In the Headlines
May 18, 2021

Debt Collectors Face Surge of Suits after 11th Circ. Ruling


Financial Services Litigation Partner Joshua Prever spoke with Law360 about a recent ruling that a debt collector violated the Fair Debt Collection Practices Act by sharing information with an outside vendor that used the data to mail a collection letter. The decision from the U.S. Court of Appeals for the Eleventh Circuit has serious implications for the financial services industry, where companies routinely use third-party vendors to manage, service and collect on outstanding debt. The case has also spurred a flood of litigation, with more than 120 new lawsuits filed since the April 21, 2021, ruling. Mr. Prever commented that he does not expect the suits to stop anytime soon, even as an appeal is expected.

"It's one of those situations where once that authority is out of the bag, you have cases that are going to be filed both in and outside of the Eleventh Circuit," he explained. "There's going to be a lot of litigation over this."

READ: Debt Collectors Face Surge Of Suits After 11th Circ. Ruling

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