The national personal injury law firm Morgan & Morgan is being sued by Arkansas attorney Jody Shackelford, who alleges that the firm is violating state and federal regulations with its "misleading" ad campaigns, which are approved by its Florida-based founder John Morgan.
Shackelford filed a complaint against Morgan & Morgan in the U.S. District Court for the Eastern District of Arkansas on July 17. According to the complaint, Morgan & Morgan’s "extensive advertising campaigns" have violated both state laws and rules from the Federal Communications Commission (FCC) governing legal advertising. Shackelford said Morgan & Morgan has aired "deceptive" ads that mislead consumers and give Morgan & Morgan an unfair advantage over its competitors. He added that John Morgan, the founder and principal attorney of Morgan & Morgan, "is responsible for approving and authorizing the advertising campaigns."
In 2019, the Federal Trade Commission (FTC) sent letters to seven legal practitioners expressing concerns about some television advertisements attempting to solicit clients for class action lawsuits. According to a press release, these ads included deceptive or misleading information about pharmaceuticals. The FTC said some of these lawsuit ads may misrepresent risks linked to medications and leave viewers with the false impression that their medication has been recalled. In some cases, lawsuit advertisements begin with "sensational warnings or alerts" that may deceive viewers into believing the ad is a government-sanctioned medical alert.
Dr. Ilana Kutinsky testified in front of the House Judiciary Committee about her experience with legal ads’ impact on her patients, according to a transcript of the hearing. She said she has had patients who discontinue taking a prescription after they were "frightened" by a legal ad. "Irresponsible attorney advertising undermines the patient-physician relationship and completely disregards evidence-based medical practices and recommendations from the FDA," she said. Kutinsky shared an example involving one of her patients, an elderly woman with atrial fibrillation at high risk of stroke. After receiving a flier from an attorney warning about internal bleeding risks associated with her blood thinner medication, the patient stopped taking it. Two weeks later, she suffered a stroke, fell into a coma, and died. "This is just one example of something that I experience on a constant basis," Kutinsky said.
Rustin Silverstein, president and founder of X Ante, said attorney advertisements contribute to a larger volume of lawsuits, according to the Travelers Institute. This large volume of litigation leads to higher insurance costs for consumers and higher costs for goods and services. Every American household pays a "tort tax" of $3,600 every year due to excessive litigation costs.
Morgan & Morgan is one of "the most well-known personal injury law firms" in the country and has offices across the United States, according to Medium. The firm is known for reaching billion-dollar settlements.