Jury Finds in Favor of The CBE Group, Inc. and RGS Financial, Inc. in Their Fraud Suit Against Lexington Law

Last week, a jury found Lexington Law and Progrexion, a related entity, guilty of fraud for its practices of sending mass credit disputes to collection agencies. The CBE Group (CBE) and RGS Financial, Inc., the plaintiffs in this case, alleged that the credit repair organizations sent them large volumes of frivolous dispute letters purported to be from consumers. In reality, the letters all contained an almost-identical signature style and accompanying envelope as disputes received from other consumers.

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CBE and RGS Financial filed their suit against Lexington Law in 2017 in state court, and the defendants removed the case to federal court in September 2017. After two years of litigation, the case came to a head with a jury trial held in late June 2019, ending with closing arguments on July 2, 2019. The jury verdict entered a verdict in favor of CBE and RGS Financial on July 3, 2019.

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