Jacoby & Meyers Bankruptcy LLP could be bankrupt due to overwhelming debt. Minerva Studio
Creditors are circling around the ashes of Jacoby & Meyers Bankruptcy LLP, less than two years after its creation. The bankruptcy law firm ended operations in December 2013, but its creditors, including lead generation company LegalZoom.com, are still looking to be paid, according to a petition filed in the US Bankruptcy Court in the Southern District of New York (Manhattan). Jacoby & Meyers Bankruptcy LLC has 21 days to respond to the petition. Should a judge honour the petition, an appointed trustee will have to sell the firms assets.
The firm was formed by a merger between two major consumer law firms, Jacoby & Meyers LLC and Macey Bankruptcy Law PC, becoming Jacoby & Meyers Bankruptcy LLP. The main law firm Jacoby & Meyers continues to operate.
Macey had claimed to be the nation’s largest consumer bankruptcy practice with up to 40,000 clients per year. It is believed that falling consumer bankruptcy filings, which are down by 30 per cent, may be a contributory factor to the collapse of the firm. Source: Business Week