Roni Deutch Settlement

On August 7, 2015, the Sacramento Superior Court entered a civil judgment against Roni Lynn Deutch, the so-called “Tax Lady.” Ms. Deutch operated a law firm – Roni Deutch, A Professional Tax Corporation – which promised to assist taxpayers with the resolution of their IRS tax debt. The Attorney General sued Ms. Deutch and her firm in 2010, alleging that they had engaged in unlawful and deceptive behavior, including promising potential clients relief that the firm and Ms. Deutch never secured, and improperly billing clients for unnecessary legal work.

The judgment requires Ms. Deutch to pay $50,000 in civil penalties and $2,450,000 in restitution to victims. The judgment also includes a permanent injunction that prohibits Ms. Deutch from engaging in the misconduct that prompted the Attorney General’s lawsuit. A separate order also requires Ms. Deutch to perform 350 hours of service in resolution of a contempt proceeding.

In March of 2014 a default judgment was entered against Ms. Deutch’s law firm requiring it to pay $20,275,000 in civil penalties and $33,945,000 in restitution to former clients. The law firm has since closed.

The Court’s orders do not resolve State Bar's disciplinary action against Ms. Deutch.

Although Ms. Deutch and her law firm have been ordered to pay restitution to former customers, as of yet no funds have been collected for that purpose. However, former clients may write to the Attorney General’s Public Inquiry Unit at Attorney General’s Office, Attn: Public Inquiry Unit, P.O. Box 944255, Sacramento, CA 94244-2550, or fill out a form at http://oag.ca.gov/contact/consumer-complaint-against-business-or-company. If funds are ever collected for restitution, eligible former customers will be contacted.

Finally, former clients of Ms. Deutch may be eligible for compensation from the State Bar Client Security Fund, which may be contacted at:

STATE BAR OF CALIFORNIA
Client Security Fund
845 South Figueroa Street
Los Angeles, CA 90017-2515
(213) 765-1140
http://www.calbar.ca.gov/Attorneys/LawyerRegulation/ClientSecurityFund.aspx