logo

Debtconsolidationcare.com - the USA consumer forum

Suing Collection Agency need Settlement Advice - HELP!

Date: Thu, 04/01/2010 - 12:55

Submitted by Kitty Marie
on Thu, 04/01/2010 - 12:55

Posts: 79 Credits: [Donate]

Total Replies: 21


I wasn't sure how to title this and can't find much info on it. So I'm in need of some advice.

I sent an intent to sue letter to a collection agency whom I had a very strong case against and let them know I would settle, out of court, for 5k. I knew that they would come back and want to haggle.

Their attorney (whom also is a tenant who shares the same office space as them) called me to discuss the matter with me. He's been very polite and says he understand my case is solid and the seriousness of what happened with the collector. He said he could only offer me $500 to settle. I told him unfortunately, due to the circumstances and the number of times the collector continued to violate the laws and the immense emotional distress the collectors actions had on me I wasn't willing to settle for $500. I told him I would be willing to settle for $4000 but no less than that.

He said he would speak to his client.

He called me back today with another low ball number of $1500. He said unfortunately that's all he was able to get out of his client. He said the other partner in the firm was out of town and he was unable to contact him. He said he might be able to squeeze $3000 all together but doesn't think he can do anything above that and that would take till at least mid-April.

So I told him I needed the night to think about it and discuss it with my fiance and that I would give him a call back tomorrow.

So now I am stuck, should I just settle and push for the 3k? Should I just decide to go into court? Should I ask him to have the details of our conversation put into writing? I'm a bit lost at what I should do next (aside from contacting an attorney).


That really depends on you..however I would not take the lawyer's word at face value, after all he is of course going to say "that's all he can get" because it is his job to say that! But look at the fact they have come back each time with more....it looks like you really have them over a barrel.

How much were you going to sue for? If the $5000 settlement offer is significantly lower than that you should also keep that in mind.

After all, if you have a rock solid case you will win a lot more....but the downside is that court cases can take awhile and they can appeal.


lrhall41

Submitted by goldenbast on Fri, 04/02/2010 - 17:36

( Posts: 2884 | Credits: )


Quote:

Originally Posted by NASCAR_Devil
What exactly are you suing for? What were the violations?


Suing for the violations and the emotional distress caused to me in front of my employer. In short, the collector called me at work multiple times and threatened and harassed me to the point where I was crying, in front of my boss. She even called after I told her it wasn't permitted by my employer to receive such calls at work.


lrhall41

Submitted by Kitty Marie on Mon, 04/05/2010 - 15:18

( Posts: 79 | Credits: )


Quote:

Originally Posted by SOAPLADY
Stop talking to the attorney...make all negotiations in writing. A $5000 settlement is peanuts for a CA...it is part of the cost of doing business.


I informed the attorney last week that all negotiations and conversations regarding the matter needed to be in writing.

I didn't think he was telling the truth when he told me that's all he could offer me. I was a bit insulted when he originally offered me $500 from my original $5000 settlement suggestion. The next day he offered me $1500 and told me he might be able to get a couple hundred approved but didn't know until the board of directors meets later this month. He also told me that he and his client assessed their civil liability in the matter to $3000 at most. I guess to make his $1500 look like a good offer?

He also stated in his email that once they paid me the settlement they would like a release from me for my claims?


lrhall41

Submitted by Kitty Marie on Mon, 04/05/2010 - 15:22

( Posts: 79 | Credits: )


Quote:

Originally Posted by Kitty Marie
Suing for the violations and the emotional distress caused to me in front of my employer. In short, the collector called me at work multiple times and threatened and harassed me to the point where I was crying, in front of my boss. She even called after I told her it wasn't permitted by my employer to receive such calls at work.


FDCPA violations are $1000 per action + attorney fees so calls to you at your employer would qualify if you told them something along the lines of "calls to my employer place my employment in jeopardy". If you have that recorded it's a slam dunk. I know CA has a few state laws concerning debt collection but not sure if "emotional distress" would be actionable.


lrhall41

Submitted by NASCAR_Devil on Mon, 04/05/2010 - 15:32

( Posts: 4671 | Credits: )


Quote:

Originally Posted by NASCAR_Devil
FDCPA violations are $1000 per action + attorney fees so calls to you at your employer would qualify if you told them something along the lines of "calls to my employer place my employment in jeopardy". If you have that recorded it's a slam dunk. I know CA has a few state laws concerning debt collection but not sure if "emotional distress" would be actionable.


