ASSTJRANCE OF VOLUNTARY COMPLIANCE ) IN THIE MATTER OF THE INVESTIGATION OF ) LEXINGTON CONSUMER ADVOCACY, LLC, LEXINGTON DOC PREP, LLC, LEXINGTON, Fbtoxi.xn & Srgarv, LLC AND DANIEL MEELER ) ) ) ) ) ) Case Number: 2015-23 Tl'ffs Assurance of Voluntary Compliance (Assurance) is entered into between Lexington Consumer Advocacy, LLC, a Wyoming limited liability company, Lexington Doc Prep, LLC, a Wyoming limited liability company, Lexington, Feldman & Stern, LLC, a Wyomiiig limited liability company, and Daniel Meeler, a resident of the State of Florida, (each a Respondent and together Respondents) and the State of Wyoming, by the Wyoming Attorney General (Attomey General). WHEREAS, the Attorney General initiated an investigation involving Respondents pursuant to the Wyoming Consumer Protection Act (Act) (Wyo. Stat. Ami. §§ 40-12-101 tl'irough -11 4); WHEREAS, based upon investigation, the Attorney General has reason to believe and alleges that Respondents violated the Act by engaging in the following acts or practices: (1) falsely representing to consumers that Respondents arranged for and/or provided legal representation services in violation of Wyo. Stat. Ann. §§ 40-12-105(a)(i), (ii), (iii), (vii), (viii), (x), (xi) and (xv); and (2) providing debt adjustment services to consumers contrary to the requirements of Wyo. Stat. A?nn. § 33-14-101, mid thereby engagiiig in unfair acts or practices in violation of Wyo. Stat. Ann. § 40-1 2-105(a)(xv); and WHEREAS, the Attorney General and Respondents mutually acknowledge the risks, expenses and uncertainty inherent in litigation and the advantages of the Attorney General terminating his investigation without resort to formal judicial proceedings by the execution and acceptance of this Assurance. IT IS THEREFORE AGREED: 1. Consumer Protections Each Respondent agrees that it shall not: 1.1 RepresentthataRespondentwillretainanattorneyforaconsutnerorpayforthe }ega} representation of a consumer, uniess: a. Respondent's promise to retain an attorney for a consumer or pay for legal representation of a consumer is made in writing (Representation Agreement) ; b. The Representation Agreement fully describes the coverage; l c. The Representatioii Agreement complies with all statutes, regulations and/or rules governing the professional ethics of attorneys in each jurisdiction in which Respondent's customers reside and the jurisdictions in which Respondent operates; and d. Tlie Representation Agreement complies with all applicable insurance and underwriting statutes, regulations and/or rules in each jurisdiction in which Respondent's customers reside and the jurisdictions in which Respondent operates; 1.2 Represent that it will refer a consiu'ner's case or situation to an attorney, unless: Respondent has written agreements (Referral Agreements) with two or more attorneys licensed in each jurisdiction in wliicli Respondent's a. customers reside; b. Tlie Referral Agreements provide that the licensed attorneys shall accept referrals from Respondent unless there is a conflict; c. The Referral Agreements comply with all statutes, regulations and/or roles governing the professional ethics of attorneys in the jurisdiction in whieh the licensed attorney practices and the jurisdictions in which Respondent operates; and d. Respondent only refers consumers to licensed attorneys who are parties to legally compliant Referral Agreements; 1.3 Represent, directly or by implication, that Respondent or any of the other Respondents is a law firm, employs attorneys, or otherwise has attorneys 011 staff, 1.4 Provide advice regarding fhe legal options that a consumer may have with regard to the consumer's debt or dispute; 1.5 Assist consumers with student loan modifications or engage in "debt adjusting? as that term is defined by Wyo. Stat. Ann. § 33-14-101(a)(ii); and 1.6 Engageinanyunfairordeceptiveactsorpractices. 2. Consumer Refunds 2.1 Respondents shall provide full and complete ref?inds to all of Respondents' past and current customers/clients residing in the State of Wyoming within ten (10) days of execution of this Assurance. Within 30 days of execution of this Assurance, Respondent Daniel Meeler shall certify under oath that all refunds have been completed and provide evidence of such refunds being made. 3. Civil Penalty 3.1 Respondents shall be jointly liable for and shall pay to the State of Wyoming a civil penalty in the amount of TEN THOUSAND DOLLARS ($1 o,ooo.oo). This amount shall be paid in the form of a cashier's check, made payable to the State of Wyoming. Respondents shall Assurance of Voluntary Compliance Page 2 of s provide the payment to the State of Wyoming within ten (10) business days of execution of tis Assurance. 4. General Provisions 4.1 ApplicableLaw/Venue.Theconstruction,interpretation,andenforcementofthis Assuranee shall be governed by the laws of the State of Wyoming. The Courts of the State of Wyoming shall have jurisdiction over this Assurance arid the parties, arid venue for any action shall be in the First Judicial District Court, Laramie Co?inty, Wyoming. 