Consumer Finance Litigation Blog | Burr & Forman LLP

District Court in Alabama Dismisses Putative Class Action Alleging Settlement Letter Violated the FDCPA

Alan D. Leeth — Wed, 05 Dec 2018 09:00:01 -0500

In Swann v. Dynamic Recovery Solutions, LLC, No. 4:18-CV-1000-VEH, 2018 WL 6198997 (N.D. Ala. Nov. 28, 2018), the Northern District of Alabama dismissed a putative class action case alleging a letter seeking to collect a time-barred debt violated the Fair Debt Collection Practices Act ("FDCPA").

The plaintiff, Susan Swann ("Plaintiff"), alleged that defendants Dynamic Recovery Services, LLC ("DRS") and Jefferson Capital Systems, LLC ("JCS") violated § 1692e and §1692f of the FDCPA. See generally id. Section 1692e prohibits debt collectors from "'us[ing] any false deceptive ...

Eleventh Circuit Affirms Dismissal of FDCPA Letter Case, Says "Least Sophisticated Consumer" Does Not Receive Correspondence "In a Vacuum"

Alan D. Leeth, Ryan J. Hebson — Thu, 29 Nov 2018 09:00:02 -0500

For many of the claims asserted under the Fair Debt Collection Practices Act, 15 U.S.C. §§ 1692-1692p (the "FDCPA"), courts are required to apply the "least sophisticated consumer" standard in evaluating the claim, an "objective" test that assesses the alleged violation from the perspective of the hypothetical "least sophisticated consumer." See Landeros v. Pinnacle Recovery, Inc., 692 F. App'x 608, 612-13 (11th Cir. 2017); see also Leonard v. Zwicker & Assocs., P.C., 713 F. App'x 879, 881-82 (11th Cir. 2017). But as the Eleventh Circuit again made clear earlier this month in Lait ...

District Court of Minnesota Finds Calls to a Reassigned Number Did Not Violate the TCPA

Matthew T. Mitchell, Kristen Peters Watson — Sat, 17 Nov 2018 09:00:03 -0500

In Roark v. Credit One Bank, N.A., No. 16-173 (PAM/ECW), 2018 WL 5921652 (D. Minn. Nov. 13, 2018), the District Court of Minnesota found that calls to a reassigned phone number did not violate the TCPA because the caller's reliance on the prior owner's express consent was reasonable.

The plaintiff, Stewart Roark ("Plaintiff"), alleged Credit One Bank, N.A. ("Credit One") violated the Telephone Consumer Protection Act ("TCPA") by using an automatic dialer ("ATDS") to call his cell phone number and left a prerecorded voicemail on his phone without his consent. See generally id.

FCC Seeks Comment on ATDS Under the TCPA After Marks v. Crunch San Diego

Jacqueline Simms-Petredis — Tue, 09 Oct 2018 09:00:04 -0400

On October 3, 2018, the FCC issued a Public Notice to seek comment on what constitutes an "automatic telephone dialing system" (ATDS) under the Telephone Consumer Protection Act (TCPA)[1] in the wake of the Ninth Circuit's Marks v. Crunch San Diego, LLC, 14-56834, 2018 WL 4495553 (9th Cir. Sept. 20, 2018) decision last month. Under the TCPA, an ATDS is defined as equipment that has the capacity to "(A) to store or produce telephone numbers to be called, using a random or sequential number generator; and (B) to dial such numbers."[2] The FCC noted that the Marks court expanded this ...

Middle District of Florida Finds ACA Vacated the 2003, 2008, and 2015 FCC Orders

Frank Springfield, Kristen Peters Watson — Fri, 07 Sep 2018 09:00:05 -0400

In Gonzalez v. Ocwen Loan Servicing, LLC, No. 5:18-cv-340-Oc-30PRL, 2018 WL 4217065 (M.D. Fla. Sept. 5, 2018), the Middle District of Florida determined that the D.C. Circuit's opinion in ACA International v. FCC, 885 F.3d 687 (D.C. Cir. 2018) [hereinafter "ACA"], vacated the Federal Communications Commission's ("FCC") 2003, 2008, and 2015 Orders interpreting the definition of an automatic telephone dialing system ("ATDS").

