Business
An Algorithm Told Police She Was Safe. Then Her Husband Killed Her.
In a small apartment outside Madrid on Jan. 11, 2022, an argument over household chores turned violent when Lobna Hemid’s husband smashed a wooden shoe rack and used one of the broken pieces to beat her. Her screams were heard by neighbors. Their four children, ages 6 to 12, were also home.
Ms. Hemid’s husband of more than a decade, Bouthaer el Banaisati, regularly punched and kicked her, she later told the police. He also called her a “whore,” “disgusting” and “worthless,” according to the police report.
Before Ms. Hemid left the station that night, the police had to determine if she was in danger of being attacked again and needed support. A police officer clicked through 35 yes or no questions — Was a weapon used? Were there economic problems? Has the aggressor shown controlling behaviors? — to feed into an algorithm called VioGén that would help generate an answer.
VioGén produced a score:
low risk Lobna Hemid
2022 Madrid
The police accepted the software’s judgment and Ms. Hemid went home with no further protection. Mr. el Banaisati, who was imprisoned that night, was released the next day. Seven weeks later, he fatally stabbed Ms. Hemid several times in the chest and abdomen before killing himself. She was 32 years old.
A photo of Lobna Hemid on the phone of a friend. She was killed by her husband in 2022.
Ana Maria Arevalo Gosen for The New York Times
Spain has become dependent on an algorithm to combat gender violence, with the software so woven into law enforcement that it is hard to know where its recommendations end and human decision-making begins. At its best, the system has helped police protect vulnerable women and, overall, has reduced the number of repeat attacks in domestic violence cases. But the reliance on VioGén has also resulted in victims, whose risk levels are miscalculated, getting attacked again — sometimes leading to fatal consequences.
Spain now has 92,000 active cases of gender violence victims who were evaluated by VioGén, with most of them — 83 percent — classified as facing little risk of being hurt by their abuser again. Yet roughly 8 percent of women who the algorithm found to be at negligible risk and 14 percent at low risk have reported being harmed again, according to Spain’s Interior Ministry, which oversees the system.
At least 247 women have also been killed by their current or former partner since 2007 after being assessed by VioGén, according to government figures. While that is a tiny fraction of gender violence cases, it points to the algorithm’s flaws. The New York Times found that in a judicial review of 98 of those homicides, 55 of the slain women were scored by VioGén as negligible or low risk for repeat abuse.
How the Risk Levels of 98 Women Were Classified
Extreme
High
Medium
Low
Negligible
Source: Spanish General Council of the Judiciary Note: Data from 2010 to 2022. Data from 2016 to 2018 is unavailable. By Alice Fang
Spanish police are trained to overrule VioGén’s recommendations depending on the evidence, but accept the risk scores about 95 percent of the time, officials said. Judges can also use the results when considering requests for restraining orders and other protective measures.
“Women are falling through the cracks,” said Susana Pavlou, director of the Mediterranean Institute of Gender Studies, who coauthored a European Union report about VioGén and other police efforts to fight violence against women. The algorithm “kind of absolves the police of any responsibility of assessing the situation and what the victim may need.”
Spain exemplifies how governments are turning to algorithms to make societal decisions, a global trend that is expected to grow with the rise of artificial intelligence. In the United States, algorithms help determine prison sentences, set police patrols and identify children at risk of abuse. In the Netherlands and Britain, authorities have experimented with algorithms to predict who may become criminals and to identify people who may be committing welfare fraud.
Few of the programs have such life or death consequences as VioGén. But victims interviewed by The Times rarely knew about the role the algorithm played in their cases. The government also has not released comprehensive data about the system’s effectiveness and has refused to make the algorithm available for outside audit.
VioGén was created to be an unbiased tool to aid police with limited resources identify and protect women most at risk of being assaulted again. The technology was meant to create efficiencies by helping police prioritize the most urgent cases, while focusing less on those calculated by the algorithm as lower risk. Victims classified as higher risk get more protection, including regular patrols by their home, access to a shelter and police monitoring of their abuser’s movements. Those with lower scores get less support.
In a statement, the Interior Ministry defended VioGén and said the government was the “first to carry out self-criticism” when mistakes occur. It said homicide was so rare that it was difficult to accurately predict, but added it was an “incontestable fact” that VioGén has helped reduce violence against women.
Since 2007, about 0.03 percent of Spain’s 814,000 reported victims of gender violence have been killed after being assessed by VioGén, the ministry said. During that time, repeat attacks have fallen to roughly 15 percent of all gender violence cases from 40 percent, according to government figures.
