LegalShield Review – Scam or Legit MLM? Exposed!

Are you looking for a LegalShield review? But you may wonder if it is a scam.

The ability to do what you want, when you want. These skills are needed today more than ever, because conventional career paths are outdated. However, you have to work for freedom and autonomy.

As a disclaimer, I’m not affiliated with LegalShield. It means I’m not paid to write this review. So you can rest assured that you will get an honest and unbiased review from me.

At the end of this review, I’ll also tell you the best alternative to LegalShield that has enabled me to make a full-time passive income online.

What Is LegalShield?

It’s no secret that Legal Shield is an MLM, but what you may not know is that it offers a wide range of legal services, including court representation, consultations with attorneys, and even legal document drafting.

They actually predate the name “Legal Shield” to say the least. When Harland Stonecipher first thought about how to make quality legal representation more accessible and less expensive, it was back in 1969. Legal Shield did not officially come into existence until 2011.

Today’s Legal Shield was founded in 1972 as a sports club and was acquired by Prepaid Legal Services in 1976.

Prepaid Legal Services was founded in 1983 and is best known for its multi-level marketing (MLM) or “pyramid” strategy.

Originally known as Prepaid Legal, MidOcean Partners was renamed Legal Shield in September 2011.

Recommendation: Here’s The Best Alternative

Who Is LegalShield For?

Those who excel at multi-level marketing and sales will have the most success with Legal Shield. Only those who are naturally gregarious will thrive in this environment.

To that end, it is helpful to have access to a pre-existing network of people.

However, MLMs are not right for everyone. Many people have negative perceptions of multi-level marketing because it is associated with scams and pyramid schemes. And it can be difficult to maintain enthusiasm if you do not have a passion for sales and recruiting.

If multi-level marketing is not for you, there are other ways to make money online, such as taking surveys on sites like or watching videos, surfing the web, and visiting websites through services like

Of course, they will not replace your day job, but they are simple enough that you can try them out if you are interested in making some extra money or getting your foot in the door of the work-at-home industry.

Starting an internet business could be the answer if you are serious about a “live from home” lifestyle

You might need to work from home to make ends meet, whether it’s for health reasons, childcare, or just to get away from it all. Legal Shield is just one of the many options available to you today.

However, if you are looking to start an online business, you’ll need some sort of jumpstart to get things rolling.

Recommendation: Here’s The Best Alternative

Is LegalShield a Scam Pyramid Scheme?

The two most common questions you get about participating in Legal Shield are, “Is this a scam?” and “Is this a Ponzi scheme?”

It’s not a scam, to answer your first question. Unlike questionable multi-level marketing programs like the 30-Day Success Formula and Impact Mailing Club… Legal Shield is a real company and provides a real service.

However, the manner in which certain Legal Shield consultants advertise or offer the opportunity could be a scam.

Deception in return for financial gain is the essence of a scam. Even if Legal Shield itself is not a scam, anyone who deceives you about the compensation plan or the time commitment involved is trying to defraud you.

Let me be very clear: I am referring to independent counsel here, not Legal Shield as a company. These are NOT the kinds of things that Legal Shield would support or endorse.

To illustrate, let me give you an example.

I used to work for a life insurance company that relied on network marketing. Union members could get extended benefit cards by filling out a card and sending it in, which was our main source of new customers.

It was our job as reps to re-contact these customers and set up appointments to talk about life insurance.

As I worked my way in and listened in on these conversations, I heard an older rep “manipulate the truth” about the customer’s benefits and tell “white lies” to build rapport, such as that he had just had lunch with the local union rep.

The truth was that no one cared about the union rep or even knew who he was.

Obviously, I did not last long in that company. Looking back, I see that what the rep did could be called fraud, because I was much younger (and completely broke) at the time.

It seems that this was the norm for the most influential representatives of the office.

However, this in no way suggests that the insurance provider in question is fraudulent. I think if they were in on what was going on in that office, it would be a big problem for them.

It’s also possible that rogue Legal Shield advisors are embellishing the truth to drum up business or attract new members. Rest assured that their actions do not represent the company as a whole. It is not something they promote or endorse.

By the way, this applies not only to MLMs, but to any business where there is a lot of fine print that a salesperson could easily read over.

So a little common sense goes a long way, and the fact that you are reading and researching this review shows that you are not falling for the hype.

The answer to the second question, “Is it a pyramid scheme?” is harder to give.

Many MLM participants would vehemently deny any connection between their organization and a pyramid scheme. They will probably cite a dozen excuses, most of which are probably true from a legal standpoint.

In reality, however, when you recruit people and those people in turn recruit people and so on, a pyramidal structure is created in which income rises from the bottom up.

