Portfolio Recovery Associates Inc., a Norfolk, Va. publicly traded debt buyer, today announced that a Missouri court dismissed a case filed in August 2009 by the Missouri Attorney General's office against the company and its subsidiary, Portfolio Recovery Associates LLC.
The case, State of Missouri v. Portfolio Recovery Associates Inc. et. al., alleged that company and Portfolio Recovery Associates LLC violated the Missouri Merchandising Practices Act (MMPA) by engaging in a variety of unfair debt collection practices in dealings with Missouri consumers.
Judge Robert H. Dierker rejected the Attorney General's attempt to apply the MMPA to debt collection and dismissed the case with respect to both defendants.
"We are very pleased with the decision," says Steve Fredrickson, Portfolio Recovery's chairman, president and chief executive. "Our company has always sought to treat our customers fairly and in accordance with the law, and we will continue to help our Missouri customers resolve their financial problems and improve their lives."
Portfolio Recovery purchases and manages portfolios of defaulted consumer receivables and provides a broad range of receivables management and payments processing services.
In late April, the company released first quarter results that beat Wall Street's expectations, (see story).