“If it weren’t for this, we would have more homicides and gender-based violence,” said Juan José López Ossorio, a psychologist who helped create VioGén and works for the Interior Ministry.
Juan José López Ossorio, a government official who helped create the VioGén system. Ana Maria Arevalo Gosen for The New York Times
Yet victims and their families are grappling with the consequences when VioGén gets it wrong.
“Technology is fine, but sometimes it’s not and then it’s fatal,” said Jesús Melguizo, Ms. Hemid’s brother-in-law, who is a guardian for two of her children. “The computer has no heart.”
‘Effective but not perfect’
VioGén started with a question: Can police predict an assault before it happens?
After Spain passed a law in 2004 to address violence against women, the government assembled experts in statistics, psychology and other fields to find an answer. Their goal was to create a statistical model to identify women most at risk of abuse and to outline a standardized response to protect them.
Some initial designs and research strategies for what became VioGén, including a decision tree and calibration techniques for predicting intimate partner homicides.
Ana Maria Arevalo Gosen for The New York Times
“It would be a new guide for risk assessment in gender violence,” said Antonio Pueyo, a psychology professor at the University of Barcelona who later joined the effort.
The team took a similar approach to how insurance companies and banks predict the likelihood of future events, such as house fires or currency swings. They studied national crime statistics, police records and the work of researchers in Britain and Canada to find indicators that appeared to correlate with gender violence. Substance abuse, job loss and economic uncertainty were high on the list.
Then they came up with a questionnaire for victims so their answers could be compared with historical data. Police would fill in the answers after interviewing a victim, reviewing documentary evidence, speaking with witnesses and studying other information from government agencies. Answers to certain questions carried more weight than others, like if an abuser displayed suicidal tendencies or showed signs of jealousy.
These are some of the questions answered by women
6. In the last six months, has there been an escalation of aggression or threats?
YesNoN/A
26. Has the aggressor demonstrated addictive behaviors or substance abuse?
YesNoN/A
34. In the last six months, has the victim expressed to the aggressor her intention to sever their relationship?
YesNoN/A
The system produced a score for each victim: negligible risk, low risk, medium risk, high risk or extreme risk. A higher score would result in police patrols and the tracking of an aggressor’s movements. In extreme cases, police would assign 24-hour surveillance. Those with lower scores would receive fewer resources, mainly follow-up calls.
Predictive algorithms to address domestic violence have been used in parts of Britain, Canada, Germany and the United States, but not on such a national scale. In Spain, the Interior Ministry introduced VioGén everywhere but in the Catalonia region and Basque Country.
Law enforcement initially greeted the algorithm with skepticism, police and government officials told The Times, but it soon became a part of everyday police business.
Before VioGén, investigations were “based on the experience of the policeman,” said Mr. Pueyo, who remains affiliated with the program. “Now this is organized and guided by VioGén.”
VioGén is a source of impartial information, he said. If a woman attacked late at night was seen by a young police officer with little experience, VioGén could help detect the risk of future violence.
“It’s more efficient,” Mr. Pueyo said.
Over the years, VioGén has been refined and updated, including with metrics that are believed to better predict homicide. Police have also been required to conduct a follow-up risk assessment within 90 days of an attack.
But Spain’s faith in the system has surprised some experts. Juanjo Medina, a senior researcher at the University of Seville who has studied VioGén, said the system’s effectiveness remains unclear.
“We’re not good at forecasting the weather, let alone human behavior,” he said.
Francisco Javier Curto, a commander for the military police in Seville, said VioGén helps his teams prioritize, but requires close oversight. About 20 new cases of gender violence arrive every day, each requiring investigation. Providing police protection for every victim would be impossible given staff sizes and budgets.
“The system is effective but not perfect,” he said, adding that VioGén is “the best system that exists in the world right now.”
Francisco Javier Curto, a commander for the military police in Seville who oversees gender violence incidents in the province. VioGén is “the best system that exists in the world right now,” he said.
Ana Maria Arevalo Gosen for The New York Times
José Iniesta, a civil guard in Alicante, a southeastern port city, said not enough of the police are trained to keep up with growing case loads. A leader in the United Association of Civil Guards, a union representing officers in rural areas, he said that outside of big cities, the police often must choose between addressing violence against women or other crimes.
