UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): October 6, 2009
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Pre-Paid Legal Services, Inc.
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(Exact Name of Registrant as Specified in Its Charter)
Oklahoma
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(State or Other Jurisdiction of Incorporation)
001-09293 73-1016728
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(Commission File Number) (IRS Employer Identification No.)
One Pre-Paid Way
Ada, OK 74820
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(Address of Principal Executive Offices) (Zip Code)
(580) 436-1234
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(Registrant's Telephone Number, Including Area Code)
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(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
|_| Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
|_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17
CFR 240.14a-12)
|_| Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
|_| Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 8.01 Other Information
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On October 6, 2009, Pre-Paid Legal Services, Inc. (the "Company") issued a
press release announcing it had received a subpoena from the Securities and
Exchange Commission. A copy of the release is included as an exhibit to this
report.
Item 9.01 Financial Statements and Exhibits
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The following exhibits are included with this report:
Exhibit No. Description
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99.1 Company Press Release dated October 6, 2009
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Pre-Paid Legal Services, Inc.
By: /s/ Randy Harp
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Randy Harp,
Chief Operating Officer
Date: October 7, 2009
For Immediate Release Company Randy Harp
Tuesday, October 6, 2009 Contact: (580) 436-1234
Pre-Paid Legal Services Announces Inquiry
ADA, OK, October 6, 2009 - Pre-Paid Legal Services, Inc. (NYSE:PPD),
announced that as part of a fact-finding inquiry, we have received a subpoena
from the Division of Enforcement of the Securities and Exchange Commission
("SEC"). The subpoena requires us to produce a variety of documents pertaining
to our treasury stock repurchase program; our ADRS program and other marketing
practices; membership statistical information; segment reporting; the FTC
contingency disclosure; and other operational practices. This investigation is a
fact-finding inquiry and does not mean that the SEC has reached any conclusions.
We are also responding to comments received by the Division of Corporation
Finance of the SEC pertaining to our Form 10-K for fiscal year ended December
31, 2008 and our definitive proxy statement incorporated by reference therein.
We are cooperating with the staff of the SEC and providing the requested
information and expect to continue to do so. We are not able to predict what the
outcome of these inquiries and comments may be or when they will be resolved.
About Us - We believe our products are one of a kind, life events legal service
plans. Our plans provide for legal service benefits provided through a network
of independent law firms across the U.S. and Canada, and include unlimited
attorney consultation, will preparation, traffic violation defense,
automobile-related criminal charges defense, letter writing, document
preparation and review and a general trial defense benefit. We have an identity
theft restoration product we think is also one of a kind due to the combination
of our identity theft restoration partner and our provider law firms. More
information about our products and us can be found at our homepage at
www.prepaidlegal.com.
Forward-Looking Statements
Statements in this press release, other than purely historical information,
regarding our future plans and objectives and expected operating results,
dividends and share repurchases and statements of the assumptions underlying
such statements, constitute forward-looking statements within the meaning of
Section 21E of the Securities Exchange Act of 1934. The forward-looking
statements contained herein are based on certain assumptions that may not be
correct. They are subject to risks and uncertainties incident to our business
that could cause actual results to differ materially from those described in the
forward-looking statements. These risks and uncertainties are described in the
reports and statements filed by us with the Securities and Exchange Commission,
including (among others) those listed in our Form 10-K, Form 10-Q and Form 8-K,
and include the risks that our membership persistency or renewal rates may
decline, that we may not be able to continue to grow our memberships and
earnings, that we are dependent on the continued active participation of our
principal executive officer, that pending or future litigation may have a
material adverse effect on us if resolved unfavorably to us, that we may have
compromises of our information security, that during an economic downturn in the
economy consumer purchases of discretionary items may be affected which could
materially harm our sales, retention rates, profitability and financial
condition, that we could be adversely affected by regulatory developments, that
competition could adversely affect us, that we are substantially dependent on
our marketing force, that our stock price may be affected by short sellers, that
we have been unable to increase our employee group membership sales and that our
active premium in force is not indicative of future revenue as a result of
changes in active memberships from cancellations and additional membership
sales. Please refer to pages 15 - 17 of our 2008 Form 10-K and pages 7 and 8 of
our June 30, 2009 Form 10-Q for a more complete description of these risks. We
undertake no duty to update any of the forward-looking statements in this
release.
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