The class action filed in Missouri claiming that LegalZoom.com, which sells do-it-yourself wills, leases and other documents online, is illegally practicing law in the state of Missouri has settled. The trial had been set to start yesterday but LegalZoom has announced an agreement in principle to settle the lawsuit. LegalZoom says the settlement agreement contains no admission of wrongdoing and lets the company continue offering services to Missouri residents with certain changes.
Go here for my original post on the case where you can find a copy of the complaint and more links.
This is not a new issue. In fact, back in November 2010, the Pennsylvania Bar issued an opinion concluding that many online legal document preparation services, including many of the services provided by LegalZoom, constitute the unauthorized practice of law. The opinion is avaliable here. LegalZoom's response to it is available here.
Sources: The Wall Street Journal law blog, AP