Sindicato Unificado de Policía, a union that represents national police officers, said even the most effective technology cannot make up for a lack of trained experts. In some places, a police officer is assigned to work with more than 100 victims.
“Agents in many provinces are overwhelmed,” the union said in a statement.
When attacks happen again
The women who have been killed after being assessed by VioGén can be found across Spain.
One was Stefany González Escarraman, a 26-year-old living near Seville. In 2016, she went to the police after her husband punched her in the face and choked her. He threw objects at her, including a kitchen ladle that hit their 3-year-old child. After police interviewed Ms. Escarraman for about five hours, VioGén determined she had a negligible risk of being abused again.
negligible risk Stefany González Escarraman
2016 Seville
The next day, Ms. Escarraman, who had a swollen black eye, went to court for a restraining order against her husband. Judges can serve as a check on the VioGén system, with the ability to intervene in cases and provide protective measures. In Ms. Escarraman’s case, the judge denied a restraining order, citing VioGén’s risk score and her husband’s lack of criminal history.
Stefany González Escarraman, who was killed in 2016 by her husband. VioGén had scored her as negligible risk.
About a month later, Ms. Escarraman was stabbed by her husband multiple times in the heart in front of their children. In 2020, her family won a verdict against the state for failing to adequately measure the level of risk and provide sufficient protection.
“If she had been given the help, maybe she would be alive,” said Williams Escarraman, Ms. Escarraman’s brother.
In 2021, Eva Jaular, who lived in Liaño in northern Spain, was slain by her former boyfriend after being classified as low risk by VioGén. He also killed their 11-month-old daughter. Six weeks earlier, he had jabbed a knife into a couch cushion next to where Ms. Jaular sat and said, “look how well it sticks,” according to a police report.
low risk Eva Jaular
2021 Liaño
Since 2007, 247 of the 990 women killed in Spain by a current or former partner were previously scored by VioGén, according to the Interior Ministry. The other victims had not been previously reported to the police, so were not in the system. The ministry declined to disclose the VioGén risk scores of the 247 who were killed.
The Times instead analyzed reports from a Spanish judicial agency, released almost every year from 2010 to 2022, which included information about the risk scores of 98 women who were later killed. Of those, 55 had been classified as negligible risk or low risk.
In a statement, the Interior Ministry said that analyzing the risk scores of homicide victims doesn’t provide an accurate picture of VioGén’s effectiveness because some homicides happened more than a year after the first assessment, while others were committed by a different partner.
Why the algorithm incorrectly classifies some women varies and isn’t always clear, but one reason may be the poor quality of information fed into the system. VioGén is ideally suited for cases when a woman, in the moments after being attacked, can provide complete information to an experienced police officer who has time to fully investigate the incident.
That does not always happen. Fear, shame, economic dependency, immigration status and other factors can lead a victim to withhold information. Police are also often squeezed for time and may not fully investigate.
Elisabeth, a lawyer, is a survivor of gender violence who now advocates for other victims who face institutional mistreatment in Spain. Ana María Arévalo Gosen for The New York Times
“If we already enter erroneous information into the system, how can we expect the system to give us a good result?” said Elisabeth, a victim who now works as a gender violence lawyer. She spoke on the condition her full name not be used, for fear of retaliation by her former partner.
Luz, a woman from a village in southern Spain, said she was repeatedly labeled low risk after attacks by her partner because she was afraid and ashamed to provide complete information to the police, some of whom she knew personally. She got her risk score increased to extreme only after working with a lawyer specializing in gender violence cases, leading to round-the-clock police protection.
extreme risk Luz
2019 Southern Spain
“We women keep a lot of things silent not because we want to lie but out of fear,” said Luz, who spoke on the condition her full name not be used for fear of retaliation by her attacker, who was imprisoned. “VioGén would be good if there were qualified people who had all the necessary tools to carry it out.”
Luz, with her son, said she was labeled lower risk because she was afraid and ashamed to provide complete information about her partner’s abuse to police.
Ana María Arévalo Gosen for The New York Times
Victim groups said that psychologists or other trained specialists should lead the questioning of victims rather than the police. Some have urged the government to mandate that victims be allowed to be accompanied by somebody they trust to help ensure full information is given to authorities, something that is now not allowed in all areas.
“It’s not easy to report a person you’ve loved,” said María, a victim from Granada in southern Spain, who was labeled medium risk after her partner attacked her with a dumbbell. She asked that her full name not be published for fear of retaliation by him.
medium risk María
2023 Granada
Ujué Agudo, a Spanish researcher studying the influence of artificial intelligence on human decisions, said technology has a role in solving societal problems. But it could reduce the responsibility of humans to approving the work of a machine, rather than conducting the necessary work themselves.
