On September 25, California Assembly Bill 539 was presented to the Governor for signing. The Bill would prohibit licensees of the California Financing Law (CFL) from charging an interest rate greater than 36% plus the applicable Federal Funds Rate on consumer loans of at least $2,500, but less than $10,000. Currently the CFL does not
On September 17, a district court judge in the Eastern District of Kentucky granted in part and denied in part a defendant debt collector’s motion to dismiss under Rule 12(b)(6) for failure to state a claim. Plaintiff Timothy Flook sued Mason, Schilling & Mason, Co., L.P.A, and one of its attorneys (collectively “MSM”), claiming that
Certified Credit & Collection Bureau (“CCCB”) sent a collection letter to Delia Rodriguez seeking payment of $29.88 for an unpaid medical debt. CCCB’s letter referred to the creditor as its “client” and did not explicitly state that the client was the creditor to whom the debt was owed.
Rodriguez brought a putative class action in
In recent years there has been a dramatic increase in the number of claims brought under the Telephone Consumer Protection Act based on calls made to wrong numbers. A decision in the Northern District of Illinois indicates that such calls can also give rise to exposure under the Fair Debt Collections Practices Act.
In Kayyal
In Roman v. RGS Financial, Inc., No. 2:17-cv-04917-ADS-AKT (E.D.N.Y. Sept. 6, 2019), Judge Arthur D. Spatt held that RGS did not violate the Fair Debt Collection Practices Act by failing to disclose that interest, late fees, and/or other fees were accruing.
Plaintiff Stephanie Roman alleged that RGS violated the FDCPA when it sent a
The Consumer Financial Protection Bureau filed a lawsuit in the United Stated District Court for the District of Maryland against FCO Holding, Inc. and its subsidiaries, as well as Michael E. Sobota, the chief executive officer and 100% owner of FCO Holding, Inc. The Maryland debt collector entities operate collectively under the name Fair Collections
One of the most ambitious (i.e., bad) arguments ever made by a defendant in a TCPA case was rejected by the Western District of New York in Gerrard v. Acara Sol. Inc., 1:18-cv-1041, 2019 U.S. Dist. LEXIS 108038, 2019 WL 2647758 (W.D.N.Y. June 27, 2019). Acara Solutions argued their text messages with
A pro se plaintiff’s lawsuit brought pursuant to the Fair Debt Collection Practices Act was dismissed by the District of New Jersey for lack of standing in Kraft v. Phelan Hallinan Diamond & Jones, P.C., U.S. Dist. LEXIS 126323 (D. N.J. July 30, 2019). Plaintiff Warren R. Kraft inherited real estate from his deceased
A new court decision raises important compliance issues for creditors who use an internal debt collection unit: whether separately naming the unit in a document also naming the creditor in its main business name can cause confusion, giving rise to a claim under the Fair Debt Collection Practices Act.
On September 4, a U.S. d
On August 28, a district court judge in the Southern District of Indiana denied a defendant debt collector’s motion to dismiss under Rule 12(b)(6) for failure to state a claim. Plaintiff David F. Driver sued LJ Ross Associates, Inc. (“LJRA”), claiming that a collection letter violated the