The ruling hands an early victory to the CFPB, which said Hanna filed so many lawsuits against consumers that its lawyers couldn’t have verified facts or had any meaningful involvement before the cases were filed.
The Hanna firm collected millions of dollars a year, the agency said, by filing more than 350,000 lawsuits in Georgia alone from 2009 to 2013, even though it had no more than 16 attorneys at the time. One lawyer filed more than 138,000 lawsuits in two years. Many of the firm’s 400 employees work in call centers trying to collect old debts, the agency said.
The Hanna firm has said it strongly denies the CFPB’s allegations and had cooperated with the agency during its investigation.