon, Madison and Savannah. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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November 7, 2009

Salmonella victims want Georgia peanut producers prosecuted

Victims of Georgia peanut butter contaminated with Salmonella angered over lack of prosecutions

FBI agents raided two peanut butter plants in Blakely, Georgia nearly a year ago after a Salmonella outbreak was linked to the plants’ peanut butter. The outbreak killed nine people and sickened hundreds of others. However, not a single executive of the company, Peanut Corp. of America, has been charged with a crime. The lack of prosecutions has caused a stir among many victims and their families.

The Atlanta Journal Constitution has the story.

The evidence seemed overwhelming. FDA inspectors found mold, a leaky roof and cockroaches at the Blakely plants. Congress also found e-mails written by the company’s top executive, Stewart Parnell, which suggested putting profits above safety even after being aware of the contamination. Specifically, emails from Parnell revealed that he “desperately” needed to turn the peanuts on the floor into money. Parnell also instructed his plant manager to “turn them loose” which referred to peanuts that had tested positive for contamination but were cleared in a second test. When a final lab test revealed salmonella, Parnell voiced great concern to his plant manager over the amount of money that would be lost.

The lack of prosecutions has surprised many. Some have speculated that the delay may be due to the fact that the outbreak has been controlled and the plants closed. The acting U.S. Attorney for the Middle District of Georgia, G.F. Peterman, has refused to comment on the matter. Historically, prosecutors have been hesitant to bring charges in contaminated food cases. In the 2006 tainted spinach scare, prosecutors did not pursue convictions even though three died and 200 were harmed. When prosecutions do occur, companies are typically charged with misdemeanor offenses and receive fines. For instance, Sara Lee Corp. pleaded guilty in 2001 to selling meats contaminated with Listeria which killed 15. The company was fined $200,000 and agreed to hand over $3 million for food safety research. So far Peanut Corp. of America has only suffered a barrage of civil lawsuits.

Our personal injury attorneys have successfully represented several clients who have been harmed due to defective or contaminated products. In our experience, a victim’s best chance for holding a food company accountable for injuries is through a civil suit as many of the victims in this case have done. Georgia law contains several statutes which allow injured consumers to go after companies responsible for contaminated food. From the corporate farmer to the owner of a restaurant or grocery store, Georgia’s laws cast a wide net of liability on those involved in food production, manufacturing and distribution. In addition to food borne illnesses, a consumer may also have a cause of action for food containing unsafe levels of pesticides, foods whose poor quality is concealed, foods that are unfit for human consumption or that have not been handled properly and foods that contain foreign objects. In many of these cases, the consumer can recover substantial monetary damages.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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October 28, 2009

Medicare fraud grows in Georgia and around the nation despite whistleblower laws

Medicare covers more than 46 million Americans who are elderly or disabled and pays out nearly $500 billion annually. However, Medicare fraud costs taxpayers around $60 billion a year and has become what many have described as the most profitable crime in America.

60 Minutes ran a recent story on the issue.

Authorities admit that deceiving the government with false Medicare claims is quite easy. Typically, an offender will attain a list of Medicare patients with their names, social security numbers and birth dates. The offender will then open a phony store front that claims to be a pharmacy, clinic or medical supply store and simply bill Medicare for items and services that never existed.

Under the law, Medicare must pay the claim within 15 to 30 days. Since Medicare only has a few auditors, much of the fraud simply goes undetected. When inspectors are sent to investigate a suspicious claim, they generally do so after the checks have been delivered. By that time, the phony business has usually been abandoned and the offender has moved onto a new phony business. FBI agents say that it’s not unusual for a single fraudster to make $400,000 or more a month.

However, Medicare fraud is not limited to the common fraudster. Doctors have been convicted of Medicare fraud for billing unnecessary prescriptions and procedures. And hospitals have been accused of taking in homeless patients to fill empty beds. Government officials fear the problem will only grow worse as people create new ways to take advantage of the system.

