Asset Acceptance to be judged by a jury. The Take-Away Dopey Asset Acceptance, a debt collector, cannot hide behind procedure to exclude from evidence a voicemail that captured it accusing a consumer of being a “fat motherfucker.” Alleged Facts A consumer filed a lawsuit in the federal court of New Jersey alleging that Asset Acceptance [...]
consumer case law
Hamid v. Stock & Grimes. In this consumer protection matter, a Pennsylvania consumer sued Stock & Grimes, LLP, a debt collection law firm, under the Fair Debt Collection Practices Act (FDCPA). She sued Stock & Grimes for having first sued her in a state-court debt collection action. She defended against the collection action claiming that [...]
The Takeaway: In response to a consumer’s demand for verification of an alleged debt, the debt collector ordinarily must verify the debt by showing the creditor’s grounds for the claim and provide an explanation as to why the debt exists. The Facts: Apothaker & Associates (Apothaker) attempted to collect a junk debt that had been [...]
The Take-Away A debt collector may lose in a debt collection lawsuit if it only produces a credit card agreement bearing no apparent relationship to the account, two contracts for the sale of the debt, an affidavit from another debt collector, and two billing statements. Facts Smith had a Citibank credit card which she allegedly [...]
The Take-Away A notice on the back of a collection letter written on attorney letterhead stating that no attorney has reviewed the account does not cure the deceptive impression that it is from an attorney and that legal action is being considered. Facts Mr. Lesher had an unpaid home equity account. The account was [...]
The Takeaway: Essentially, a consumer has no rights under the Fair Credit Reporting Act (FCRA) unless he or she actually disputes an inaccurate credit report directly with the credit reporting agency. The Facts: A consumer sued a couple of creditors alleging they misreported her mortgage payments to Experian, Equifax, TransUnion, and Innovis, the four [...]
The Takeaway: A consumer who carefully chooses to sue a debt collector in a friendlier local court should be able to prevent the removal of the lawsuit to a foreign federal court. The Facts: A consumer sued the debt collector NCO Financial Systems, Inc. (“NCO”) and a cable company in a local Delaware County [...]
The Take-Away: A debt collector who takes or threatens legal action on a consumer debt after the statute of limitations has expired violates the FDCPA. Facts: Mr. Huertas had a credit card debt with Applied Card Bank f/k/a Cross Country Bank (“ACB”) which he failed to repay. The account was sold to Galaxy Asset Management [...]
The Take-Away: A debt collector who communicates a misrepresentation of an amount owed on a consumer debt – though only to the consumer’s attorney – may still be liable under the FDCPA. Facts: Ms. Allen had a mortgage and when she neglected to make her final-month payment, the lender, LaSalle Bank, filed a foreclosure action [...]