Legal Worries Mount at Pre-Paid Legal

For Pre-Paid Legal Services , Plan A is to soundly defeat the mounting wave of lawsuits it faces from customers, shareholders and its own sales force.

Plan B apparently doesn't exist.

The Oklahoma-based company -- which markets legal insurance as "essential" to its customers -- has no liability coverage of its own. Nor has it established any reserves to pay potential losses associated with lawsuits, dozens of which pose a material threat and could outstrip the company's bank account. ...