Credit Protection Association LP won a jury verdict in a case involving both the Telephone Consumer Protection Act and Fair Debt Collection Practices Act, the company announced. The case was decided in the U.S. District Court in Eastern Michigan.
Pasquale Longordo alleged Credit Protection Association placed unauthorized calls to his cell phone concerning a cable-service debt that was placed for collections with the company by Comcast.
U.S. District Court Judge Avern Cohn dismissed the FDCPA claims after a four-day trial. The jury returned a unanimous verdict on the TCPA allegations in favor of Credit Protection Association after 10 minutes of deliberation, according to the news release. The case was decided in May.
"The speedy defense jury verdict in this case really speaks to the lack of credibility of the plaintiff, Nabil G. Foster, of Hinshaw & Culberston LLP, counsel for Credit Protection Association, stated in a news release. "Court records show the plaintiff has filed numerous federal lawsuits against other creditors and collection agencies. However, this is probably the first time anyone has challenged this plaintiff to tell his story to a jury.
Because many collection agencies settle these types of lawsuits for less than the cost of defending the case, such cases rarely make it to trial. According to Foster, Credit Protection Association decided it was time to take a stand.
Industry-wide, TCPA litigation so far this year has alternated between lagging behind 2014's numbers and plummeting from them. The numbers haven't been able to catch up to explosive growth witnessed in 2014. TCPA numbers through May totaled 1,067 cases, down nearly 10% from 1,175 at the same point last year, according to WebRecon, a data tracking firm that pulled the numbers from U.S. district courts.
The latest WebRecon report shows that 1,091 unique plaintiffs filed suit under consumer statutes in May and that an estimated 735 different collection agencies and creditors were sued during the month.
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