Attorney General's News Release

February 11, 2004

Nixon sues St. Louis bankruptcy "mill"; hearing set on request to freeze assets and halt illegal activities

St. Louis, Mo. — Attorney General Jay Nixon on Tuesday (Feb. 10) filed a lawsuit against a St. Louis business and its agents who promise cheap and easy professional assistance with individual bankruptcies. Nixon also has asked the court to issue a temporary restraining order against Critique Legal Services to freeze the business's assets and stop any and all illegal activities. St. Louis City Circuit Judge David Dowd has scheduled a hearing on the TRO request for Friday (Feb. 13) at 9:30 a.m.

Nixon's lawsuit states Critique Legal Services and its employees prepared and filed bankruptcy pleadings and schedules in hundreds of cases in 2002 and 2003, but the defendants often failed to appear for scheduled court appearances or meetings with creditors, and charged much more than the advertised fee of $99. None of the defendants is licensed to practice law in the state of Missouri or in federal court in St. Louis. Critique Legal Services is located at 4144 Lindell.

"Critique Legal Services and owner Beverly J. Holmes are very good at making promises of professional assistance to consumers who are in serious financial straits," Nixon says. "Once they've been paid, however, the defendants — who are not qualified to handle any of these proceedings — are very poor at delivering on even the most basic of services, such as showing up in court when you're supposed to."

Nixon is seeking preliminary and permanent injunctions against Critique Legal Services, Holmes and employee Renee Mayweather. The lawsuit asks the court to find that they have violated Missouri consumer protection laws, prohibit them from further violations of the law, and order them to pay restitution to consumers and penalties and costs to the state.

Consumers who have complaints about Critique Legal Services are encouraged to file a complaint with the Attorney General's Office by calling the consumer protection hotline at 1-800-392-8222 or filling out a complaint form online.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818