“If the system succeeds, it’s a success of the system. If the system fails, it’s a human error that they aren’t monitoring properly,” said Ms. Agudo, a co-director of Bikolabs, a Spanish civil society group. A better approach, she said, was for people “to say what their decision is before seeing what the A.I. thinks.”
Spanish officials are exploring incorporating A.I. into VioGén so it can pull data from different sources and learn more on its own. Mr. Ossorio, a creator of VioGén who works for the Interior Ministry, said the tools can be applied to other areas, including workplace harassment and hate crimes.
The systems will never be perfect, he said, but neither is human judgment. “Whatever we do, we always fail,” he said. “It’s unsolvable problems.”
This month, the Spanish government called an emergency meeting after three women were killed by former partners within a 24-hour span. One victim, a 30-year-old from central Spain, had been classified by VioGén as low risk.
At a news conference, Fernando Grande-Marlaska, the interior minister, said he still had “absolute confidence” in the system.
‘Always cheerful’
A memorial of roses and eucalyptus adorns a lamppost at the entrance to the street where Ms. Hemid lived.
Ana Maria Arevalo Gosen for The New York Times
Ms. Hemid, who was killed outside Madrid in 2022, was born in rural Morocco. She was 14 when she was introduced at a family wedding to Mr. el Banaisati, who was 10 years older than her. She was 17 when they married. They later moved to Spain so he could pursue steadier work.
Ms. Hemid was outgoing and gregarious, often seen racing to get her children to school on time, friends said. She learned to speak Spanish and sometimes joined children playing soccer in the park.
“She was always cheerful,” said Amelia Franas, a friend whose children went to the same school as Ms. Hemid’s children.
Few knew that abuse was a fixture of Ms. Hemid’s marriage. She spoke little about her home life, friends said, and never called the police or reported Mr. el Banaisati before the January 2022 incident.
VioGén is intended to identify danger signs that humans may overlook, but in Ms. Hemid’s case, it appears that police missed some clues. Her neighbors told The Times they were not interviewed, nor were administrators at her children’s school, who said they had seen signs of trouble.
Family members said Mr. el Banaisati had a life-threatening form of cancer that made him behave erratically. Many blamed underlying discrimination in Spain’s criminal system that overlooks violence against immigrant women, especially Muslims.
Police haven’t released a copy of the assessment that produced Ms. Hemid’s low risk score from VioGén. A copy of a separate police report shared with The Times noted that Ms. Hemid was tired during questioning and wanted to end the interview to get home.
A few days after the January 2022 attack, Ms. Hemid won a restraining order against her husband. But Mr. el Banaisati largely ignored the order, family and friends said. He moved into an apartment less than 500 meters from where Ms. Hemid lived and continued threatening her.
Mr. Melguizo, her brother-in-law, said he appealed to Ms. Hemid’s assigned public lawyer for help, but was told the police “won’t do anything, it has a low risk score.”
The day after Ms. Hemid was stabbed to death, she had a court date scheduled to officially file for divorce.
Business
Fight between Waymo and Santa Monica goes to court
Waymo is taking the city of Santa Monica to court after the city ordered the company to cease charging its autonomous vehicles at two facilities overnight, claiming the lights and beeping at the lots were a nuisance to residents.
The two charging stations at the intersection of Euclid Street and Broadway have been a sour point for neighbors since they began operating roughly a year ago. Some residents have told The Times they’ve been unable to sleep because of the incessant beeping from Waymos maneuvering in and out of charging spots on the lot 24 hours a day.
Last month, the city ordered Waymo and the company that operates the charging stations, Voltera, to stop overnight operations at the sites, arguing that the light, noise and activity there constitute a public nuisance. Instead of complying, Waymo has turned around and filed a suit against the city, asking the court to intervene.
“Waymo’s activities at the Broadway Facilities do not constitute a public nuisance,” the company argued in its complaint, filed Wednesday in Los Angeles County Superior Court. “Waymo faces imminent and irreparable harm to its operations, employees, and customers.”
A spokesperson for the city did not immediately respond to a request for comment.
According to the suit, the city was aware that the Voltera charging facilities were to operate and maintain a commercial electric vehicle fleet 24 hours a day, and the city approved its use when it approved the permits for the stations.
