Monday, April 19, 2010

Bad Goldberg

Our old friend Randolph Goldberg is back in hot water; he's being sanctioned, yet again, by U.S. Bankruptcy Judge Bruce A. Markell.

This time the allegation is that Goldberg (or a member of his staff) impersonated clients and completed an online credit counseling program on their behalf. Goldberg then filed a Chapter 13 petition for the clients, attaching the "forged" certificates as proof of their completion of the program.

BAM did not take kindly to these antics; the judge has referred Goldberg's case to the U.S. attorney for possible criminal prosecution for forgery, and to the State Bar for a stern talking to and the possibility of wrist-slappery.

The State Bar has ten complaints currently pending against Randy G. His response to JAM's request for comment appears to be consistent with his level of legal prowess:
Asked for comment for this column, Goldberg, in five rambling e-mails, wrote he might appeal Markell's ruling, calling it "biased and with no fact but his gut and hatred for me."
(LVRJ - Jane Ann Morrison; Thanks Tipsters!)

34 comments:

  1. One problem with retail BK work is that the clients are significantly less sophisticated and far more desperate than the average PC.

    Another problem is that the average BK client truly lacks the intelligence to appreciate good work. It's all the same to them. They can't distinguish between good and bad work, except maybe if they are suddenly homeless after being reassured they could keep the house.

    So, as an attorney, the incentives to be really good are low and the benefits for being good are even lower. It's perfect for a high volume BKpuppy mill. I have put 20hours plus into 7's to save client's business, boat, vacation property, nonqualified retirement account etc, all within the rules, only to have clients moan and cry about $2k net fees. Are you f'ing kidding me? Meanwhile, other 7's where I put maybe four hours tops pay the same $2k without a wimper. To whom would anyone in their right mind cater??

    Of course, I write this even as my paralegal is starting on yet another potential 20 hour case at $1,500. Some are born suckers. I'll never drive a Maserati, that's for sure. And I will never cast a stone at Maserati-driving puppymill guys becuase, let's face it, that's what the market demands.

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  2. Nice analysis - it's the same story in low-end PI.

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  3. 10:37AM--spot on....

    It certainly doesn't help that 7's and 13's are essentially what my high school math teacher called alegbra problems: "plug and chug", meaning a paralegal just plugs all the info into the computer program and presto a bk petition is at the ready. So you are totally correct, it is hard to see good work vs. bad work, especially since most 7's are not challenged by any creditors, makes it easy to slide average work by.

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  4. Yeah, but there's bad work, and then there's submitting forged signatures to a judge.

    Maybe, I can't judge the maserati-driving puppymill guy (I love that phrase, btw), but I can judge the forger. And I do.

    Submitting forged documents to the court should be a mimimum five year suspension. And a flogging.

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  5. Anyone know how the openings went in Eglet's endoscopy case this morning?

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  6. "I forge signatures, THAT'S WHAT I DO!"

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  7. Amen 10:37.

    Goldberg is a victim of his own success, trying to handle that volume of cases must be complete insanity. Most attorneys would have a gun in their temple before dealing with that many debtors. Frankly, I don't believe the clients' story - I suspect there was a request by the client to get it done for them. I do some BK work and have been asked several times if my staff will just do the class for them (I always refuse).

    Also, what other lawyers don't appreciate is that the BK court has a perversely low expectation of fees. The article writes about "$307/hr" fee as if he were Bernie Madoff. I was taking civil cases at $300 and even $400/hr my second year out of law school (alas, the halcyon days before the crash).

    Now in BK cases anything over $200/hr is considered steep. Like 10:37, for every 2-4 hour bankruptcy case I "make" money on, it seems I have a reciprocal 5-7 hour case I burn money on.

    The only consolation that is due to the down economy a 2002 Maserati Coupe can be had all day long for about $26k.

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  8. 12:18pm here...good statement 2:22pm...

    I have no sympathy for the "G-Man" to have that many cases is truly just nuts, but especially if there is not the proper structure. Even if there is the right structure, that is a lot of crazy debtors for sure. I too agree that the clients probably requested him to do the class. Debtors get very cranky and will ask crazy things that you after to continually say no to.

    I am going to have read the opinion to get more on the background of this case but I wonder if Goldberg failed to file the BK until after the home was foreclosed. If anyone has the opinion or a link let me know...

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  9. I frankly cannot believe some of these posts. Trying to justify sloppy work is disgusting. Do you have no pride in what you do? Can't make money doing plug and play 7's ? DO SOMETHING ELSE. The BK courts don't allow fees over 200 an hour b/c they (more than most) understand that simple repetitive tasks do not deserve even that rate. Goldberg is a scumbag. He will proudly tell you he is a "teflon" atty b/c none of the many charges against him have yet to stick.

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  10. 7:46, do you practice bankruptcy law? I think what you're missing about the "can't make money" with ch7 cases is that to make money you have to systematize it and process as many as possible. I'm not talking huge money, I mean at least Mirage Valet money.