A legal Ponzi scheme differs from an illegal one primarily in that it offers tangible goods and services to its customers (which Legal Shield does).

So Legal Shield is not a pyramid scheme in the eyes of the law. If you happen to think of it as a “pyramid scheme,” that term is inaccurate.

The services offered by Legal Shield are legitimate.

Recommendation: Here’s The Best Alternative

How Much Does It Cost to Join LegalShield?

In multi-level marketing, the key to success is building a team and learning how to make money without outside help. The same is true for Legal Shield.

A lot of people may talk a lot about retail sales and the importance of physical things, but the truth is that the real money is in recruiting new members. Leverage the strength of your support system.

While you and the other seven billion people in the world are tied to the 24-hour day, you can free up more time for yourself by leveraging the efforts of others.

However, this requires an initial investment.

The first option costs $99 per year ($20 per month for Legal Shield Advantage).

Included in this option are,

  • Associate Portal
  • Online Training
  • Weekly Newsletter
  • Support Center
  • Associate Perks
  • Help From Sponsor, Team and Local Leaders

The second option includes the first selection plus one year of Legal Shield Advantage (a $240.00 value). If you choose option 2, you can save the $99.00 setup fee and pay for the service for a full year up front.

It’s also important to think about things like gas, parking, and clothing, since MLMs rely largely on face-to-face interactions like parties and presentations at people’s homes.

If that’s more than you want to spend right now, there are plenty of other ways to supplement your income while saving up for the initial cost of Legal Shield. It’s easy (and free) to sign up for online surveys on sites like, and you can get paid for your contributions. There are a number of services like where you get paid for things you already do online, such as surfing the web or watching online videos.

If you are currently struggling financially but would like to earn a full-time income from home (perhaps due to health reasons, young children at home, or lack of suitable jobs), then getting started for free is for you.

Recommendation: Here’s The Best Alternative

Legal Shield Advantage

If you choose Option 1, you’ll pay for access to Legal Shield Advantage, a suite of enterprise solutions. Everything you see here,

  • Personalized Professional Websites
  • Enhanced Associate Portal
  • Lead/Contact Management System
  • FranklinCovey® Personal Development Courses
  • Branded Professional Communications
  • Contests and Incentives

LegalShield Compensation Plan

Here you can see what the payment structure looks like.

The three payment types are as follows.

  1. Earn personal commissions by selling memberships.
  2. Recruit others and build a team. These sales (new ventures) are called overrides.
  3. Earn passive income by retaining members (monthly fees).

In this case (and in Legal Shield’s presentation), the $39.90 monthly sale serves as an example of the potential earnings of the compensation plan.

The first seven levels consist of:

  • Associate
  • Senior Associate
  • Manager
  • Senior Manager
  • Director
  • Senior Director
  • Executive Director

Payment is made in advance, as the name implies. So if you are an Associate and sell a monthly membership for $39.90, you will receive an advance of $100.00. If you cancel your membership, you may receive a refund notice.

The fine print states, “The commission amounts shown represent an advance for one year.” Cancellation of membership during the term of the advance will result in a refund of future commission advances.

Salary increases become more substantial as one moves up through the Associate and Senior Associate ranks. When a Senior Associate sells a membership, he receives $120. The salary for a Director is $140 per month, and so on. (For a chart, see below)

Supplements for a Senior Associate start at $20 and increase to $50 as team size increases, as shown below.

Similar to other multi-level marketing systems, there is a convoluted system of promotions and financial incentives. You can get anything from a pat on the back and a certificate of achievement to a monthly payment for a BMW through the Performance Club bonus points system.

Not only that, but giveaways, contests, and outings are offered.

If you have ever attended a multi-level marketing presentation, you know that presenters often use white boards to draw circles and fill them with dollar signs. This sounds promising in principle. However, there is an important explanation for the widespread failure of MLMs.

The fact is that few enjoy selling or recruiting. Those who find it easy (despite massive rejection) are quite rare; if you are not one of them. This will be a challenge.

It’s not because it’s impossible to make money with multi-level marketing, it’s because few people actually do it.

Recommendation: Here’s The Best Alternative

Legal Shield Products and Services

You may already be familiar with the products and services offered by Legal Shield. Services like these are included in individual plans starting at $17.95 per month.

  • Coverage for single adults without dependents
  • Legal Advice / Counsel
  • Letters / Phone Calls On Your Behalf
  • Legal Document Review
  • Trial Defense

Family plans with similar benefits start at $19.95.

For both policies, you can get trial defence and work-from-home add-on options.