Yet, taxpayers are empowered to stop Medicare fraud through whistleblower laws. Any person who has direct and independent knowledge of Medicare fraud may bring a civil suit on behalf of the government. This is known as a qui tam action. Under federal law, those committing the fraud are liable for each act of fraud between $5,000 and $10,000 and three times the amount of damage that the government sustained. The person who brings the suit is generally entitled to 15 to 30 percent of the amount recovered.

Our whistleblower attorneys have helped several people blow the whistle on government billing fraud and false claims. It is important to understand that Medicare fraud can occur in many different ways including billing for non-existent patients, services that were never performed, giving false information or false certification, kickbacks, upcoding schemes and lack of medical necessity. By blowing the whistle on these practices, a person can help the government put an end to the fraud and attain significant monetary damages.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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October 22, 2009

Savannah lawyer wins fight to extend rights of insurance customers pursuing bad faith settlement claims

On Monday, the Supreme Court of Georgia made it easier for insurance customers to sue their insurance companies when the company has acted in bad faith during settlement negotiations. The Court ruled that an insurer that offers the full amount of its policy in a settlement involving multiple insurers is not automatically immunized from a bad faith claim, because an insurer must still act reasonably in regards to any conditions it attaches to the offer.

A bad faith settlement claim essentially alleges that an insurance company has not fulfilled its duties to its customer, because it wrongfully exposed the customer to a verdict at trial which goes beyond policy coverage instead of settling the case before trial.

In the case before the Court, the plaintiff, Fortner, was injured by the defendant in an auto wreck. The defendant had two insurers: the first, Grange Mutual Casualty, with a policy of $50,000 and the second with a policy of $1,000,000. Fortner offered to settle the case with Grange for $50,000 if the second insurer paid $750,000. Grange responded by offering $50,000 if Fortner would sign a full release with indemnification language and dismiss his claim against the defendant with prejudice. No settlement occurred and Fortner won $7,000,000 at trial. After trial, the defendant assigned Fortner any cause of action he may have against Grange for bad faith in failing to settle.

Fortner sued Grange for bad faith but lost in a jury trial. The instructions the jury received basically stated that an insurer only needs to offer the maximum amount of its policy limits to fulfill its duty to its customer. Fortner’s attorney, Robert B. Turner of the Savannah firm Savage, Turner, Pinson & Karsman, argued the instructions were erroneous, since they didn’t say that Grange had to act reasonably. The Supreme Court agreed. Georgia law requires that an insurance company act reasonably. When a plaintiff makes an offer with a condition beyond the control of an insurer, an insurer can avoid bad faith liability by offering the portion of the demand over which it has control. Grange would have escaped liability if it had responded to Fortner’s offer by offering its policy limits. Instead, Grange put conditions on its offer by demanding that Fortner sign a full release of his claims with indemnification language and dismiss his suit against the defendant. Accepting such an offer would have prevented the $7,000,000 verdict against the defendant. The Court ruled that the settlement conditions were within Grange’s control, and as a result, the jury should be able to decide if the settlement conditions were reasonable.

Our personal injury attorneys have successfully represented clients that were the victims of an insurance company’s bad faith refusal to settle a claim. In our experience, bad faith practices by insurance companies are unfortunately common, and customers must be ever vigilant to ensure that they are not being taken advantage of. While this case highlights and corrects some of the abuses which occurred during settlement negotiations, it is important to understand that insurance customers may also have bad faith claims against their insurance companies for other unfair practices such as refusing to pay benefits that are owed or causing payments to be unreasonably delayed.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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September 28, 2009

Georgia attorney helps injured victims recover for injuries caused when their pharmacy dispensed the wrong drug

Gwen Dalley thought she was taking antibiotics she received from a Loganville CVS pharmacy. After being hospitalized for suffering nausea, headaches, and blurred vision, she discovered that she was really taking an antidepressant improperly dispensed to her by the pharmacy. Her story appears to be a growing trend in Georgia and around the country.

The Atlanta Journal Constitution has the story.

