Federal Trade Commission and Consumer Financial Protection Bureau announce filing of amicus curiae brief in support of Greenwald Davidson PLLC appeal in Ninth Circuit.
August 21, 2014The Federal Trade Commission has joined the Consumer Financial Protection Bureau (CFPB) in filing an amicus brief in the matter of Hernandez v. Williams, Zinman & Parham, P.C (WZP) (Case No. 2:12-cv-00731, U.S. Circuit Court of Appeals for the Ninth Circuit). The case concerns the interpretation and enforcement of the Fair Debt Collection Practices Act (FDCPA).
The FDCPA provides that “a debt collector” must send a consumer a notice containing important information about the consumer’s debt and rights either in “the initial communication” or “[w]ithin five days after the initial communication with a consumer in connection with the collection of any debt.” Consumers have 30 days after receiving such a notice to dispute the debt and to request information about the original creditor.
The FTC and CFPB filed a brief agreeing with the position asserted by Greenwald Davidson PLLC, that each debt collector that contacts a consumer -- not just the first debt collector that attempts to collect a particular debt -- must send a notice that complies with this provision. The brief therefore concludes that the Circuit Court should reverse the District Court’s prior ruling granting summary judgment to WZP.
Media Coverage:
Law 360, August 21, 2014
http://www.law360.com/articles/569671/fdcpa-applies-beyond-initial-debt-notice-9th-circ-told
insideARM.com, August 21, 2014
http://www.insidearm.com/daily/debt-collection-news/debt-collection/ftc-joins-cfpb-in-filing-amicus-brief-in-debt-collection-case/
FTC press release:
Federal Trade Commission Joins Consumer Financial Protection Bureau in Filing Amicus Brief in Debt Collection Case, August 21, 2014
http://www.ftc.gov/news-events/press-releases/2014/08/federal-trade-commission-joins-consumer-financial-protection
Amici Curiae Brief:
http://files.consumerfinance.gov/f/20148_cfpb_amicus-brief_hernandez-v-wzp.pdf