    Why? Well, you can't charge what your actual attorney time would be worth, because the court suppresses the fees. I've had the court adjust my modest fees twice this year forcing the client's case into "Complete Loss" zone financially. They say, "Counsel you should only charge $300 for this motion." When the court doesn't appreciate that the client has been in your office for 6 face-to-face meetings, calls three times a week, and gave the wrong documentation twice. You draft the motion, revise it then at the hearing you're case #103 on the calendar call (this is not a joke, they really calendar into the hundreds). The court ultimately forces the reliance on paralegals because after that happens a few times you need to pay someone cheaper than yourself to prepare the case.

    Then you pay your paralegal(s), advertising, rent, Westlaw, phones, insurance, utilities, etc. and before you know it all those "plug and play" Ch7 cases net you $30/hr into your pocket to take home. LIVING THE DREAM!

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  11. This discussion reminds me of Jerry Maguire's Mission Statement:

    "But as I sit here in the darkness of this hotel I room, the answer to the future is rather obvious. If the tapdancing becomes less constant, less furious, less necessary, what will the result be? The result will be more honesty, more focus, fewer clients, but eventually the revenues will be the same. Because the new day of honesty will create a machine more personalized, more truthful, and the client that wasn't bullshitted this year, has a greater chance of greatness next year."

    Sounds good in theory, but the problem is in the execution, "rubber hits the road," practical application of it...

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  12. There are plenty of high volume BK firms here in the valley that do not stoop to the level of repeatedly re-filing cases, forging documents and charging people 6k+ for a 13bk. Maybe this guy earned what BAM is baout to do to him. Maybe randolph goldberg should change his firm to halfasslawyers.com

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  13. Bankruptcy court docs are e-filed, most signatures are "e-signatures" which are just typewritten. Does the decision say if it was a pen-and-ink signature or is it a "forged" e-sig?

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  14. Half Ass Lawyers is already taken... Oh wait, I think they call themselves Half Price Lawyers. My Bad.

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  15. Click this link....if you wanna see a funny...

    http://HalfAssLawyers.com

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  16. Re: 11:20 and 11:34 (obviously the same scrub)

    How convenient. Looks like wildwildlaw started it's vacation the same day the domain name "halfasslawyers.com" was registered. The registry info was a good read. Very telling! I wish I had enough free time on my hands to create websites knocking money making firms.

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  17. Whoa, Awand received 4 years for taxes?!

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  18. Half Ass Lawyers must be reading this website..

    http://HalfAssLawyers.com

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  19. The whole point of this post is knocking a money making firm because the way he does business is unethical. Kind of like advertising as Half anything.

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  20. at 5:01: No, the whole point of this post is to knock a firm that did something illegal, i.e. forgery. Offering lower prices than anyone else in a crappy economy is smart business practice, not unethical. Just because a firm offers lower prices doesn't make them a mill or make the lawyers less competent. Some of the highest priced firms in town have the worst work product in my experience.

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  21. Uh oh, things are turning nasty, time for some kittens.

    Peace out.

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  22. 4/20 @ 1:28 = Adam Stokes

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  23. @10:21 AM.

    I continuously find entertainment in the fact that Richard Harris thinks everyone loves him. As we have discussed thoroughly, Stokes posts under his own name. Does Stokes suddenly know when the WWL staff takes a vacation too? Maybe Stokes is WWL...
    People dislike Richard Harris and although they do not all love what Stokes is doing generally to legal prices, they love what he is doing to Harris.

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  24. I think Rick Harris is upset that Eglet tossed him out and took Mainor all to himself. Harris is a brilliant businessman, for sure, but there's no Randy Mainor or Robert Eglet on his team. To the extent it's about glory as opposed to cold hard cash, poor Harris is second or third-rate, at best.

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  25. For a great read, check out the opinion at 2010 WL 1453071.

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  26. If I were Randy Goldberg, I would hire Goldberg the wrestler (related?) and do the cheesiest commercials in town with Randy the mild mannered BK attorney turning into Goldberg like the HULK tearing through banks and payday loan places like the godzilla he is. I would own BK practice in this town.

    Sorrentino and DeLuca could SUCK IT.

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  27. 6:34,

    You have no idea. The bad blood between Harris and Mainor (and Seegmiller) is deep-rooted. But Eglet didn't toss Harris out, Mainor did. Mainor and Harris were partners, they had a major disagreement about the direction of the business (Harris wanted to be a high-volume guy, Mainor wanted to be a high-exposure, lower volume guy). Eglet stole Mainor and Rick and Seegmiller didn't get along well enough to keep things going.

    Some of their lawsuits are still ongoing (see 03A473138, 03A475860, 04A489799)

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  28. Actually word on the street at the time the firm blew up was that Harris didn't want to get involved with Awand.

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  29. At 10:20, nope I'm 1:28, and I'm definitely not Stokes.

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  30. @ 11:59, I find it laughable that anyone would believe that Richard Harris wasn't involved with Awand. Give me a break.

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  31. From what I've seen it seems like his cases are usually in pretty good shape for 341's and motion hearings.

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  32. Local attorney Randolph Goldberg received Thursday morning a two-year prison sentence, and he must make more than $700,000 in restitution after pleading guilty to a federal tax evasion charge.

    Goldberg pleaded guilty to the charge in March under a deal with federal prosecutors. He initially faced nine total counts. Goldberg also will have to pay a $40,000 fine for hiding income on his 2008 tax return.

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