The plaintiff, Wilfredo Gonzalez ("Plaintiff"), alleged that Ocwen Loan Servicing, LLC ("Ocwen") used an ATDS to place approximately 500 calls to his ...

Central District of California Finds ACA Set Aside All FCC Autodialer Guidance

Kristen Peters Watson, Frank Springfield — Tue, 04 Sep 2018 09:00:06 -0400

In Washington v. Six Continents Hotels, Inc., No. 2:16-CV-03719-ODW-JEM, 2018 WL 4092024 (C.D. Cal. Aug. 24, 2018), the Central District of California found that ACA International v. FCC, 885 F.3d 687 (D.C. Cir. 2018) [hereinafter ACA], set aside all prior FCC guidance regarding the definition of an autodialer.

The plaintiff, Eric Washington ("Plaintiff"), alleged that Six Continents Hotels, Inc. ("Six Continents") sent him numerous unsolicited text messages using an automatic telephone dialing system ("ATDS") in violation of the Telephone Consumer Protection Act ...

Eastern District of Michigan Finds Aspect System is Not an ATDS

Kristen Peters Watson, Frank Springfield — Fri, 17 Aug 2018 09:00:07 -0400

In Keyes v. Ocwen Loan Servicing, LLC, No. 17-cv-11492, 2018 WL 3914707 (E.D. Mich. Aug. 16, 2018), the Eastern District of Michigan determined that the system Ocwen Loan Servicing, LLC ("Ocwen") used to place calls, the Aspect Unified IP ("Aspect System"), was not an automatic telephone dialing system ("ATDS") within the meaning of the Telephone Consumer Protection Act ("TCPA").

Plaintiff Darcel Keyes ("Plaintiff") claimed Ocwen violated the TCPA by using its Aspect System to call her, despite her objections. See id. at *1. To support her claims, Plaintiff relied on an expert ...

District Court of Connecticut Follows Reyes Decision

Kristen Peters Watson — Wed, 15 Aug 2018 09:00:08 -0400

In Harris v. Navient Solutions, LLC, No. 3:15-cv-564 (RNC), 2018 WL 3748155 (D. Conn. Aug. 7, 2018), the United States District Court for the District of Connecticut followed the Second Circuit's decision in Reyes v. Lincoln Auto. Fin. Servs., 861 F.3d 51, 56 (2d Cir. 2017), which held that the TCPA did not permit unilateral revocation of consent to calls that was part of a bargained-for exchange. See Reyes, 861 F.3d at 56.

The plaintiff, Jennifer Harris ("Plaintiff"), alleged Navient Solutions ("Navient") violated the TCPA by using an automatic telephone dialing system ("ATDS") to ...

Northern District of Alabama Holds Contractual Consent Cannot Be Revoked Under TCPA

Kristen Peters Watson — Wed, 15 Aug 2018 09:00:09 -0400

The Northern District of Alabama recently followed the Second Circuit's holding in Reyes v. Lincoln Automotive Financial Services, 861 F.3d 51 (2d Cir. 2017), and held that consent provided in a contract as part of a bargained-for exchange could not be unilaterally revoked under the TCPA. With this holding, the Northern District of Alabama becomes the first court in the Eleventh Circuit to follow Reyes.

In Few v. Receivables Performance Management, No. 1:17-CV-2038-KOB, 2018 WL 3772863 (N.D. Ala. Aug. 9, 2018), Plaintiff alleged that Defendant violated the TCPA by calling and ...

Georgia Federal Court Finds Dialing System is Not an ATDS Due to Human Intervention

Rachel R. Friedman, Frank Springfield — Thu, 24 May 2018 09:00:10 -0400

In the wake of the D.C. Circuit's ruling in ACA International v. Federal Communications Commission, 885 F.3d 687 (D.C. Cir. 2018), which struck down the FCC's interpretations of "automatic telephone dialing system" ("ATDS") under the TCPA as "unreasonably, and impermissibly, expansive," courts are reevaluating what it takes to qualify as an ATDS under the statute. In Maddox v. CBE Group, Inc., No. 1:17-cv-1909-SCJ (N.D. Ga. May 22, 2018), the Northern District of Georgia found the defendant's calling equipment required human intervention to place calls, and thus did not qualify ...