Dalley’s attorney, Trent Speckhals, settled her case confidentially with CVS, and Dalley has also filed a complaint with the Georgia Board of Pharmacy. In another case, an Atlanta woman thought she was taking the allergy drug Allegra when she was actually taking the psychiatric drug Nefazodone. That case also settled.

It is unknown how many consumers are given the wrong prescription drug every year, but studies estimate that around 3 percent of prescriptions dispensed by pharmacies may have harmful errors. In Georgia, it is also unclear how many complaints are filed with the Georgia Board of Pharmacy, since the process is kept secret unless the board votes to publicly reprimand the pharmacist or pharmacy. Furthermore, most reprimands are private letters of concern that never see the public light. When the board does publicly reprimand a pharmacist, it is typically for substance abuse or dispensing narcotics without a valid prescription. However, there have been about 50 public reprimands since 2006 for mistakes in dispensing medication. In those cases, the pharmacist was usually fined $500 by the board.

The most common reason for mistakes is believed to be fatigue. Pharmacists often have to fill hundreds of prescriptions a day. This means that pharmacists often shift the work to their technicians and may not always check the technician’s work as is required. Sadly, the problem is only expected to grow as Georgians use more and more prescription drugs.

This story highlights the unfortunate reality that many pharmacies are not held accountable for prescription errors which cause serious complications such as heart attacks, strokes, disability and even death. Prescription errors can occur when the wrong dosage is given or when a patient receives the incorrect drug.

If a person is injured because they got the wrong prescription drug from their pharmacy, a personal injury attorney may be able to help. In a case like this, the lawyer should conduct a thorough investigation by obtaining and reviewing medical records, researching pharmacy protocol, and retaining medical experts in an effort to hold a pharmacy or pharmacist accountable for any damages the patient sustained.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.


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September 4, 2009

RICO lawsuit alleges that Toyota concealed evidence in products liability cases involving rollovers

A federal racketeering suit has been filed against Toyota for concealing and destroying evidence in hundreds of rollover cases in what has been called a “ruthless conspiracy.” Perhaps most shocking is that the person bringing suit is the former managing counsel for Toyota Motor Sales.

CBS News has the story.

As an attorney for Toyota, Dimitrios Biller defended rollover lawsuits from 2003 to 2007 which involved instability and weak roofs in Toyota’s SUVs and pickups. Biller claims he consistently complained to supervisors about Toyota’s legal misconduct in those cases, and that he was ultimately pushed out the door for voicing his objections.

Biller filed suit in July in federal court in Los Angeles. In the suit, he claims that the motor company withheld evidence of its vehicles’ structural shortcomings. Specifically, he states that the company did not produce emails and electronic information to plaintiffs as is required by law. The lawsuit alleges that in one case a court ordered Toyota to disclose electronic data but that Toyota defied the order. Biller claims he attempted to save the information which included design and test data; however, Toyota destroyed the documents. The destroyed information should have been sent to plaintiffs in over 300 rollover cases.

The suit further alleges that Toyota withheld testing records of its vehicles’ roofs. For instance, Biller claims Toyota failed to produce documents which showed that its internal standard for roof strength was more durable than is required by federal regulations.

Toyota counters that the allegations are “inaccurate and misleading.” It further argues that Biller has violated his ethical obligations to Toyota by violating the attorney-client privilege. A hearing has been set for September 14 to determine if the complaint should be sealed due to privileged and confidential information.

The charges in Biller’s suit are echoed by many product liability lawyers who have dealt with Toyota in the past. If the charges prove to be true, it is possible that hundreds of seriously injured or killed plaintiffs were denied justice.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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August 11, 2009

State Attorney General accuses Wells Fargo of pushing subprime loans on minority lenders

The Illinois Attorney General filed suit against Wells Fargo last week for discriminatory and illegal mortgage lending practices against blacks and Latinos.

CNN.com has the story.

