California Recovery Group Lawsuit

California Recovery Group Lawsuit

Background:

  • California Recovery Group (CRG) was a public adjuster company operating in California.
  • In 2022, the California Department of Insurance (CDI) investigated CRG for alleged deceptive practices regarding wildfire-related insurance claims.
  • The investigation revealed that CRG misled consumers and filed fraudulent insurance claims.

Legal Actions:

  • In May 2023, the CDI filed a lawsuit against CRG and its owner, Argen Youssefi, accusing them of:
    • Misleading wildfire victims through mass mailers and soliciting business at their homes.
    • Filing false and inflated insurance claims.
    • Engaging in unlicensed insurance adjusting.
  • The CDI permanently revoked Youssefi’s public adjuster license and prohibited him from engaging in the insurance industry.
  • Numerous individual lawsuits have been filed against CRG by consumers alleging various claims, including:
    • Fraudulent misrepresentation
    • Unfair business practices
    • Breach of contract
    • Emotional distress

Current Status:

  • As of December 10, 2023, the CDI lawsuit against CRG is ongoing.
  • No final judgment has been reached.
  • Individual lawsuits against CRG are also ongoing, and the outcomes may vary depending on the specific circumstances of each case.
  • CRG’s website now states that they are no longer accepting new clients and refers inquiries to another law firm.

Disclaimer:

This information is for general knowledge purposes only and does not constitute legal advice. Please consult with a qualified attorney for legal advice regarding your specific situation.

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