The True Income
Calculation for the Demirali Law Firm
11/27/04 an article was discovered that
states that they now have 300,000 faxes. The new calculation would
now be $30 MILLION at $100 average settlement per fax.
Demirali told us that they would not file suit unless they
had at least 10 fax's assigned to his law firm against any one fax
Demirali has informed us that they have 7 assigned fax's against MBA
Financial Group Inc. They did not bother to attach the fax's or
assignment's to the complaint. (Wonder Why?, are they hoping to get
more?) In district court the faxes and assignments are considered
"mandatory disclosure". I guess there is something to
be said for how collection attorneys operate.
We are not sure why they sued us with only seven faxes. Perhaps Martino has
something to do with that. Martino stated on the air "I'm
going to sue your ass". Martino has bashed MBA and Finney numerous
times on his radio show stating that MBA and Finney are "scum
bags". He has written an extensive column about MBA on his web
site. View HERE.
Demirali claims to have
over 200,000 faxes. (See Article in
Denver Business Journal) Let's assume that he only
collects an average of $100 per fax. That's $20 MILLION.
($100 is low from what we have been told by many who have settled because
it was more economical to settle for several hundred to a few thousand
than hire an attorney to fight back).
11/27/04 an article was discovered that states
that they now have 300,000 faxes. The new calculation would now be
$30 MILLION at $100 per fax settlement.
This whole thing is similar to a "feeding
operation" run by collection attorneys that have found an easy way to
make a fast buck. (More like Millions of bucks) No wonder they have
told us that the recently dismissed cases will be appealed. They
have a massive amount of money riding on the outcome. Keep in
mind, Demirali is just one of many collection firms that have jumped on
this TCPA bandwagon (Nothing more than "Ambulance Chasers" on
the Fax Highway.)
Many of the parties getting sued will suffer a
default judgment or settle out of court, as they are unable to finance the
legal expenses required to answer the law suit. This is the very
reason these law suits are packaged up in this very calculated fashion.
The calculation above does not take into account
the numerous settlements obtained without going to court. For
example, they send out a letter demanding money prior to filing suit. We have spoken to several people
who have settled after
getting one such letters.
The above cases do not account for any County
Court cases that may be pending.
Next time you need an attorney, why not consider the Demirali Law
for your next Personal Injury case at 1.6% contingency?
Demirali appears to have no concern working for this contingency
arrangement litigating TCPA cases. View
their TCPA assignment. Take note on how
carefully the document has been drafted. It does not state that if
they collect $1,500 that the assignor will get only $25.
This payment structure
raises the legal question of champerty.
(Click on champerty
Demirali called MBA Financial Group's Inc.
attorney just a few days after they thought they had a default judgment,
trying to settle. Demirali was under the impression that
MBA had not filed an answer in a timely manner. As it turns
out they where mistaken as they had a new office person that
overlooked that MBA Financial Group Inc. had filed an answer in
Many are wondering what percentage of the settled
cases Martino may be getting? After all, Martino directed the
majority of assignors to the web site www.FaxWars.com
registered to Martino, from his syndicated daily "Trouble Shooter"
radio show. Tom has a life style to support, Motor
Homes and Airplanes. No Ego Here! What
is Martino doing with airplanes when the FAA does not have a record of a
pilot license for him? He has boasted about being a pilot on his
radio show. Did we overlook something, or is Martino telling a
little white lie?
(See next paragraph written 8/2/2004)
2nd there was an article written by
Paula Moore published in the Denver Business Journal. In that
article Martino claims that funds collected from his crusade go to Tom
Martino Health Center Foundation. Ms. Moore states in her article that these funds go
to charity. Little did I know about Martino's philanthropy
wrote the paragraph above. One would hope that Martino will make
financial records related to his junk fax crusade. This would
allow consumers to see that the majority of his charity contributions are
reaching people in need. Time will tell, after all he certainly has
no problem showing the public everything from his drums to his million
dollar motor coach.
other Fax Litigation firms operated by collection attorneys Ball, Addison,
Quiat and Greenberg (all separate firms) don't funnel the proceeds from
fax litigation to charity. If the public only knew how much money
they are amassing... See the true calculation above.
Bottom Feeders: An article in the March, 2004 American Bar
Association Journal addresses the business/marketing side of the practice
of law in the emerging technological environment. In a side bar to
this article (page 37), Terry Carter details certain unsavory practices
and abuses which have resulted in embarrassments to the legal
profession. The first example cited illustrates a pattern which
bears some resemblance to these TCPA claims, at least in the following
regards: The bases of the claims were technical violations of a
consumer protection statute. There was a "dummy"
corporation founded by the lawyers, which brought the suits. The
victims, typically small businessmen and women, were "shaken
down" for substantial settlements, because the costs of defending
against the claims had a coercive effect upon such Defendants.
lawyers, the Trevor Law Group, have resigned from the practice of law, but
the attorney general of California is suing them to recover the settlement
proceeds, as well as civil penalties. It is not the position of this
editor that the TCPA Plaintiffs, or their lawyers, are engaged in any such
extortion, or "shake down," but I invite the readers of these
pages to read the article, and draw their own conclusions.