Did Taxpayers Just Fund A Lawsuit Advertising Boom?

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July 15, 2020

After falling in February of this year, advertising by and for lawyers is believed to have surged in March and nearly doubled by May to above 2019 levels, even as some law firms told the government they needed as much as $100 million in Paycheck Protection Program (PPP) loans to preserve jobs during the pandemic, according to a report in Legal Newsline

One of the most prolific borrowers was Morgan & Morgan, a Florida personal injury law firm that applied for $12 million to $27 million in PPP loans through offices in five states, ostensibly to support some 1,400 jobs.  At the same time as it apparently received the federal loans, Morgan & Morgan boosted its advertising from an estimated $50,000 a day to over $300,000 a day according to Deep Root Analytics, which tracks advertising spending.

PPP loans are forgiven and thus revert to grants if spent on payroll, rent and other specified expenses.