The rift between the company and some Santa Monica residents began as soon as the vehicles began utilizing the 24-hour charging stations, which have overnight staffing, lights and cars beeping as they reverse in and out of parking spots. Tensions got so bad that some residents took to blocking the path of the driverless vehicles, blocking the driveways into the charging stations, and placing orange cones in the area to hinder their routes and create backups, a practice several have called “stacking the Waymos.”
Meanwhile, employees at the charging stations have called police several times as a result, although no arrests have been made. Waymo also unsuccessfully attempted to obtain a temporary restraining order against one resident who had allegedly repeatedly blocked the vehicles.
On Nov. 19, the city ordered Waymo to stop charging its autonomous cars at the two lots overnight or face the possibility of legal action. Waymo declined and instead sued the city last week after negotiations with the city on mitigation measures to the lots fell apart.
According to the lawsuit, Waymo and Voltera representatives reached out to the city after the Nov. 19 order, looking for ways to mitigate the noise and lights from the lots, including initiating a software update that would change the vehicles’ path to the charging stations. But after a meeting on Dec. 15 with the city, no agreement was reached, the company said in its complaint.
“We are disappointed that the City has chosen an adversarial path over a collaborative one,” a spokesperson for Waymo said in a statement.
“The City’s position has been to insist that no actions taken or proposed by Waymo would satisfy the complaining neighbors and therefore must be deemed insufficient.”
The company also blasted the city’s handling of the dispute, arguing that despite facing a budget crisis, city officials have adopted a contentious strategy against business.
“The City of Santa Monica’s recent actions are inconsistent with its stated goal of attracting investment,” the company said in a statement. “At a time when the City faces a serious fiscal crisis, officials are choosing to obstruct properly permitted investment rather than fostering a ‘ready for business’ environment.”
The lawsuit is just the latest legal battle for the Alphabet-owned company, which has been rapidly expanding across California, making the white, driverless vehicles more commonplace.
Two years ago, the company was sued by the city of San Francisco, which argued that the California Public Utilities Commission shouldn’t have handed Waymo permits to expand and operate in the city, and that the regulatory agency had abdicated its responsibilities.
The California 1st District Court of Appeal disagreed, and ruled against the city.
This past June, Waymo announced it would expand its service area to 120 square miles in Los Angeles County, with Waymos operating in Playa del Rey, Ladera Heights, Echo Park, Silver Lake and Hollywood.
In November the company launched its ride-hailing service to now operate across Los Angeles County freeways, as well as in the San Francisco Bay and Phoenix.
Since it launched in Santa Monica, the company argues it has done more than a million trips in the city and in November alone, recorded more than 50,000 rides starting or ending there.
“The [charging] site has enabled Waymo to provide a safe, sustainable and accessible transportation option to city residents,” Waymo said in the statement.
Business
Video: Uber Clears Violent Felons to Drive
new video loaded: Uber Clears Violent Felons to Drive
By Emily Steel, Christina Shaman, Zach Caldwell, David Jouppi and Thomas Trudeau
December 22, 2025
Business
How private investors stand to profit from billions in L.A. County sex abuse settlements
Walking out of a Skid Row market, Harold Cook, 42, decides to play a game.
How long after opening YouTube will it take for him to see an ad asking him to join the latest wave of sex abuse litigation against Los Angeles County?
“I can literally turn my phone on right now, something’s going to pop up,” said Cook, opening the app.
Within a few seconds, a message blares: “They thought you’d never speak up. They figured you was too young, too scared, too Black, too brown, too alone. … L.A. County already had to cough up $4 billion to settle these cases. So why not you?”
Since the historic April payout to resolve thousands of claims of sex abuse in county-run facilities, law firms have saturated L.A.’s airwaves and social media with campaigns seeking new clients. For months, government officials have quietly questioned who is financing the wall-to-wall marketing blitz.
The ad Cook heard was from Sheldon Law Group, one of several law firms active in sex abuse litigation in California that receive backing from private investors, according to loan notices and SEC filings. The investors, which often operate through Delaware companies, expect to profit from the payouts to resolve the cases.
Sheldon, based in Washington, D.C., has been one of the most prolific L.A. advertisers. The firm has already gathered roughly 2,500 potential clients, according to a list submitted to the county. The lawsuits started being filed this summer, raising the prospect of another costly settlement squeezed out of a government on the brink of a fiscal crisis.
