New York law firm Cohen & Slamowitz, which has 14 lawyers on staff, files an estimated 80,000 lawsuits each year, according to a report in the New York Times.
The Woodbury, N.Y. firm files collection lawsuits using computer software to help prepare the cases. The software can generate collection letters, summonses and lawsuits. According to the story, the plaintiffs often are debt buyers that sometimes send their databases of consumers to law firms, that then feed the information into their software programs.
Cohen & Slamowitz also hires outside lawyers to appear in court on a per diem basis and has on staff 30 to 40 paralegals and secretaries, as well as about 60 people collecting debts, firm partner David Cohen said in a 2009 deposition.
Richard Rubin, a New Mexico lawyer who represents consumers in collection cases, criticizes the automated suits as the "factory approach to practicing law." Other critics say the suits are sometimes based on inaccurate or insufficient information, and the huge numbers of cases are straining the court system.
The Federal Trade Commission issued a report on the collection system this week, calling on states to require more information about debts in the lawsuits,
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