Accounts Receivable Management Featured Article

Woman Sues Law Firm for Threatening to Sue Her

August 28, 2012

Despite research that suggests otherwise, media tends to depict the debt collection industry as villainous. But to be fair, it seems the public would prefer to read the horror stories of the minority in the industry that engage in vile debt collection practices than about the industry’s philanthropic feats like paying for a vet’s college tuition.

The best debt collection stories typically play out like epic folklore, where the debtor takes Goliath to court and in a moment of sweet justice, gains from the litigation more than the amount of debt owed. This story, of a woman in Texas who is suing a law firm for allegedly violating the Fair Debt Collection Practices Act, could be one such case.

According to a Texas news publication, Christy Galan of Wylie, Texas is suing AHN Regent for failing to adhere to the Fair Debt Collection Practices Act. Among her accusations against the Texas law firm, is that the agency sent letters and left voice messages on her cell attempting to collect the debt she owed them. But what AHN Regent did that directly violated the act was threaten to sue Galan.

Galan believes that the agency’s threat to file a suit was really a deceptive means of attempting to collect. Additionally, there is evidence to suggest that the callers were not forthcoming about who they were or the purpose of their call. Naturally, Galan would like the defendants to compensate for the court costs and attorney’s fees in addition to paying for statutory damages.

The most publicized lawsuit of any debt collection agency to date is the one against Accretive Health in Michigan. Accretive has already lost $2.5 million in court costs for allegations that the agency infiltrated hospitals with agents disguised as hospital employees in order to collect from patients at bedside.



Want to learn more about the latest in communications and technology? Then be sure to attend ITEXPO West 2012, taking place Oct. 2-5, in Austin, TX.  Stay in touch with everything happening at ITEXPO (News - Alert). Follow us on Twitter.




Edited by Brooke Neuman

Article comments powered by Disqus

Related Accounts Receivable Management Articles

SaaS Provider Offers Accounts Payable Improvements to Material Handling Company

A global software-as-a-service company that provides enterprise content management solutions through the cloud announced last week that it has opened up a contract with a "leading material handling equipment company." [ Read More ]
08/18/2014

Cotton On Group Selects Xcellerate IT

Cotton On Group, one of the Australia's largest value fashion brands, has selected Xcellerate IT as the preferred solution provider to implement a best practice invoice automation solution within their Accounts Payable (AP) department. [ Read More ]
08/18/2014

Wolters Kluwer Financial Services Partners with Broadridge Tax Services

Wolters Kluwer Financial Services, a company that provides risk management, compliance, finance and audit solutions, recently announced that it has joined hands with Broadridge Tax Services, a technology services company, to deliver Phase 3 Debt functionality to support Cost Basis and Tax Reporting compliance. [ Read More ]
08/14/2014

BlueOSS Reveals New Cost Reconciliation Capability at ITEXPO 2014

The exciting reveals continue during ITEXPO 2014, happening now through August 14 at the Rio in Las Vegas. This year's event represents a lot for BlueOSS, a leading provider of telecom billing software and operational support systems-the company this week announced its all new cost reconciliation capability as a part of its industry leading cloud billing solution, Cloud Innovation Suite (CIS). [ Read More ]
08/13/2014
FREE Accounts Receivable Management enewslettter.

Events

Weekly Live Demo
Contact Center Solutions

Register Today!


Weekly Live Demo
CaaS Small Center

Register Today!