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., 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.
The complaint alleges that after filing these fraudulent suits in federal court, Potter Handy pressures its targets to pay it settlements of upwards of $10,000 each—often from small businesses who cannot afford to hire attorneys to litigate in federal court.
In addition, the complaint says Potter Handy pressures businesses to pay lawsuit settlements of upwards of $10,000 each.The California State Legislature previously amended the Unruh Act to create barriers to filing boilerplate claims like these in state court.
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