4.2 Acceptance. The acceptance of this Assurance by the Attorney General shall not be deemed approval by the Attomey General of Respondents' advertising, marketiiig, or business practices. Respondents, nor anyone acting on Respondents' behalf, shall state or imply or cause to be stated or implied that the Attorney General has approved, sanctioned, or authorized airy practice, act, advertisement, representation, or conduct of any Respoiident, other than as required by this Assurance. 4.3 Authority of the Attorney General. Nothing in this Assurance shall be construed to limit the authority of the Attorney General to protect individuals. 4.4 Amendment. No waiver, modification, or amendment of the terms of this Assurance shall be valid or binding unless made in writing and signed by all parties liereto. 4.5 ?. Any failure by the Attorney General to insist upon strict performmice by any other party of airy provisions of this Assurance shall not be deemed a waiver of any of the provisions of this Assurance, and the Attorney General, notwithstanding such failure, shall bave the right thereafter to insist upon strict performance of any and all provisions of this Assurance. 4.6 Non-Circutnvention. Respondents shall not participate, directly or indirectly, and either individually or as pmt of an entity, in any activity for the purpose of engaging in acts prohibited by this Assurance or for any other purpose which syould otherwise circumvent any part of this Assurance. 4.7 Entirety of Agreement. This Assurance, consisting of five (5) pages, represents the entire agreement between the parties and supersedes all prior negotiations, representations, and agreements, whether written or oral. 4.8 Severability. Should miy portion of this Assurance be judicially determined to be illegal or unenforceable, the remainder of this Assuraiice shall continue in full force and effect. 4.9 Sovereign Immunity. The State of Wyoming and the Attorney Gerieml do not waive sovereign immunitv by entering into this Assurance and specifically retain immunity and all defenses available to them as sovereigns pursuant to Wyo. Stat. Ann. §l-39-104(a) mid all other applicable law. Assuraiice of Voluiitaiy Compliance Page 3 of s 4.10 Compliance with All Laws. Nothing in this Assurance shall be construed as relieving Respondents of the obligation to comply wifh all state and federal laws, regulations, and rules, nor shall any of the provisions of this Assurance be deemed to be permission to engage in any acts or practices prohibited by such law, regulation, or tule. 4.11 Captions.Thecaptions,titles,andheaderstoeachmticle,section,andsubsection of this Assurance are for con'venience purposes only and are not intended by the parties to lend meaning to the actual provisions of the Assurance. 4.12 Production of Documents and Testimony. Nothing in this Assurance shall limit the right of the Attorney General to obtain information, documents, or testimony from Respondents pursuant to any state or federal law, regulation, or role. 4.13 Counterpaits. Tl'ffs Assurance may be executed in counterparts, each of which shall be deemed an original and all of which together shall be considered one and the satne agreement, but this Assurance shall become effective only when such counterparts have been signed by each of the parties. s. No Admission of Violation 5.1 Pursuant to Wyo. Stat. Am'i. § 40-12-107, this Assurance is not considered an admission of violation for miy purpose. 6. Representations and Warranties 6.1 Each Respondent represents and warrants that the execution and delivery of this Assurance is his free and voluntai7 act, and that this Assurance is the res?ilt of g,ood faifh negotiations. 6.2 Each limited liability company Respondent represents and warrants that the signatory to this Assurance on its behalf has the authority to act for and bind Respondent. 7. Compliance 7.1 Eaeh Respondent agrees that proof of failure to comply with this Assurance is prima facie evidence of a violation of the Act. 8. Private Right of Action 8.1 Nothing in this Assurance shall be construed to affect, restrict, limit, waive, or alter any private right of action that any person may have against either Respondent. 9. Notiees 9. 1 Notices required under this Assurance shall be sent as follows: Assurance of Voluntary Compliance Page 4 of s ? To Wyoming Attorney General: Wyoming Attorney General's Office To Lexington Consumer Advocacy, LLC, Lexington Doc Prep, LLC, Lexington, Feldrnan & Stern, LLC and Daniel Meeler: Consumer Protection Unit Kendrick Building 2320 Capitol Ave. Cheyenne, WY 82002 199 0regon Ln Boca Raton, Fl 33487 Wyoming Attorney General 4ffil r:>==t=== qllq)? Pete K. Miehael Respondent Lexington Consumer Advoeacy, LLC Date: ff/-t/ ZOI(,, Daniel Meeler, Member Respondent Lexington Doc Prep, LLC D=-= 4/ "i ht,c(h Daniel Meeler, Member Respondent Lexington, Feldman & Stern, LLC Date: q,/ livt(z Daniel Meeler, Member Respondent Daniel Meeler Date: Lj/ 7 ,/ lo((Daniel Meeler Assurance of Voluntary Compliance Page s of s