11:31 ET<\/span><\/span><\/p>\nA controversial law firm that tried to get money from computer users by accusing them of illegal file sharing could be hit with massive legal fees.<\/p>\n
ACS:Law and its one solicitor, Andrew Crossley, sent thousands of letters threatening recipients with court action if they did not pay out.<\/p>\n
Now a judge has ruled that the company may be responsible for wasted costs in the case and ordered a full hearing.<\/p>\n
Mr Crossley’s lawyers declined to comment.<\/p>\n
The proceedings represent something of a role reversal. Originally the Patents County Court had been asked to hear the cases brought by Mr Crossley’s firm.<\/p>\n
After those collapsed, it was decided that he might be liable for costs.<\/p>\n
Those could run into thousands of pounds, although that money is likely to be covered by solicitors’ insurance.<\/p>\n
Lawyer’s letters<\/span><\/p>\nACS:Law had originally teamed-up with a company called MediaCAT, which purported to represent copyright owners, such as film and music producers.<\/p>\n
Together they sent letters to around 10,000 people in the UK, alleging that the IP addresses of their computers had been linked to illegal file sharing.<\/p>\n
Individuals were given the option of paying \u00a3500 or facing court action.<\/p>\n
Many of those contacted said they had never engaged in such activity and accused ACS:Law of carrying out a speculative “fishing” exercise.<\/p>\n
Mr Crossley eventually brought 26 cases to court, but soon after hearings began he tried to have them dismissed, claiming he had been attacked and received death threats.<\/p>\n
Judge Colin Birss QC refused to allow proceedings to stop and accused Mr Crossley of trying to “to avoid judicial scrutiny”.<\/p>\n
Soon after, both ACS:Law and MediaCAT were wound-up.<\/p>\n
Profit share<\/span><\/p>\nIt emerged in court that the two companies had agreed on a profit-sharing model, with ACS:Law receiving 65% of any money recovered.<\/p>\n
In his most recent ruling, Mr Birss said that arrangement had “brought the legal profession into disrepute”.<\/p>\n
He also branded the now-defunct firm “amateurish and slipshod”.<\/p>\n
The court’s decision to press ahead with a hearing on wasted costs was welcomed by lawyers representing those people who received ACS:Law letters.<\/p>\n
Michael Forrester, from Ralli Solicitors, said his firm was also planning to pursue claims for harassment against Mr Crossley and urged anyone who was affected to join the action.<\/p>\n
“It can be incredibly upsetting for people to receive these letters and they may well have a claim in harassment, so I am urging them to come forward.”<\/p>\n
Mr Crossley’s application for permission to appeal was refused. He is also being investigated by the Solicitors Regulation Authority.<\/p>\n<\/div>\n<\/p>\n
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