Lisa Madigan, the Attorney General of Illinois, believes that Wells Fargo has turned Latino and African-American communities into hotbeds of subprime lending. She stated that the high foreclosure rates in these communities are a direct consequence of the illegal practices committed by Wells Fargo. Madigan also alleged that white borrowers with equivalent incomes were typically given lower-cost loans.

The lawsuit goes on to complain that Wells Fargo Financial Illinois, a subsidiary, misled borrowers about the terms of their mortgages and misrepresented the pros and cons of refinancing. The suit also claims that Wells Fargo routinely “flipped” loans and confused borrowers with misleading mailings.

Madigan has asked the court to rescind all of the contracts at issue and for Wells Fargo to pay restitution to those who have been afflicted.

Wells Fargo maintains that it practices responsible lending and does not use race as a factor.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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June 4, 2009

Atlanta lawyers at Pate & Brody file lawsuit for victim of identity fraud

This is one of our cases. The complaint was filed last week.

Our clients, a Ringgold, Georgia couple, have filed suit in Floyd County against a fire and water damage repair company for allegedly hiring an illegal immigrant who stole more than $10,000. The couple claims that the employee stole personal and financial information at their home which was then used to withdraw large sums of money.

The Rome News Tribune has the story here.

The couple experienced a fire at their home. Their insurance company contracted with a company called Servpro to clean the Barkers’ home which initially included boxing up the Barkers’ papers and files so that repairs could be made. During this phase of the cleanup, Nora Carillo Barcarel, an employee of Servpro, stole financial records which she then used to steal the Barkers’ identity. In total, Barcarel withdrew around $10,000 from the Barkers’ accounts and opened approximately 60 credit accounts.

Barcarel has pleaded guilty to charges of financial transaction fraud and forgery but still awaits sentencing. She could serve over 130 years in prison. At the time of the plea, Barcarel told the judge that it was common knowledge among illegal immigrants in the area that Servpro would hire workers without any documentation or background checks.

The lawsuit filed by our firm claims that Servpro is vicariously liable for Barcarel’s illegal acts and that Servpro is also liable for negligently hiring and retaining her. Additionally, the lawsuit states that Servpro is liable because it violated federal immigration and hiring laws.

Pate & Brody is an accomplished Georgia law firm with offices in Atlanta, Macon and Madison. Our lawyers are dedicated to pursuing justice for crime victims, people who have been defrauded by deceptive business practices, or injured through the fault of others. Our lawyers have been recognized on the list of Georgia's "Super Lawyers", and included among Georgia's "Legal Elite" by Georgia Trend Magazine.

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December 21, 2008

CPSC issues new enforcement policy to prevent child drain entrapment injuries at public pools

The Consumer Product Safety Commission (CPSC) has issued new guidelines relating to the safety of public pools and spas. These guidelines are an attempt to address the well-known problem of children being entrapped in drains and suffering serious injuries or death.

The guideline can be found on the CPSC's website.

Public pools can be a great summertime diversion for kids and families. That's why it is so important to insure that these facilities are safe and in compliance with federal guidelines. Now that these guidelines are in place, pool operators and owners will likely be held liable if a child becomes entrapped in an unsafe drain at their pool.

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November 21, 2008

Blinds sold at IKEA are being recalled due to strangulation death of child

About 5 million defective Roman blinds were sold by IKEA in the U.S. and global markets. One of the blinds caused the strangulation of a one year old child. The Consumer Product Safety Commission has the recall notice with the relevant details.

This is not the first defective product sold by IKEA. The store recently agreed to a $500,000 fine for failing to properly report defective outdoor candles that had caused at least 12 injuries, ranging from minor to severe burns. Those candles were recalled in 2006.

Retailers like IKEA have a responsibility to insure that the products they sell are safe and in good quality. We hope this fine, and the CPSC recall notices, will help protect consumers from stores that are not as vigilant as they should be.

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November 20, 2008

Golden West Financial investigated for fraudulent mortgage practices

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Golden West Financial, the mortgage lender acquired by Wachovia Bank in 2006, is being investigated by the United States Department of Justice for fraudulent mortgage lending practices. The "preliminary investigation" was reported by the Associated Press and picked up by many news outlets, including Forbes.