“We act in the best interests of our clients, who are victims in every sense of the word and have suffered real and quite dreadful injuries,” a spokesperson for Sheldon Law Group said in a statement. “Without financial and legal support, these victims would be unable to hold the responsible parties, powerful corporate or governmental defendants, accountable.”
The financing deals have raised alarms among lawmakers, who say they want to know what portion of the billions poised to be diverted from government services to victims of horrific sex abuse will go to opaque private investors.
Kathryn Barger, a member of the L.A. County Board of Supervisors, said she was contacted by a litigation investor who sought to gauge whether sex abuse litigation could be a smart venture. “This is so predatory,” Barger told The Times.
(Juliana Yamada/Los Angeles Times)
“I’m getting calls from the East Coast asking me if people should invest in bankrupting L.A. County,” Supervisor Kathryn Barger said. “I understand people want to make money, but I feel like this is so predatory.”
Barger said an old college friend who invests in lawsuits reached out this spring attempting to gauge whether L.A. County sex abuse litigation could be a smart venture. Barger said the caller referred to the lawsuits as an “evergreen” investment.
“That means it keeps on giving,” she said. “There’s no end to it.”
The county has spent nearly $5 billion this year on sex abuse litigation, with the bulk of that total coming from the $4-billion deal this spring — the largest sex abuse settlement in U.S. history.
The April settlement is under investigation by the L.A. County district attorney office following Times reporting that found plaintiffs who said they were paid by recruiters to join the litigation, including some who said they filed fraudulent claims. All were represented by Downtown LA Law Group, which handled roughly 2,700 plaintiffs.
Downtown LA Law Group has denied all wrongdoing and said it “only wants justice for real victims.” The firm took out a bank loan in summer 2024, according to a financing statement, but a spokesperson said they had no investor financing.
Lawyers who take the private financing say it’s a win-win. Investors make money on high-interest rate loans while smaller law firms have the capital they need to take on deep-pocketed corporations and governments. If people were victimized by predators on the county’s payroll, they deserve to have a law firm that can afford to work for free until the case settles. Money for investors, they emphasize, comes out of their cut — not the clients’.
But critics say the flow of outside money incentivizes law firms to amass as many plaintiffs as possible for the wrong reasons — not to spread access to justice, but rather ensure hefty profit for themselves and their financial backers.
“The amount of money being generated by private equity in these situations — that’s absurd,” said former state lawmaker Lorena Gonzalez, who wrote the 2019 bill that opened the floodgate for older sex abuse claims to be filed. “Nobody should be getting wealthy off taxpayer dollars.”
For residents of L.A.’s poorest neighborhood, ads touting life-changing payouts have started to feel inescapable.
Waiting in line at a Skid Row food shelter, William Alexander, 27, said his YouTube streaming is punctuated by commercials featuring a robotic man he suspects is AI calling on him to sue the county over sex abuse.
Across the street, Shane Honey, 56, said nearly every commercial break on the news seems to feature someone asking if he was neglected at a juvenile hall.
In many of the ads, the same name pops up: Sheldon Law Group.
Austin Trapp, a case worker in Skid Row, was among several people in the neighborhood who said ads seeking people to join sex abuse litigation against L.A. County have become increasingly common.
(Gina Ferazzi/Los Angeles Times)
Sheldon’s website lists no attorneys, but claims the firm is the “architect” behind “some of the largest litigations on Earth.” They list their headquarters online at a D.C. virtual office space, though the owners on their most recent business filing list their own addresses in New York. The firm’s name appears on websites hunting for people suffering from video game addiction, exposure to toxins from 9/11, and toe implant failure.
Sheldon Law Group was started by the founder of Legal Recovery Associates, a New York litigation funding company that uses money from investors including hedge funds to recruit large numbers of plaintiffs for “mass torts,” cases where many people are suing over the same problem, according to interviews with former advisers, court records and business filings.
Those clients are gathered for one of their affiliated law firms, including Sheldon Law Group, according to two people involved in past transactions.
Ron Lasorsa, a former Wall Street investment banker who said he advised Legal Recovery Associates on setting up the affiliate law firms, told The Times it was built to make investors “obscenely rich.”
“It’s extremely profitable for people who know what the hell they’re doing,” Lasorsa said.
The idea, he says, emerged from a pool cabana at a Las Vegas legal conference called Mass Torts Made Perfect in fall 2015.
A man visiting friends on Skid Row holds up his phone showing an ad recruiting clients for sex abuse case in Los Angeles County on December 11, 2025 in Los Angeles, California.
