FDCPA Victory in Class Action Letter Case: What It Means for the Industry ("The Debt Collection Drill")
Debt collection letters continue to provide an expansive target for Fair Debt Collection Practices Act (FDCPA) and related lawsuits due to the panoply of federal and state disclosure requirements for such letters. Further, the court cases interpreting these requirements are in constant flux and new decisions sometimes contradict previous rulings. In a rare win for the collection industry, a recent case out of the Eastern District of New York – In Re Krieger – rejected a consumer’s FDCPA claims brought in a putative class action and premised on language included in a collection letter.
In the latest episode of The Debt Collection Drill podcast, attorneys John Rossman and Mike Poncin discuss the Krieger decision and provide specific collection letter recommendations for debt collectors, emphasizing the need for collection letters to be reviewed by an independent attorney on an annual basis.