Will The Real American Express Please Stand Up?

American Express has filed a motion to intervene in a class-action lawsuit filed against a collection agency, which was accused of violating the Fair Debt Collection Practices Act by sending a collection letter to a plaintiff on American Express’s letterhead and with the company’s logo. American Express is seeking to intervene because it sent the letter to the plaintiff in an attempt to settle an unpaid debt and not the agency.

A copy of the motion in the case of Garzon v. Firstsource Advantage can be accessed by clicking here.

The plaintiff received a letter on American Express letterhead attempting to settle a debt for 45% of the balance owed. Even though the letterhead indicated the offer was from American Express and the letter included the company’s logo and said it was from American Express’s Global Collections department, the plaintiff filed suit against the defendant, accusing it of masquerading as the credit card company.

In seeking to be added to the case as a co-defendant, American Express is also seeking to have the case arbitrated, per the terms of the cardholder agreement with the plaintiff.

The plaintiff alleges that the defendant sends letters appearing to be from American Express as a means of avoiding “compliance with Federal and State consumer protection laws.”


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