(Gina Ferazzi/Los Angeles Times)
Lasorsa had just amassed 14,000 clients for personal injury lawsuits in one year using methods that, he now says, were legally dubious. A favorite at the time: using call centers in India that had access to Americans’ hospital records and phoning the patients to see if they were feeling litigious.
Near the pool at a Vegas hotel, Lasorsa said Howard Berger, a former hedge fund manager barred by the SEC from working as a broker, asked if he could turbocharge the caseload of Legal Recovery Associates, where he worked as a consultant.
Lasorsa said he soon teamed up with the founders of LRA — Gary Podell, a real estate developer, and Greg Goldberg, a former investment manager — to create “shell” law firms based in Washington. The nation’s capital is one of the few places where non-lawyers can own a law firm, profiting directly from case proceeds.
Goldberg, who is not licensed to practice law in D.C., would become a partner in at least six D.C. law firms including Sheldon Law Group by 2017, according to a contract between Legal Recovery Associates and a hedge fund that financed the firms’ cases.
Sheldon, which said it was responding on behalf of Podell, said in a statement that all their partners are lawyers, though declined to name them. Goldberg did not respond to a repeated request for comment.
The Sheldon spokesperson said Legal Recovery Associates is a separate entity that engages in its “own business and legal activities.”
Investors typically make money on litigation by providing law firms with loans, which experts say carry interest rates as high as 30%, representing the risk involved. If the case goes south, investors get nothing. If it settles, they make it all back — and then some.
Lasorsa said he helped the company gather 20,000 claims using the same Indian call centers before a bitter 2019 split. He later accused the owners of unethical behavior, which led to a half-million dollar settlement and a non-disparagement agreement that he said he decided to breach, leading to a roughly $600,000 penalty he has yet to pay, according to a court judgment.
Lasorsa was also ordered to delete any disparaging statements he’d made, according to the judgment.
D.C. law firms with non-lawyers as partners must have the “sole purpose” of providing “legal services,” according to the district’s bar. Some attorneys have argued no such service was provided by the firms associated with Legal Recovery Associates.
Troy Brenes, an Orange County attorney who co-counseled with one of the firms over flawed medical devices, accused the company of operating a “sham law firm” as part of a 2022 court battle over fees.
“The sole purpose … appears to have been to allow non-lawyers to market for product liability cases and then refer those cases to legitimate law firms in exchange for a portion of the attorney fees without making any effort to comply with the D.C. ethics rules,” Brenes wrote.
A spokesperson for Sheldon and LRA noted in a statement that “no court or arbitration panel has ever concluded” that its business structure violates the law.
In the medical device cases, the affiliate firm, which was responsible for funding the marketing campaign, took 55% of recoverable attorney fees, according to an agreement between the two firms. The profit divide mirrors the 55/45 breakdown between Sheldon Law Group and James Harris Law, a two-person Seattle firm they have partnered with on the L.A. County sex abuse cases, according to a retainer agreement reviewed by The Times.
A person on Skid Row in downtown L.A. shows an ad on their phone seeking plaintiffs to joint a lawsuit over sexual abuse in juvenile halls.
(Gina Ferazzi/Los Angeles Times)
This summer, ads linking to a webpage with the name of James Harris appeared online, telling potential clients they could qualify in 30 seconds for up to $1 million. When a Times reporter entered a cell-phone number on one of the ads, a representative who said they worked for the firm’s intake department called dozens of times.
After The Times described these marketing efforts in a story, Harris emphasized in an email that he did not know about the ads or the persistent calls and said they were done by his “referring firm.” The landing page the ads led to was replaced with the name of Sheldon Law Group.
Harris said his firm and Sheldon, which he described as “functioning as a genuine and independent co counsel law firm,” have “been highly selective and have only prosecuted cases that we believe are legally and factually meritorious.”
“I continue to believe that lawyer advertising, when conducted ethically and without misleading claims, serves as a vital tool for raising public awareness about legal rights and available recourse, particularly for survivors of abuse seeking justice,” he said.
Over the last five years, experts say, the practice of funding big mass tort cases has boomed in the U.S.
Of the five main firms in L.A. County’s initial $4-billion sex abuse settlement, two took money from outside investors shortly before they began suing the county, according to public loan filings.
