Colorado's Largest Foreclosure Mill Sues State AG In Effort To Bury Billing Records, Thwart Probe Into Alleged Inflated Fee Racket
In Denver, Colorado, The Denver Post reports:
- Colorado's most prolific foreclosure law firm — led by attorney Larry Castle — is the latest to file a lawsuit and formally ask a Denver judge to protect its records from a state investigation into its billing practices.
The Castle Law Group filed its case late Friday in Denver District Court against Attorney General John Suthers to prevent turning over more than 700 e-mails the firm says are protected by attorney-client privilege.
Castle has asked District Judge Kenneth Laff to review the e-mails and about 52 pages of documents in chambers to determine whether they fall under protection from disclosure.
Suthers' office issued a subpoena to Castle's firm — once known best as Castle, Meinhold, Stawiarski,and then as Castle Stawiarski — in April seeking thousands of pages of documents in its investigation of attorneys' billing practices.
The investigation centers on claims that lawyers representing banks and other lenders pad the expenses they're entitled to recoup, generating profits that investigators say are paid for by homeowners and taxpayers.
Efforts to reach Castle were unsuccessful, and a spokeswoman for Suthers' office refused to comment.
Several law firms have refused to cooperate fully with civil investigative subpoenas Suthers has issued since December, nearly all claiming attorney-client protection. Castle is the second to sue Suthers directly over the request for records that the lawyers say are privileged and protected from disclosure.