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Litigation Practice Group: What Is Going On?

What happened to Litigation Practice Group? Litigation Practice Group (LPG), a debt-relief law firm, filed for Chapter 11 bankruptcy in California on March 20, 2023 (Case No. 23-10571) and has permanently shut down. A court-appointed trustee is now liquidating the firm amid lawsuits and a federal CFPB investigation tied to allegations that disbarred attorney Tony Diab diverted client funds. Many former clients had their accounts transferred to other firms such as Phoenix Law and Oakstone Law. If you were a client, you may be a creditor in the bankruptcy and can file a claim.

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What Happened to Litigation Practice Group?

Litigation Practice Group filed for bankruptcy in March 2023 and permanently shut down amid lawsuits and a federal investigation into alleged misconduct by a disbarred attorney who was running the firm.

Litigation Practice Group (also called LPG, LPG Law, or The Litigation Practice Group P.C.) was a law firm that marketed debt resolution and debt validation services to consumers across the country. Clients typically made monthly payments into an account, expecting the firm to negotiate or dispute their debts. Beginning in early 2023, the firm collapsed under a wave of lawsuits, a bankruptcy filing, and serious allegations of misconduct, and it has permanently ceased operations.

At the center of the allegations is Tony Diab, who, according to lawsuits, was effectively running the firm despite being a disbarred attorney, and who is accused of diverting client settlement funds into his own accounts. On March 20, 2023, LPG filed for Chapter 11 bankruptcy in the Central District of California. A federal bankruptcy trustee was appointed to take control of the firm and wind it down, a liquidation plan has since been confirmed, and the U.S. Consumer Financial Protection Bureau has been investigating. In short, the firm many people signed up with no longer exists in any operating form, and its affairs are now handled by the bankruptcy court. If you are reading Litigation Practice Group reviews trying to decide whether to trust them, this is the essential context: the firm has collapsed, so the more useful question now is what you should do as a former client, which we cover below.

Timeline of Events

  1. January 9, 2023 Naz II Holding sues LPG, alleging that disbarred attorney Tony Diab was running the firm and diverting client settlement funds.
  2. March 20, 2023 LPG files a voluntary Chapter 11 bankruptcy petition in the U.S. Bankruptcy Court for the Central District of California (Case No. 23-10571, before Judge Scott C. Clarkson).
  3. April to May, 2023 Many clients receive emails saying their accounts were transferred to other firms such as Phoenix Law and Oakstone Law. New lawsuits are filed over the transfers.
  4. May 8, 2023 Richard A. Marshack is appointed as the Chapter 11 Trustee to administer the bankruptcy estate.
  5. September 9, 2024 The Bankruptcy Court confirms a modified Chapter 11 plan of liquidation, formalizing the wind-down of the firm.
  6. November 2024 The CFPB issues a subpoena to the bankruptcy trustee, indicating an ongoing federal investigation into LPG's practices.

Because this situation continues to move through the courts, the official bankruptcy case is the most reliable place for current information. You can look up the case (Number 23-10571) through the trustee's case site to see filings, deadlines, and notices.

What to Do If You Were an LPG Client

If you were an LPG client: stop further bank withdrawals, confirm who holds your account now, file a claim in the bankruptcy if LPG owes you money, document everything, and check whether your debts were ever actually resolved.

If you were enrolled with Litigation Practice Group, here are the practical, concrete steps to protect yourself. None of this is legal advice, but these are the actions most former clients in this situation need to consider.

  1. Stop further withdrawals If money is still being drafted from your bank account, contact your bank and ask them to stop or block future automatic withdrawals tied to LPG or any firm it transferred you to. Some clients reported being debited even after asking to cancel.
  2. Find out who holds your account now If you received an email about a transfer to Phoenix Law, Oakstone Law, or Morning Law Group, confirm in writing who currently has your file and your money, and what they are actually doing.
  3. File a claim in the bankruptcy If you believe LPG owes you money, you are a creditor in the bankruptcy. You can submit a claim through the official bankruptcy case so you are on record and eligible for any distribution.
  4. Document everything Gather your agreement, payment records, bank statements, and any emails. You will need them for a refund claim, a bank dispute, or a complaint.
  5. Check on your actual debts Find out whether your debts were ever resolved. Many clients paid for months while nothing was done, and their original creditors may still be owed. Knowing your true balance is the first step to fixing it.
  6. Consider reporting it You can file complaints with the BBB, your state attorney general, and the CFPB, which is already investigating.

How to Get a Refund From LPG

Because LPG is bankrupt, there is no simple refund line. The realistic path is to file a claim as a creditor in the bankruptcy case, which puts you in line for any distribution. There is no guarantee of a full refund.

Getting money back from Litigation Practice Group has been difficult and uncertain, and it is important to be honest about that. The firm is bankrupt, so there is no simple refund line to call. The realistic path is through the bankruptcy case: by filing a claim as a creditor, you put yourself in line for any distribution the trustee is able to make from the firm's remaining assets. There is no guarantee of a full refund, and timelines are long, but filing a claim is how you preserve your right to recover anything.

Be careful of further withdrawals Some former clients reported that withdrawals continued even after they tried to cancel. The fastest way to stop the bleeding is to contact your own bank and block the payments directly, rather than relying only on the firm to stop them. If unauthorized withdrawals already happened, ask your bank about disputing them.

Not sure whether your debts were ever resolved? A free, no-obligation review can help you find out where you actually stand and what to do next.

