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CEB Prac. Guide § 2A.49 -- Liability -- Actual Damages

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2d Cir. Affirms Certification of FDCPA Class; Discusses Amounts Paid Constituting “Damages” Under the FDCPA

by Scott J. Hyman |

In Sykes v. Mel S. Harris and Associates LLC, --- F.3d ----, 2015 WL 525904 (2d Cir. 2015), the Court of Appeals for the Second Circuit certified a class against a debt collector who purported to operate a mill that resulted in illegal default judgments in New York City.  These default judgments, in the words of plaintiffs, are the result… Read More

District Court (Ill.) Finds Plaintiff Creates Triable Issue of Fact on Recoverable Emotional Distress Damages under the FDCPA When the Conduct Alleged Was So Inherently Degrading That It Would Be Reasonable to Infer that a Person Would Suffer Emotional Distress from the Defendant’s Actions

by Scott J. Hyman |

In Aitken v. Debt Management Partners, LLC, 2014 WL 5469876 (C.D.Ill. 2014), Magistrate Judge Hawley discussed the ‘sliding-scale’ applicable to determining recovery of emotional distress, and found that Plaintiff had created a triable issue of fact to defeat summary judgment. There was much else to this opinion on the parties’ motions and positions about various purported violations of the FDCPA, but… Read More

District Court (Cal.) Finds Payment of Lawful Debt Obtained by Unlawful Means under FDCPA is a “Damage”; Finds IIED Standards Not Applicable to Proof of Emotional Distress under FDCPA

by Scott J. Hyman |

In Alonso v. Blackstone Financial Group LLC, 2013 WL 3992122 (E.D.Cal. 2013), Magistrate Judge Boone found that payment of an otherwise legally owed obligation that was collected on by a means prohibited by the FDCPA was a “damage” under the FDCPA. Following the July 24, 2013 hearing, the parties were granted leave to file supplemental briefing regarding whether the $100… Read More

5th Cir. Reverses $120,000 Runaway FDCPA Verdict; Issues Remittur in Sum of $4,500

by Scott J. Hyman |

In Guajardo v. GC Services, LP, 2012 WL 5419505 (5th Cir. 2012), the Court of Appeals for the Fifth Circuit reversed a $120,000 FDCPA jury verdict, and issued a remittur in the amount of $4,500.  Plaintiff had testified that she was not claiming compensation for time off of work, out-of-pocket expenses, or mental anguish. The district court denied GC's motion. … Read More

District Court (S.C.) Enters $20,000 Default Judgment against Marine Finance Company for Debt Collection Tactics Arising from Collection on a Boat Purchase

by Scott J. Hyman |

In Roots v. American Marine Liquidators, Inc., 2012 WL 3136462 (D.S.C. 2012), Judge Anderson entered a default judgment against a marine financer for debt collection tactics employed in the collection of a debt secured by a boat. American Marine Liquidators, Inc. was found to be in default in this action on May 31, 2012 [Doc. 9];    American Marine Liquidators, Inc.,… Read More

District Court (Cal.) Finds No Actionable Telephonic Harassment; Applies IIED Standard to Emotional Distress Damages under Rosenthal Act

by Scott J. Hyman |

In Branco v. Credit Collection Services Inc., 2011 WL 3684503 (E.D.Cal. 2011), Judge Damrell ruled on a number FDPCA/Rosenthal Act claims.  The highlights related to the number of calls relevant to a harassment claim and to the standard applicable to proof of ‘actual damages’ under the Rosenthal Act.  As to the harassment claim, Judge Damrell held that:    In the… Read More

District Court (Cal.) Applies IIED Standard to Distress Claims under FDCPA

by Scott J. Hyman |

In Valero v. Bryant, LaFayette and Associates, LLC, 2011 WL 1438436 (E.D.Cal. 2011), Judge Austin set forth parameters for recovery of emotional distress damages under the FDCPA/Rosenthal Act within the context of a default prove-up hearing. This Court will apply the California IIED standard. See, Bolton v. Pentagroup Financial Services, LLC., 2009 WL 734038 at *10–11. Under California law, to… Read More

District Court (Cal.) Says Plaintiff States a Claim for Unauthorized Recording of Telephone Call, Says FDCPA Not Good Law Upon Which To Hinge UCL Claim

by Scott J. Hyman |

In Bailey v. Household Finance Corp. of California, 2010 WL 4569950 (S.D.Cal. 2010), Judge Hayes found that a Plaintiff stated a tort claim arising from defendant’s recording of their collection communications, explaining:   Plaintiff alleges that Defendants violated California's Invasion of Privacy Act, California Penal Code § 630, et seq. by using “a software system that enables [Defendants] to secretly… Read More

District Court (E.D. Cal.) Sets Emotional Distress Damages on Default in Two FDCPA Cases at $25,000

by Scott J. Hyman |

The U.S. District Court for the Eastern District of California entered default judgments against two debt collectors in separate cases, reaching the same conclusion on different facts as to sums recoverable on default for emotional distress under the FDCPA.  In Molina v. Creditors Specialty Services, Inc. 2010 WL 235042 (E.D. Cal. 2010), the District Court entered a default judgment against… Read More

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