On April 11, 2011, the New Jersey federal court entered a judgment against Midland Funding, LLC pursuant to an agreement between the litigating parties. The judgment entered provides $4750.00 to a consumer for alleged violations of the Fair Debt Collection Practices Act (FDCPA) and another $27,500.00 for the attorney’s fees and costs of the consumer. Midland Funding filed an appeal seeking to overturn the bases for the stipulated judgment, but the consumer is confident the judgment will be upheld by the Court of Appeals for the Third Circuit. The Court of Appeals is expected to decide the appeal in Spring of 2012.
In the trial court, the consumer alleged Midland Funding filed a state-court collection suit through its collection attorneys with Pressler and Pressler, LLP outside the time permitted by the applicable statute of limitations. The trial court found that Midland Funding did file a time-barred debt collection lawsuit that violated the FDCPA. Although Midland Funding disagreed with the trial court, it did agree to pay the consumer $32,500.00 if she prevails in the appellate court.
The trial Court’s judgment can be viewed here: Jackson v Midland Funding Judgment.