ID Shield is a service from Legal Shield that both protects you from identity theft and helps you recover from it if it ever happens to you. It costs $9.95 per month for individuals and $19.95 per month for households. Access the ID Shield service,

  • Coverage for you, your spouse/partner, and up to 8 dependent children (family plan)
  • Complete Identity Monitoring
  • Unlimited Consultation
  • Identity Restoration
  • $5 Million Service Guarantee
  • IDShield Vault Password Manager
  • Child Monitoring (family plan)

Legal Shield Reviews

You will find, as with most things, both positive and negative evaluations. The difficulty of the legal system only complicates the problem.

If you want to know why a customer was so dissatisfied with Legal Shield, read this review. You can also see Legal Shield’s response to the allegations.

An excellent example of why it is important to know exactly what you are getting is the review mentioned above. However, this does not mean that Legal Shield is bad. It just means that every product has its limitations (and you should be aware of those limitations).

Other reviews are mixed (see below for several examples), so potential buyers should proceed with caution. Unfortunately, Legal Shield is not a product that you can simply unbox, use, and then decide if it was worth the investment.

It is possible that you will spend hundreds, if not thousands, of dollars before you even use it.

I advise you to read the fine print twice before purchasing a Legal Shield membership. If you are thinking about becoming a distributor of Legal Shield, it is important that you study the company and its offerings thoroughly before you commit to it.

Recommendation: Here’s The Best Alternative

LegalShield Pricing

When you sign up for LegalShield, you commit to paying a certain amount per month for legal aid.

As your monthly contributions increase, so does the amount of protection.

Below is information and pricing for LegalShield membership plans, which include both the LegalShield Legal Protection Plan and LegalShield Business Solutions.

Small Biz 10 (10 Or Fewer Employees) @ $39 Per Month

  • You get unlimited phone consultations for one hour of legal work.
  • You receive three telephone consultations on relevant legal issues per year (half-hour calls).
  • Twenty documents reviewed per year (maximum 6 per month, 16 pages total).
  • You will receive a total of 20 phone calls or mailings per year (maximum 6 per month).
  • You will receive five collection letters per month.
  • You will receive a 25% discount on the attorney’s hourly rate for additional work.
  • A maximum of two users can be specified.

Small Biz 50 (50 Or Fewer Employees) $89 Per Month

  • You may receive endless telephone consultations for one hour of legal advice.
  • Each year you will receive three telephone consultations on specific legal issues (half-hour calls).
  • each year 30 documents are evaluated (maximum 6 per month, 16 pages).
  • Each year you will receive 30 telephone calls or letters (maximum 6 per month).
  • Receive ten collection letters per month.
  • Additional work will result in a 25% reduction in the attorney’s hourly rate.
  • There can only be three designated users.
  • Each year, 75 hours are required for court defense, plus a maximum of 15 hours for case preparation.

Small Biz 100 (100 Or Fewer Employees) @ $149 Per Month

  • For one hour of legal work, you get unlimited phone consultations.
  • Each year I conduct three telephone consultations on specific legal issues (half-hour calls).
  • Each year 40 documents are reviewed (maximum 6 per month, 16 pages).
  • Each year, a total of 40 telephone calls or letters are made (maximum 6 per month).
  • Each month, 15 collection letters are sent.
  • A 25% discount on the attorney’s hourly rate is provided for additional work.
  • Litigation defense hours are limited to 75 per year, with a maximum of 25 hours for trial preparation.
  • A maximum of 5 users can be designated.

Home Business Supplement Plus Additional $9.95 Per Month

  • You receive unlimited telephone consultations for one hour of legal work.
  • Each year you will receive two telephone consultations on specific legal issues (half-hour calls).
  • Three documents (16 pages) are reviewed per year.
  • Six calls or letters are made per year (maximum of 6 in a single month).
  • Receive three collection letters per month.
  • Assistance with IRS audits.

Trial Defense Supplement Plus Additional $9.95 Per Month

If you are defending yourself or your business in court, preparation for the hearing and trial is essential.

Business Formation Services

State filing fees are not included in the $145 starting price.

A Registered Agent will cost you $120 annually.

Regardless of which plan you choose, remember that your legal work will be done by a law firm in the LegalShield network.

Unfortunately, not every law firm offers all the services included in each package. Depending on your geographic location, there can be significant price differences.

Lawyer fees can vary widely depending on the services your business requires, as shown in the table above.

If you are self-employed, you can save $24.95 per month by adding the home office add-on to your legal expense package.

For other small businesses, choose a rate based on the number of employees.

As mentioned earlier, the attorney’s time is limited depending on the plan you choose. 

Therefore, it is important that you fully understand the terms of the contract before you sign.

It is possible that a one-hour phone call with the attorney will take up to one hour of billable time.

