Attorney Jody Shackelford filed a lawsuit on July 17 against the national personal injury law firm Morgan & Morgan over the firm’s advertising campaigns, alleging that the ads have misled consumers.
According to Shackelford, Morgan & Morgan’s ad campaigns violate state law and Federal Communications Commission (FCC) rules. The complaint, filed in the U.S. District Court for the Eastern District of Arkansas, states that Morgan & Morgan’s ad campaigns have included “unfair trade practices, deceptive trade practices, and false or misleading advertising.” Shackelford said, “These practices cause substantial injury to consumers and competitors, including Plaintiff, by misleading consumers and diverting business from law firms that comply with ethical advertising standards.”
In Nevada, Morgan & Morgan spent an estimated $10,057,858 on approximately 79,999 ads in 2023. According to a report from the American Tort Reform Association (ATRA), “over-the-top advertisements from personal injury attorneys” can pose “a serious danger to the public.” ATRA stated that consumers may be misled into believing a medication they have been prescribed is unsafe and stop taking it without consulting their physician, potentially resulting in adverse health effects.
Attorney ad campaigns fuel a large volume of tort litigation, which raises costs for Nevada businesses and residents. According to a press release from ATRA, every Nevadan pays an extra “tax” of more than $1,100 annually due to the costs associated with excessive tort litigation. Additionally, Nevada loses more than 31,000 jobs each year due to those costs.
John Morgan founded Morgan & Morgan in 1988. According to Ryan Hughes Law, the firm typically charges a contingency fee between 33% and 40% for its services. This means that if a client takes a $100,000 settlement, Morgan & Morgan will take $33,000 to $40,000. The firm specializes in personal injury cases such as vehicle accidents, medical malpractice, and product liability.