The gist of the investigation appears to be allegations that the company engaged in predatory lending practices by misrepresenting the terms of certain loans, falsifying documents and persuading borrowers to obtain loans that were clearly inappropriate for them.

Our firm has been involved in many mortgage fraud investigations. We have represented both victims of fraudulent mortgage practices and those charged with being involved in mortgage fraud, including attorneys, mortgage brokers, real estate agents, appraisers, "straw purchasers," and investors.

These cases can be very complex to prosecute and to defend. If you think you were the victim of fraudulent mortgage practices, or have been charged with a mortgage fraud related offense, you may contact our lawyers for a free initial consultation to discuss your case. We have helped many people caught up in this mortgage mess, and we may be able to help you.

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November 18, 2008

Lean Cuisine recalls some frozen chicken meals because they may contact pieces of hard plastic

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According to the Atlanta Journal Constitution, one reported injury led to the recall of 3 different types of Lean Cuisine frozen chicken dinners. The concern is that there may be small pieces of plastic in the frozen chicken.

These are the products affected by the recall:

•9.5-ounce packages of Lean Cuisine Pesto Chicken With Bow Tie Pasta brand frozen meals. Printed on each side of each package is a production code of “8280595912” as well as a use-by date of “Best Before May 2010.”

•10.5-ounce packages of Lean Cuisine Chicken Mediterranean brand frozen meals. Printed on the side of each package is a production code of “8231595912” or “8241595912” as well as a use-by date of “Best before Sep 2010”; a production code of “8263595912,” “8269595911” or “8274595912,” as well as a use-by date of “Best before Oct 2010”; or a production code of “8291595912” or “8301595912” as well as a use-by date of “Best before Nov. 2010.”

•12.5-ounce packages of Lean Cuisine Chicken Tuscan brand frozen meals. Printed on the side of each package is a production code of “8234595911” and a use-by date of “Best before Sep 2009”; a production code of “8253595911” or “8269595912” as well as a use-by date of “Best before Oct 2009”; or, a production code of “8292595911” or “8296595911” as well as a use-by date of “Best before Nov 2009.”

Each package also bears the USDA mark of inspection as well as the establishment number “EST P-9018.”

As with any recall notice that involves food safety, consumers who have purchased these products need to identify them and contact the manufacturer for a refund. If you think you may have been injured by consuming this product, you should also contact a medical professional for treatment and diagnosis.

You may also wish to consult with a personal injury or defective product attorney to determine if the company has any liability for the injuries sustained by consuming the product. Our firm represents people injured by defective products and contaminated food. We never charge for the initial consultation with one of our personal injury, consumer protection or defective product lawyers.

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October 7, 2008

New federal consumer law may allow more lawsuits for defective products

Congress recently passed legislation to revamp the Consumer Product Safety Commission and help injured consumers recover damages for defective products.

The Washington Business Journal has the story. The legislation is called the Consumer Product Safety Improvement Act of 2008 (H.R. 4040).

Apparently, the law will allow private lawyers and state attorneys general to sue manufacturers who have produced defective and unsafe products. The law also protects whistle blowers who report manufacturing safety violations. An online consumer complaint database will also be set up so consumers will know what products have been reported as altered, defective or unsafe.

This legislation appears to be a good step towards protecting consumers from dangerous products. Recent news reports of defective, altered and unsafe products clearly demonstrate the need for consumer lawyers to have better access to the civil justice system to hold unscrupulous or negligent manufacturers and business liable for their defective products.

Our firm helps people who have been injured by defective or unsafe products and we look forward to using this new law to help our clients recover damages and enforce safety regulations. If you have a product liability claim for a defective product, you may benefit from this new law. If you have any questions, you may contact our firm to discuss the case with one of our trial attorneys.

