CRUSHING VICTORY: Federal Court Demolishes "Fraud" Allegations Against ADA Attorneys, Slams Opponents with $42,000 Sanctions
- Jose Velez
- Jun 3
- 6 min read

Historic judicial decision validates ADA litigation as legitimate civil rights enforcement while delivering devastating financial blow to those who attack disability advocates
WE WON. THEY LOST. BIG TIME.
In a game-changing federal court decision that sends shockwaves through the legal community, the U.S. District Court for the Northern District of Georgia didn't just reject baseless "fraud" allegations against ADA attorneys—it OBLITERATED them while hitting the attacking lawyers with a devastating $42,000 sanction plus mandatory additional legal education.
This isn't just a victory. This is total vindication of everything we stand for at Velez Law Group and specialized ADA firms nationwide.
THE SMACKDOWN: When Justice Hits HARD
The Setup That Backfired Spectacularly
In Ghandi et al v. Ehrlich et al (Case No. 1:19-cv-03511-SDG), several business owners thought they could intimidate ADA attorneys by filing a RICO lawsuit—yes, they actually tried to use racketeering charges typically reserved for organized crime against lawyers fighting for disability rights.
Their master plan? Claim that ADA attorneys formed a "criminal enterprise" by filing legitimate disability rights lawsuits.
SPOILER ALERT: It backfired spectacularly.
The Courtroom Meltdown
What happened in court was nothing short of DEVASTATING for the accusers. When pressed by Judge Steven D. Grimberg for evidence of their fraud allegations, the opposing attorneys suffered a complete meltdown:
ADMISSION #1: They couldn't identify A SINGLE FRAUDULENT STATEMENT by ADA attorneys
ADMISSION #2: Their own clients ACTUALLY HAD ADA VIOLATIONS in their facilities ADMISSION #3: They had NO EVIDENCE that plaintiffs in ADA cases weren't really disabled ADMISSION #4: They admitted ADA attorneys were "NOT DOING ANYTHING THEY'RE NOT SUPPOSED TO DO"
But here's the NUCLEAR MOMENT: When asked about their real purpose, they admitted it wasn't to expose fraud—it was to complain about a "loophole" in the ADA law itself!
THE AUDACITY.
JUDICIAL JUSTICE: When a Federal Judge Says "ABSOLUTELY NOT"
The Legal Smackdown
Judge Grimberg didn't just reject their arguments—he DEMOLISHED them using rock-solid Eleventh Circuit precedent:
United States v. Pendergraft: Filing lawsuits ≠ racketeering
Raney v. Allstate: Litigation activities can't support RICO claims
Town of Gulf Stream v. O'Boyle: Even large-scale litigation is protected
The court's message was crystal clear:
"Under our system, parties are encouraged to resort to courts for the redress of wrongs and the enforcement of rights."
Translation: "How DARE you try to criminalize the fundamental right to seek justice?"
Department of Justice Backs Us Up
The court cited the U.S. Department of Justice's official position supporting the legitimacy of ADA "testers" and private enforcement, noting that:
Congress INTENTIONALLY designed civil rights laws to rely on private enforcement Government resources are LIMITED for ADA enforcement Testers discover discrimination that would otherwise remain hidden Private attorneys serve as "private attorneys general"
BOOM. The feds have our backs.
THE SANCTIONS: $42,000 REASONS NOT TO MESS WITH US
Financial Devastation
The court didn't just dismiss the case—it NUKED the attacking attorneys with:
$42,000 in monetary sanctions (all legal fees and costs) Four additional hours of mandatory federal practice education Public professional embarrassment that will follow them forever
The Rule 11 Hammer Falls
Under Federal Rule 11, the court found the attacking attorneys violated professional standards by:
Filing a lawsuit with NO reasonable factual basis Pursuing a legal theory with NO reasonable chance of success Acting in BAD FAITH for improper purposes
PROFESSIONAL MISCONDUCT, MEET CONSEQUENCES.
The Cherry on Top: Client Abandonment
The court was particularly disgusted that these attorneys:
Didn't even show their own client the lawsuit before filing it
Failed to verify allegations about their client
Made false claims their client knew were bogus
EVEN THEIR OWN CLIENT HAD TO FIRE THEM.
WHAT THIS VICTORY MEANS FOR THE DISABILITY RIGHTS MOVEMENT
TOTAL VALIDATION of Our Methods
This decision COMPLETELY VALIDATES everything specialized ADA firms like Velez Law Group do:
Systematic testing of ADA compliance Serial litigation when based on real violations Private enforcement of federal civil rights Negotiated settlements that benefit everyone
DEMOLITION of "Fraud" Narratives
This court decision DESTROYS the fake narrative that ADA litigation is somehow "fraudulent"
or "abusive." The evidence is clear:
ADA violations are REAL and documentable
Plaintiffs have LEGITIMATE disabilities
Attorneys follow ALL legal requirements
The system works EXACTLY as Congress intended
PROTECTION Against Future Attacks
This precedent creates a LEGAL FORTRESS protecting ADA attorneys from future intimidation attempts. Anyone thinking of following this failed strategy now knows they'll face:
Immediate dismissal of their claims Massive financial sanctions Public vindication of ADA attorneys Strengthened legal precedent against them
THE VELEZ LAW GROUP ADVANTAGE: VALIDATED AND VICTORIOUS
Our Model is BULLETPROOF
This federal court decision proves that Velez Law Group's exclusive focus on ADA enforcement is not just legitimate—it's ESSENTIAL to civil rights in America. Our approach of:
Meticulous investigation of real violations Robust federal representation for legitimate clients Strategic negotiation of meaningful remedies Unwavering ethical standards
has been EXPLICITLY ENDORSED by federal court precedent.
