Daily Digest

IQOR FILES FOR BANKRUPTCY PROTECTION Collection operation and contact center business-process outsourcing provider iQor filed for Chapter 11 bankruptcy protection yesterday, seeking approval of a pre-packaged plan that would provide the company with $130 million of funding to reorganize itself and continue operating. APPEALS COURT AFFIRMS DISMISSAL OF FCRA CASE …

GETTING TO KNOW PAM HARDY OF FROST ARNETT Pam Hardy is a teacher at heart and has found a home at Frost Arnett. For her, the joy in seeing an employee or new hire learn a new concept is the same as getting a payment in full. Read on to …

CFPB SUES ENCORE, SUBSIDIARIES, FOR VIOLATING TERMS OF 2015 CONSENT ORDER The Consumer Financial Protection Bureau yesterday filed a lawsuit against Encore Capital Group, Inc. and its subsidiaries, Midland Funding, LLC, Midland Credit Management, Inc., and Asset Acceptance Capital Corp., accusing the companies of violating the terms of a 2015 …

APPEALS COURT OVERTURNS BFE IN FDCPA CASE BECAUSE DEFENDANT LACKED PROPER PROCEDURES The Second Circuit Court of Appeals has overturned a summary judgment ruling in favor of a defendant that was sued for violating the Fair Debt Collection Practices Act because it allegedly sent numerous debt collection notices and subpoenas …

CAC SUES MASS. AG OVER CONSTITUTIONALITY OF CALL LIMIT REGS MONTH BEFORE IT WAS SUED FOR VIOLATING THEM A month before it was sued by the Attorney General of Massachusetts for violating the state’s limit on how many collection calls can be made to an individual, among other allegations, Credit …

GETTING TO KNOW SHANTEL PETROSYAN OF PFC USA Shantel Petrosyan has made the cardinal mistake. She has made it known that she is available if you are looking for volunteers. Not someone to help you move, but someone who is committed to helping move the industry forward. In reality, her …

CALIFORNIA LEGISLATURE PASSES COLLECTOR LICENSING LAW The California state legislature on Monday became the 35th state to require debt collectors to obtain licenses in order to operate, passing a measure that also establishes baseline practices that will be prohibited, should Gov. Gavin Newsom sign the bill into law. CFPB WARNS …

MASS. AG SUES AUTO LENDER FOR VIOLATING STATE COLLECTION CALL LIMITS, AMONG OTHER VIOLATIONS The Attorney General of Massachusetts yesterday announced a lawsuit against Credit Acceptance Corp., a subprime auto lender, for knowingly originating loans to individuals even though it knew they would be unable to repay them, and then …

JUDGE GRANTS MSJ FOR DEFENSE IN FDCPA OVERSHADOWING CASE A District Court judge in New York has granted a defendant’s motion for summary judgment after it was sued for violating the Fair Debt Collection Practices Act because it allegedly overshadowed the validation notice in a collection letter by including a …

FTC FILES SUITS AGAINST ALLEGED DEBT COLLECTION SCAMMERS A District Court judge in South Carolina has lifted the seal on two complaints filed by the Federal Trade Commission against debt collection operations that are accused of violating the Fair Debt Collection Practices Act by allegedly convincing unsuspecting individuals that lawsuits …