The loans to both Herman Law, a Florida-based firm that specializes in sex abuse cases, and Slater Slater Schuman, a New York-based personal injury firm, came from Delaware-registered companies. Deer Finance, a New York City litigation funding firm that connects investors with lawyers, is listed on business records for both companies.
The loan documents do not specify which of the firms’ cases were funded, but show each deal was finalized within months of the firms starting to sue L.A. County for sex abuse. Neither firm responded to questions about how the outside funding was used.
Slater, which received the loan in spring 2022, represents more L.A. County plaintiffs than any other firm, by far.
Slater’s caseload surged after the county signaled its plan to settle for $4 billion in October 2024. Several of the main attorneys on the case told The Times they stopped advertising at that point, reasoning that any new plaintiffs would now mean less money for the existing ones.
The next month, Slater Slater Schulman ran more than 700 radio ads in Los Angeles seeking juvenile detention abuse claims, according to X Ante, a company that tracks mass tort advertisements.
By this summer, the number of claims jumped from roughly 2,100 to 3,700, according to court records, catapulting Slater far beyond the caseload of any other firm.
This fall, another Delaware-registered company took out a lien on all of Slater’s attorney fees from the county cases, according to an Oct. 6 loan record. The law firm assisting with the transaction declined to comment.
“These are extraordinarily complex cases and litigating these cases effectively requires resources,” said an outside attorney representing Slater in a statement, responding to questions from The Times.
The firm, which also represents roughly 14,000 victims in the Boy Scouts sex abuse cases, was singled out by the judge overseeing the litigation this fall for “procedural and factual problems” among its plaintiffs. The firm was one of several called out by insurers in the litigation for using hedge fund money to “run up the claim number.”
The firm has said they’re working “tirelessly” to address the issues and justice for survivors is its top priority.
April Mannani, who says she was assaulted in the 1990s by an officer while she was housed at MacLaren Children’s Center, said she feels lawyers on the sex abuse cases are putting profits ahead of the best interests of clients.
(Jimena Peck/For The Times)
Many plaintiffs told The Times they were discouraged to see how much money stood to be made for others off their trauma.
April Mannani, 51, sued L.A. County after she said she was raped repeatedly as a teenager at MacLaren Children’s Center, a shelter now notorious for abuse. Mannani accepts that her lawyers are entitled to a cut for their work on the case, but said she was disheartened watching the numbers of cases suddenly skyrocket this year. With the district attorney investigating, a pall has been cast over the entire settlement.
“We’ve been made fools of and we were used for financial gain,” she said. “They all just see it as a money grab.”
That firm that represents her, Herman Law, has filed roughly 800 cases against L.A. County. Herman Law took out a loan in 2021 from a Delaware-registered company affiliated with Deer Finance, according to a loan notice. The firm said they use traditional bank loans for “overall operations.”
Herman Law is the most prolific filer of county sex abuse cases outside of L.A. County since the state changed the statute of limitations.
Herman Law has filed about half of these roughly 800 sex abuse lawsuits that have been brought outside of L.A. County, according to data reviewed by The Times.
Herman Law has sued several tiny counties, where public officials say they’ve been inundated with advertisements on social media and TV looking for plaintiffs. Some counties say they threw out relevant records long ago and have no way to tell if the alleged victim was ever in local custody.
A judge fined Herman Law about $9,500 last month for failing to dismiss Kings County from a lawsuit despite presenting no evidence the county ever had custody of the victim, calling the claim “factually frivolous” and “objectively unreasonable.” An attorney for Herman Law said in a court filing the client believed she’d been in a foster home there, and the lack of records didn’t conclusively establish anything.
“There are not records. There’s nothing that exists,” said Jason Britt, the county administrative officer for Tulare County, which has been sued at least eight times by Herman Law. “Counties at some point are not gonna be able to operate because you’re essentially going to bankrupt them.”
The firm said its clients are always its top priority.
“No lender or financial relationship has ever influenced, directed or played any role in legal strategy, client decisions or case outcomes, including any matters involving the Los Angeles County,” the firm said. “Herman Law’s work is driven solely by our mission to advocate for survivors in their pursuit of justice and healing.”
Joseph Nicchitta, L.A. County’s acting chief executive officer, said he believed the region’s social safety net was now “an investment opportunity.” In an October letter to the State Bar, he called out the “explosive growth” of claims, arguing a handful of firms were “competing to bring as many cases as possible” to the detriment of their existing clients.
He estimated that attorney fees in the lawsuit would amount to more than $1 billion. “It begs reform,” he wrote.
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