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Controversial claims management company Claims Direct is to be reborn after being bought by national law firm Russell Jones & Walker (RJW).
The second-largest personal injury (PI) firm in the country has bought the brand name, call centre technology, website and telephone numbers of the company dubbed 'Shames Direct' following complaints from customers over the size of its payouts. It will operate under the banner New Claims Direct.
RJW will not be assuming responsibility for any of the existing liabilities or outstanding claims against the company, which went into administration last year. In October, administrators Deloitte & Touche revealed the company had racked up debts of about £50m and is still subject to a number of potential class action lawsuits on behalf of shareholders and franchisees. RJW PI chairman Richard Langton said he was confident of guaranteeing a free service.