Although fraud isn’t new in the mass tort world, it has become more prevalent over the last decade. With more lawyers entering the space, and hedge funds backing firms with increasing frequency, a cottage industry of third-party marketing companies has exploded. While most of these companies are legitimate, others are not. Even the companies considered legitimate can vary widely in how and what they deliver to their clients.

In this blog, we’re breaking down what lawyers need to know about fraud in legal advertising, intake, and lead generation. Learn how to protect your firm while still building a solid pipeline of mass tort cases.

Fraud in Legal Advertising & Intake

As more law firms enter the mass tort space, the competition for qualified cases has intensified. Unfortunately, that’s opened the door for bad actors, both in how cases are sourced and how potential claimants are screened.

This goes well beyond whether a case is compensable. Fraud is showing up in ways that can expose law firms to serious legal and ethical problems:

  • Duplicate sign ups: Potential claimants register with multiple firms for the same injury. This can lead to disputes over fees, questions about representation, and headaches during MDL consolidation.
  • TCPA Violations: The Telephone Consumer Protection Act (TCPA) establishes strict guidelines for telemarketing practices. A firm that uses a lead generator that violates these regulations may face penalties reaching up to $1,500 per violation.
  • Coached leads: Unscrupulous marketing companies are training claimants exactly what to say to qualify, even if it involves fabricating symptoms, product usage, or medical histories. This practice may allow cases to slip through your intake, but they will most often fall apart  under scrutiny.
  • Fake or altered medical records: Fabricated medical documentation not only wastes time and money but also threatens the integrity of the entire litigation.

As Bob Goldwater, Managing Partner of the Goldwater Law Firm, puts it, “It’s inevitable that we’re going to start seeing and hearing about more lawyers being charged criminally… and more firms being sued for TCPA violations. All lawyers interested in our space need to be made aware of this and how to avoid it.”

Need to brush up on common mass tort terms? Check out our must-know guide for attorneys here.

The Lead Acquisition Process: Who’s Behind Your Leads?

Roughly 80-90% of mass tort leads today are being generated by non-lawyer marketing companies. When evaluating case acquisition partners, it’s important to understand the distinct roles of different types of vendors. Cases acquired through different vendors can vary significantly in quality, legitimacy and compensability.

  • Lead Generators: Focus primarily on volume, often using broad advertising to attract potential claimants with minimal vetting.
  • Lead Brokers: Serve as intermediaries, often purchasing leads from various sources and reselling them to law firms.
  • Law Firm Advertising Companies: Typically offer more comprehensive services, overseeing everything from targeted advertising to preliminary qualification, often with greater transparency and compliance with ethical guidelines.

Ideally, the vendor will use an originating law firm to create a bridge between marketing and litigation and provide increased compliance, transparency and  accountability.

Choosing the Right Legal Marketing Partner

The best marketing partners for mass tort acquisition don’t just help you build your pipeline. They also help you avoid costly mistakes. Here are a few things to keep in mind while making a decision:

  • Cost vs Performance-Based: While cost-based models may seem attractive initially, performance-based arrangements can provide better alignment of interests and reduce the risk of receiving low-quality or fraudulent cases.
  • Cherry Picking: Be wary of partners who retain the highest-value cases for themselves or preferred clients while passing along less desirable cases to others. Ask questions about how leads are distributed.
  • Transparency: Maintaining clear communication throughout the entire process from case acquisition to resolution ensures all parties understand case status, challenges, and progress. This prevents the common “black hole” effect where cases disappear into the litigation pipeline without updates.
  • Originating Firm: Working with a marketing partner that has an originating law firm creates alignment from advertising through to litigation.

Broughton Partner’s collaboration with the Goldwater Law Firm as our originating firm establishes clear roles and responsibilities. It also ensures that every aspect of the process is held to rigorous ethical standards, from how advertising is conducted to how clients are retained and transitioned into litigation.

Enter the Mass Tort Space with Broughton Partners

If you’re an attorney considering participation in mass torts, your due diligence in selecting partners for case acquisition has never been more important.

By working with Broughton Partners, law firms gain more clients and build better connections between claimants, litigating firms, and referring firms. With various consumer-facing brands, we reach out to potential claimants across television, radio, social media, and other advertising avenues. Claimants contact our in-house 24/7 call center and are screened for eligibility using criteria created with leading litigators. These pre-qualified retainers are then delivered to your firm without any additional work on your part.

Our process lets attorneys help more people without adding to their workload and gives claimants more power to find necessary legal aid. Ready to learn more? Call us at (844) 206-4644 or complete our online contact form today.