Both the Kansas Court of Appeals and US Bankruptcy Judge Robert Nugent have issued recent rulings aimed at reducing the ability of debt settlement companies to pose as law firms. Neil Sader stated about the issue that some [debt settlement] companies are taking advantage of people willing to try anything to avoid bankruptcy. The firm Persels and Associates, based in Maryland, contracts with Kansas attorneys but are really credit service providers in the eyes of the law, subject to regulation as such. Persels is currently appealing $8 million in fines.
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