We're Not Just Lawyers—We're CIVIL RIGHTS WARRIORS
This victory proves what we've always known: we're not just practicing law, we're FIGHTING FOR FUNDAMENTAL HUMAN RIGHTS. Every case we take, every barrier we tear down, every settlement we negotiate makes America more accessible for everyone.
The Opposition Just Got SERVED
To every defense attorney who's ever whispered "fraud" or "abuse" about ADA cases: THIS FEDERAL COURT DECISION IS YOUR ANSWER.
Your arguments are BASELESS
Your tactics are SANCTIONABLE
Your narrative is DEMOLISHED
Your clients deserve BETTER
FOR PEOPLE WITH DISABILITIES: YOUR RIGHTS ARE REAL AND PROTECTED
Don't Let ANYONE Intimidate You
This $42,000 sanction sends a message to every person with a disability: YOUR RIGHTS ARE REAL, YOUR CLAIMS ARE LEGITIMATE, AND THE FEDERAL COURTS WILL PROTECT YOU.
If any business owner, defense attorney, or internet troll tells you that ADA cases are "fraudulent" or "abusive," show them this federal court decision and watch them shut up.
You Deserve ROBUST Federal Representation
If you've encountered disability discrimination, you need attorneys who can:
Fight back against intimidation tactics Navigate complex federal litigation Withstand well-funded opposition Win precedent-setting victories
That's exactly what Velez Law Group delivers.
THE RIPPLE EFFECT: VICTORY ACROSS AMERICA
Precedent with POWER
This decision creates PERSUASIVE PRECEDENT in federal courts nationwide. From coast to coast, ADA attorneys can cite this case when facing similar attacks, knowing that:
Federal courts REJECT fraud allegations without evidence ADA litigation is EXPLICITLY PROTECTED as legitimate civil rights enforcement Attacking ADA attorneys BACKFIRES SPECTACULARLY The FINANCIAL RISKS of baseless attacks are severe
A Message to Defense Attorneys Everywhere
ATTENTION DEFENSE BAR: This federal court decision should fundamentally change how you advise clients about ADA cases. Instead of:
Making baseless fraud allegations Trying to intimidate legitimate attorneys Perpetuating harmful myths about ADA "abuse" Wasting client money on doomed strategies
TRY THIS INSTEAD:
Advise PROACTIVE COMPLIANCE with ADA requirements Negotiate REASONABLE SETTLEMENTS when violations exist Implement RAPID MODIFICATIONS to resolve disputes Educate clients about BUSINESS BENEFITS of accessibility
YOUR CLIENTS WILL THANK YOU. AND YOU WON'T GET SANCTIONED.
WHAT'S NEXT: THE DISABILITY RIGHTS REVOLUTION CONTINUES
This is Just the Beginning
While we celebrate this MASSIVE VICTORY, we know the fight for accessibility and equality continues. This federal court decision:
STRENGTHENS our legal foundation VALIDATES our strategic approach PROTECTS our ability to serve clients ADVANCES the cause of disability rights
Join the Winning Team
If you're a person with a disability who's faced discrimination, NOW IS THE TIME to take action. With federal court precedent explicitly backing ADA enforcement, there's never been a better time to:
Assert your rights with confidence
Challenge discriminatory barriers head-on
Demand equal access to public accommodations
Make your community more accessible for everyone
THE BOTTOM LINE: WE WIN, THEY LOSE, JUSTICE PREVAILS
This $42,000 federal court sanction isn't just about money—it's about JUSTICE. It's about a federal judge looking at baseless attacks on disability rights attorneys and saying:
"ABSOLUTELY NOT. NOT IN MY COURTROOM. NOT IN AMERICA."
For every person with a disability who's been told their rights don't matter, THIS DECISION SAYS THEY DO.
For every ADA attorney who's been called a "fraudster" for fighting discrimination, THIS DECISION SAYS YOU'RE A CIVIL RIGHTS HERO.
For every business that's been told ADA compliance is optional, THIS DECISION SAYS THINK AGAIN.
Contact Velez Law Group: Where WINNERS Choose to Fight
If you're ready to join the winning side of disability rights, if you want attorneys who DON'T BACK DOWN from intimidation, if you need ROBUST FEDERAL REPRESENTATION that gets results, contact Velez Law Group today.
We don't just win cases. We CRUSH opposition.
READY TO FIGHT FOR YOUR RIGHTS?
Velez Law Group LLCWHERE DISABILITY RIGHTS MEET DEVASTATING LEGAL
At Velez Law Group LLC, we are committed to supporting those seeking equality and accessibility in their workplaces. If you want to learn about your rights under the Americans with Disabilities Act (ADA) and how they may apply to your environment, we are here to guide you. Our team is dedicated to helping you fully understand and exercise your rights, ensuring you receive the necessary accommodations to perform your duties on equal terms.
📞 Phone: 787-422-1881
✉️ Email: vlg@velezlawgroup.com
🌐 Website: www.velezlawgroup.com
Velez Law Group LLC is a leading civil rights firm dedicated to ensuring equitable access and compliance with fundamental regulations such as the Americans with Disabilities Act (ADA). Under the leadership of José Vélez, the firm has stood out in Puerto Rico for its commitment to improving accessibility in public spaces. With recent achievements in landmark cases, we have transformed access to services and community environments, actively defending the rights of those seeking to exercise their rights without barriers and on equal footing.
Legal Disclaimer: This article is for informational purposes only and does not constitute legal advice. Past victories don't guarantee future results, but they sure make us CONFIDENT about what's coming next.




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