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October 7, 2008

Atlanta lawyer can proceed with vaccine injury case according to Georgia Supreme Court

On Monday, the Georgia Supreme Court issued an important ruling in a vaccine injury case brought by the parents of Stefan Ferrri. The Georgia Supreme Court held that the 1986 National Childhood Vaccine Injury Compensation Act does not preempt all state law tort claims for injuries that may have been caused by vaccines that were negligently designed.

The Atlanta Journal Constitution has the story.

This decision means that the lawsuit can proceed and, hopefully, the parents' claims will be heard by a Georgia jury. Published reports of a link between vaccines and autism make this decision vitally important to the thousands of Georgia children who received these vaccines.

We are closely following this case and hope it will open the door for other families to recover damages for vaccine injuries that have long been contested by the manufacturers. We think it's time for vaccine manufacturers and big drug companies to stop hiding behind the laws their lobbyists helped pass.

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October 6, 2008

Mortgage fraud claims to be resolved by Bank of America

This week, Bank of America agreed to pay approximately $8 billion to assist over 400,000 people with troubled mortgages. The settlement is the Bank's attempt to resolve claims that Countrywide, recently acquired by the Bank, used deceptive mortgage lending practices.

The Atlanta Journal Constitution has the story.

Eleven states should benefit from the settlement, but Georgia was not one of them. Apparently, the Georgia Attorney General did not participate in the lawsuit.

Regardless, this is a positive step for many people who were victimized by deceptive lending practices and sold mortgages that they could not afford. Perhaps other lenders will follow suit and help homeowners negotiate more favorable mortgages so they can stay in their homes.

Our firm also helps homeowners victimized by the fraudulent sales practices of many over-eager mortgage brokers and lenders. If you believe that you were deceived into applying for a mortgage that you could not afford, you may contact our office to see if you have a claim for fraud against the mortgage broker or lender.

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September 25, 2008

Deceptive sales practices used by banks to get consumers to rack up more credit card debt

It looks like big banks were using aggressive sales tactics to push more credit card debt to consumers. The allegation is coming from people who actually worked for the banks in their credit card departments.

CNN has the story. According to the report, one former bank employee actually called these sales practices "a great big con."

Basically, the former bank employees are alleging that their bosses were getting them to advance money with hidden fees to the people who were already in financial trouble. Many times, large cash advances were used as down payments on homes, a practice that would usually be inconsistent with the borrowers' disclosures on loan applications and therefore fraudulent.

Federal legislation has been proposed to curb the use of such aggressive marketing and to force the banks to disclose teaser and hidden rates more clearly. Unfortunately, the legislation has not stopped card issuers from pushing some unsuspecting consumers to take on more debt than they can afford without understanding the escalating interest rate.

Perhaps the recent credit crisis will put an end to these tactics without the need for legislation. Until then, if you believe you have been trapped into a credit card deal through aggressive marketing or deceptive sales practices, you may contact our firm to discuss your situation with one of our consumer protection attorneys.

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September 10, 2008

Mortgage fraud lawsuit filed by Indiana against Countrywide for deceptive mortgage practices

The lenders are finally getting some heat for their role in the rampant mortgage fraud that has forced many Americans into foreclosure.

Indiana has joined a number of other states in suing Countrywide for deceptive and fraudulent lending practices relating to residential mortgages. Reuters has the story.

Several other states are already pursuing Countrywide, although Georgia is conspicuously absent from the list. The states that have sued are focusing on Countrywide's deceptive and misleading sales practices for residential mortgages. Among other things, the lawsuits allege that Countrywide brokers were knowingly completing false loan documentation to get borrowers approved for loans they simply could not afford.

It will be interesting to see what happens to Countrywide (now owned by Bank of America) as a result of these lawsuits. The State of Washington has already threatened to revoke their lending license.

Our firm has been involved in numerous Georgia mortgage fraud cases. We have seen lenders, brokers and investors push people into deals that were not fair and that they could not afford. Hopefully, these state lawsuits will provide some relief. If not, there is always the option of pursuing the lenders and brokers on an individual basis, if the facts show clear deception.

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