After that, the attorney’s regular hourly rate will be reduced by 25% before he or she is paid.

You cannot submit more than 15 pages at a time and a maximum of six requests per month.

There is a monthly limit of six calls or letters that an attorney can make or send on your behalf if you ask him or her to contact or write to a third party.

Beyond that, the attorney’s standard fee will apply, less a 25% discount.

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What I Like About LegalShield

  • Compared to other MLMs, the entry costs are rather low.
  • You offer a specific product or service, and unlike some home businesses that sell cosmetics, jewelry or clothing, you will have less competition.
  • Since it’s not a real product, there are no inventory, shipping costs, or logistical issues like inventory and deliveries.

What I Don’t Like About LegalShield

  • Legal Shield (when it was called Pre-Paid Legal) is known for dishonest advertising and falsifying financial statistics. According to plaintiffs’ attorney Doug Minor, “A jury in Mississippi this week found both the company and its founding CEO, Harland Stonecipher, guilty of fraud and deceptive advertising.” These are previous lawsuits that have been settled or appealed, but you should be aware of them if you decide to represent Legal Shield as an affiliate.
  • As with any MLM, you should not confuse this with “your business” Even though you can set your own hours, your income is still tied to a specific company and brand. You are under contract with Legal Shield and bound by their rules and limits, and… when you leave the company, your sales and organization (downline) that you worked so hard to build are left behind and belong to the company (much like when you leave your job).
  • You may have Legal Shield insurance, but as an insurance product, you may be offering something you have not tried (or at least have not claimed). Again, this is not unique to Legal Shield, but applies to any company that offers insurance products. This is the nature of the industry and is not a criticism of any particular company.

LegalShield Review: Final Verdict

As I indicated, your ability to sell and your enjoyment of Legal Shield will affect how far you get with it.

There is a lot of talk about passive income, but the reality is that very few MLM success stories involve doing absolutely nothing. Those at the top still have to constantly inspire and recruit new team members to keep their revenue streams full.

You need to enjoy what you are doing, and if that’s the case, you should check out Legal Shield. The fact that you no longer have to worry about the actual things is a significant convenience factor. Your time will no longer be eaten up by problems like logistics and transporting a suitcase full of goods from one presentation to another.

However, if you have a strong aversion to hiring, this opportunity may not be for you. I am not saying it’s impossible to appreciate; rather, you’ll only find out about yourself if you try it.

If multi-level marketing systems do not appeal to you (that’s fine, I do not like them either), you may be better off with a business model that does not require you to recruit new members, such as with an internet store.

Through you can earn money by exploring the Internet, watching movies and visiting websites, or by taking surveys on websites like

Surveys will not make you rich, but you can use them to supplement your income.

However, if you need to earn money from home due to health problems, young children, or a lull in the job market, it’s ideal to start as soon as possible.

Recommendation: Here’s The Best Alternative

Best Alternative of LegalShield to Make Passive Income

If you want to make a stable and secure stream of passive income, I would suggest you start an affiliate marketing business online.

Affiliate Marketing is perfect for anyone who is new to online business. 

In fact, of all the online business models I’ve tried, affiliate marketing is the easiest and most rewarding so far.  

In affiliate marketing, you can actually run your business almost with zero cost and achieve a steady and sustainable passive income to pay for your bills. You don’t need any initial capital and can even do it as a side hustle.

And if you really want to learn affiliate marketing and build a business from scratch, I’d recommend you to get started with the most reputable platform for affiliate marketing: Wealthy Affiliate.

Wealthy Affiliate is an all-in-one platform for building your affiliate marketing business from scratch. It offers you a free account (including a free website) with comprehensive training on SEO (free traffic methods), which enables you to get started with affiliate marketing right away without paying a penny.

But How Much Can You Earn with Wealthy Affiliate?

A 21-year old student from Wealthy Affiliate was able to earn $7,395 in just 1 week, which means he made more than $1k a day…all while using free traffic methods.

LegalShield Review

Wealthy Affiliate has existed for 15 years and there are many success stories in the past decade.

To give you more examples, here are some of the other inspiring success stories of Wealthy Affiliate members.

Where to Join Wealthy Affiliate?

Wealthy Affiliate has a very simple pricing scheme. It has free and premium membership.

If you want to feel about Wealthy Affiliate, you can sign up for the free starter membership here (no credit card required). You can select to be a free member with no time limit.

And as a starter member, you can get instant access to the community, live chat, over 500 training modules, 2 classrooms, networking, commenting, 1 free website, access to the keyword tool.

You can enjoy all these values without paying a penny. 

So I strongly recommend you to register a free account and see it yourself.

Recommendation: Here’s The Best Alternative

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