I had virtually every conversation with her recorded - till I looked up the law for California and found out it was illegal. So I can't use those recordings in court (if it goes to court).

I outlined each incident (meaning each new phone call) in the intent to sue letter I sent, which I had addressed with the attorney. Plus attached all letters I had sent to their office via CMRR. The case is pretty solid and their attorney has made comments in a phone conversation with me that he understands how serious the offenses are and how bad it may be for his client to end up in court with me. They don't seem to serious about the matter though with those offers.

I didn't use that wording - however I did tell her "can you please remove my office number from your contact info for me as my employer does not allow personal calls at work" - and she said she understood and would remove it from the contact info. Yet she called me at work again on that same day. However, it was towards the end of the day and she called to confirm my mailing address with me. Then she called again on another day a couple weeks later to "follow up" which is when I got her to send me the letter via email and found out she had misrepresented the company she worked for and was collecting on behalf of.


lrhall41

Submitted by Kitty Marie on Tue, 04/06/2010 - 09:24

( Posts: 79 | Credits: )


You will only get the $1000 for the FDCPA violations....the big money is in the punative damages...embarassment and humiliation pays huge as does stress.

Maybe remind the attorney that although the recordings are not permissable in court, your state AG's office will be more than happy to listen to them as will a reporter you have made contact with....


lrhall41

Submitted by SOAPLADY on Tue, 04/06/2010 - 09:41

( Posts: 17315 | Credits: )


Quote:

Originally Posted by SOAPLADY
You will only get the $1000 for the FDCPA violations....the big money is in the punative damages...embarassment and humiliation pays huge as does stress.

Maybe remind the attorney that although the recordings are not permissable in court, your state AG's office will be more than happy to listen to them as will a reporter you have made contact with....



If I admit to that though couldn't they turn around and sue me for something?

For what? Showing up horrible business practices? Newspapers and tv stations have consumer reporters....drop them a line.


lrhall41

Submitted by Kitty Marie on Tue, 04/06/2010 - 10:33

( Posts: 79 | Credits: )


So their lawyer emailed me this morning and said the following:

"ACS is willing to offer you $2500 to resolve this matter. Unfortunately, this is the maximum offer that it will extend, and if you feel this is unsatisfactory, then you will have to proceed to litigate the matter is you wish. Hopefully, you'll consider this good faith offer and let me know what you've decided."

However, after going over my notes and the recordings I have assessed (based on how many times she spoke to me that day) that their civil liability is $4000, plus they never sent me the initial letter after the 5 day time line. I don't know if that counts for another violation?


lrhall41

Submitted by Kitty Marie on Tue, 04/06/2010 - 11:14

( Posts: 79 | Credits: )


Quote:

Originally Posted by SOAPLADY
You will only get $1000 on the fdcpa violations...it is not PER violation. I would say take it and run


I thought it was per occurance - meaning if they call you on one day and you tell them not too call anymore but they call again - I thought that would count for 2 violations and up to $1000 a piece...

I'm going to take the settlement, I am currently working on 2 more companies as well.

Asset Acceptance and MRSI (Maximum Recovery Solutions).

However, ACS wants that "realease of claim" letter from me - is that standard proceedure when they settle with you?


lrhall41

Submitted by Kitty Marie on Tue, 04/06/2010 - 18:53

( Posts: 79 | Credits: )


Quote:

Originally Posted by SOAPLADY
You will only get $1000 on the fdcpa violations...it is not PER violation. I would say take it and run


Also, I just wanted to say thank you to you. A story you posted in another thread is what inspired me to begin looking up all this stuff and your support in another thread of mine =)

Thanks.


lrhall41

Submitted by Kitty Marie on Tue, 04/06/2010 - 18:56

( Posts: 79 | Credits: )


Quote:

Originally Posted by goldenbast
The release is standard..I got one with my settlement when I sued a CA. :) It is basically just stating that you will not sue them for this particular violation. BUT read it carefully, don't let "Any and All violations" slip by in it because then they can violate all they want and your stuck.


I'll have to watch out for that then. They want ME to write the release letter. Also, their office doesn't own the debt anymore (lol). So they kinda shot themselves in the foot on this one.

It's since been transferred to another (bottom feeder) company. I'm working on that company too. As they continued to violate the FDCPA for over a month and ignored my requests for validation and my no contact letter. Ah well haha.


lrhall41

Submitted by Kitty Marie on Tue, 04/06/2010 - 20:24

( Posts: 79 | Credits: )