Phoenix Law, Oakstone, and Morning Law Group

Around the time LPG collapsed, many client accounts were reportedly transferred, allegedly without authorization, to Phoenix Law, Oakstone Law, and later Morning Law Group, which generated additional lawsuits.

One of the most confusing parts for former clients is that, around the time LPG collapsed, many accounts were reportedly transferred to other firms, including Phoenix Law, Oakstone Law, and later Morning Law Group. Lawsuits allege that LPG's client agreement did not authorize transferring accounts to other entities, and these transfers generated their own legal disputes. Some of these firms have publicly stated they are not LPG and are not responsible for LPG's conduct.

What this means for you in practice: if your account was moved, the firm now holding it is a separate business, and you should verify directly what they are doing, what they are charging, and whether your debts are actually being addressed. You are not obligated to continue with a firm you never knowingly chose, and you can stop payments and seek other help if the work is not being done.

The Lawsuits and Investigation

LPG faces multiple lawsuits and a federal CFPB investigation, centered on allegations that a disbarred attorney ran the firm and diverted client funds, plus disputes over the unauthorized transfer of client accounts.

Litigation Practice Group has been the subject of multiple lawsuits and a federal investigation. The early case from Naz II Holding (January 2023) alleged that Tony Diab, a disbarred attorney, was running the firm and diverting client settlement funds. After the bankruptcy filing, additional suits were filed concerning the transfer of client accounts to entities like Oakstone Law and Phoenix Law. In November 2024, the CFPB issued a subpoena to the bankruptcy trustee, signaling an ongoing federal investigation into the firm's practices. The bankruptcy trustee is also pursuing recovery actions on behalf of the estate.

For consumers, the takeaway is simple: this was not a normal business closure. The combination of a disbarred operator, alleged fund diversion, unauthorized account transfers, a bankruptcy, and a federal investigation is why so many former clients are left with unresolved debts and hard-to-recover payments.

Where This Leaves You, and How to Move Forward

If you were an LPG client, the most important thing is to stop looking backward at a firm that no longer exists and start dealing with your actual debts as they stand today. Your original creditors may still be owed, and the months of payments you made may not have changed your balances. That is a frustrating place to be, but it is fixable. The first step is simply to find out where your debts truly stand, then choose a legitimate path, whether that is debt settlement, a consolidation loan, credit counseling, or in some cases bankruptcy, based on your real numbers.

Find Out Where Your Debts Actually Stand

If LPG left your debt unresolved, a free, no-obligation consultation can help you understand your real options and start fresh. CuraDebt is a matching service that connects you with providers in its network.

or call 1-877-850-3328

Frequently Asked Questions

What happened to Litigation Practice Group?

Litigation Practice Group (LPG), a debt-relief law firm, filed for Chapter 11 bankruptcy in California on March 20, 2023 (Case No. 23-10571) and has permanently shut down. A court-appointed trustee is liquidating the firm amid multiple lawsuits and a federal CFPB investigation tied to allegations that disbarred attorney Tony Diab diverted client funds. Many clients had their accounts transferred to other firms such as Phoenix Law and Oakstone Law.

Is Litigation Practice Group still in business?

No. Litigation Practice Group has permanently ceased operations. It filed for bankruptcy in March 2023, a Chapter 11 trustee took control, and a liquidation plan was confirmed in September 2024. The firm is being wound down through the bankruptcy court and is no longer operating or taking on clients.

How do I get a refund from Litigation Practice Group?

Because LPG is bankrupt, there is no simple refund process. If you believe LPG owes you money, you are a creditor in the bankruptcy case (Number 23-10571) and can file a claim through the trustee's official case site to be eligible for any distribution. There is no guarantee of a full refund and timelines are long, but filing a claim preserves your right to recover anything. You should also contact your bank to stop any further withdrawals.

Who is Tony Diab and what is he accused of?

Tony Diab is a disbarred attorney who, according to multiple lawsuits, was effectively running Litigation Practice Group and is accused of diverting client settlement funds into his own accounts. These allegations are central to the lawsuits and the bankruptcy, and they are part of why the firm collapsed. The matters remain subject to ongoing legal proceedings and a federal investigation.

My LPG account was transferred to Phoenix Law or Oakstone. What does that mean?

Around the time LPG collapsed, many client accounts were reportedly transferred to other firms such as Phoenix Law, Oakstone Law, and later Morning Law Group. Lawsuits allege these transfers were not authorized by the client agreements. The firm now holding your account is a separate business; verify directly what they are doing and charging, and know that you can stop payments and seek other help if your debts are not actually being resolved.

Were my debts actually resolved by LPG?

Possibly not. Many former clients report paying for months while little or nothing was done about their debts, meaning their original creditors may still be owed. The most important step is to confirm the current status of each debt directly, rather than assuming it was handled. Knowing your true balances is the first step to fixing the situation.

What should I do if I was an LPG client?

Contact your bank to stop further withdrawals, confirm who currently holds your account, file a claim in the bankruptcy if LPG owes you money, document all your records, check the real status of your debts with your creditors, and consider filing complaints with the BBB, your state attorney general, and the CFPB. Then deal with your remaining debts through a legitimate provider based on your actual balances.

Disclosure: CuraDebt is not affiliated with, endorsed by, or sponsored by Litigation Practice Group, and all trademarks belong to their respective owners. This page reflects our own research and opinions for informational purposes and is not a statement of fact about any Litigation Practice Group company's business. CuraDebt operates a matching service and is paid when we connect consumers with independent partner firms, so we have a financial interest in you requesting a free consultation. Always do your own research before choosing any provider.

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