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LegalZoom could stay in MO under proposed settlement

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Glendale, Calif.-based LegalZoom.com Inc. yesterday reached an agreement in principle with plaintiffs in the class action lawsuit Janson, et. al v. LegalZoom.com Inc., which seeks to stop LegalZoom from doing work in Missouri.

A proposed settlement is under negotiation in Jefferson City, according to a LegalZoom news release.

The terms of the proposed settlement dictate that LegalZoom could continue offering services to Missouri residents with certain business modifications. Other details of the proposal were undisclosed.

Plaintiffs in the case claim that because no one at LegalZoom is licensed to practice law in Missouri, the company is violating a state statute by charging fees for preparing legal documents such as incorporation documents, real estate deed transfers and others, according to Springfield Business Journal archives.

LegalZoom, however, claims its software creates documents, rather than an interaction between an attorney and a client, and also states its staffers' reviews are clerical and not legal or advisory in nature.

LegalZoom is being represented by Chas Rampenthal, its general counsel, and the plaintiffs are being represented by Clayton-based attorney David T. Butsch of Butsch Simeri Fields LLC.[[In-content Ad]]

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