Keeping you informed about the work that is taking place on your behalf and reminding you of important news and updates.
State Legislative Activity
- Legislatures in Session (active): 5
- Tracked Bills in Active Status: 15 out of 109
- DBA Retained Lobbyists: 6 (California, Connecticut, Maryland, Massachusetts, New York and Rhode Island)
- Active Negotiations: 1 (California)
Noteworthy Bills of Continuing Concern/Interest:
California AB 2251 – Enacts the Student Loan Servicing Act which would require all student loans servicers (including collection agencies collecting on student loans) to be licensed in the state of California.
California SB 308 – Increases the individual homestead exemption from $75,000 to $100,000; married homestead exemption from $100,000 to $150,000; and the senior and disabled homestead exemption from $175,000 to $300,000; increases personal property exemptions to reflect the amounts of the exemptions as adjusted by the California Judicial Council (Council required to do make adjustments every 3 years). The sponsor is making a concerted effort for bill passage. DBA International is working closely with the broader financial services industry in opposition.
STATE ATTORNEY GENERAL UPDATE
DBA International is scheduling meetings this fall with the consumer protection staff of the Colorado and Nevada Attorney General offices. This is part of our ongoing initiative to provide educational resources to the staff on the debt buying industry, discuss the benefits of DBA Certification, and identify the types of collection-related complaints AG offices are receiving.
The following are several noteworthy court decisions recently handed down that may impact DBA members:
Offer of Judgment Moots TCPA Claim Rules 2nd Circuit
Bank v. Alliance Health Networks, LLC, United States Court of Appeals, Second Circuit, No. 15-cv-4037 (Oct. 20, 2016)
Todd Bank (a repeat, pro se, litigant), filed suit alleging the defendant violated the federal Telephone Consumer Protection Act. Bank also requested class certification. Using Rule 68 of the Federal Rules of Civil Procedure, the defendant offered to allow Bank to take judgment against it for $5,004 for two unsolicited telephone calls. When Bank did not accept the offer, the defendant moved to dismiss the case. The trial court ordered the clerk to enter judgment for Bank for $5,004 and dismissed the case, finding the offer provided Bank with all the relief he could be entitled to under his lawsuit. The Second Circuit affirmed the dismissal.
Timely Proof of Claim Required to Participate in Ch. 13 Bankruptcy Case, Even When Debtor Schedules Debt
Barker v. Spokane Law Enforcement F.C.U., United States Court of Appeals, Ninth Circuit, No. 14-60028 (October 27, 2016)
Even though a debtor’s Chapter 13 petition scheduled three debts owing to the defendant-creditor, the defendant-creditor was not excused from the “rigid” rule requiring it to timely filing its proofs of claim to allow it to participate in a Chapter 13 plan. Although the defendant-creditor ultimately did file proofs of claim, they were late, so the bankruptcy court did not err when it disallowed the claims.
Court Decisions
The following are several noteworthy court decisions recently handed down that may impact DBA members:
7th Cir. Deepens Split on FDCPA Liability for ‘Time-Barred’ Claims
Owens v. LVNV Funding, LLC, United States Court of Appeals, Seventh Circuit, Nos. 15‐2044, 15‐2082, 15‐2109 (August 10, 2016)
Filing a proof of claim with a bankruptcy court representing a debt subject to an expired state law limitations period does not violate the federal Fair Debt Collection Practices Act (FDCPA) under a recent opinion from the Seventh Circuit Court of Appeals. Under the ruling, in Owens v. LVNV, the Seventh Circuit joins the Eighth Circuit Court of Appeals in rejecting the Eleventh Circuit’s holding under Crawford v. LVNV that such proofs of claim violate the FDCPA.
Here the Seventh Circuit, like the Eighth Circuit last month inNelson v. Midland, looked to the Second Circuit Court of Appeals decision in Simmons v. Roundup Funding, decided long beforeCrawford. In Simmons, the Second Circuit held that the mere filing of a proof of claim representing an inflated debt did not violate the FDCPA. The bankruptcy process provides debtors with sufficient protections against, as the Seventh Circuit put it, an “invalid or enforceable” claim. Unlike a civil lawsuit, where the debtor may be misled to believe no defense exists to entry of a judgment and simply “give in,” in a bankruptcy case (particularly one where the debtor has counsel, as was the situation in all three of the consolidated cases here), the same concern is not present. The proof of claim must identify the age and the origin of the debt, providing sufficient information to determine whether the debt is subject to an expired limitations period.
DC Circuit Rejects FDCPA ‘Meaningful Involvement’ and Related State-Law Claims
Jones v. David Dufek, Sr., United States Court of Appeals, District of Columbia, No. 15‐7013 (July 26, 2016)
The U.S. Court of Appeals for the District of Columbia recently held that, under the federal Fair Debt Collection Practices Act (FDCPA), a collection letter from a law firm did not misrepresent any meaningful involvement by an attorney.
The debt buyer hired a law firm to help collect the debt. The law firm sent a one-page letter to the borrower. The letterhead had the name of the law firm. The letter informed the borrower that the debt buyer had retained the law firm to collect the outstanding debt. The letter informed the borrower of the amount owed and warned that the debt would be assumed to be valid unless the borrower disputed the debt within 30 days. Furthermore, the letter stated that the borrower could remit payment to the law firm. The signature block titled the sender of the letter as an attorney. After the signature block, the letter included the following language: “Please be advised that we are acting in our capacity as a debt collector and at this time, no attorney with our law firm has personally reviewed the particular circumstances of your account.”
The letter also stated that it was an attempt to collect a debt and any information obtained would be used for that purpose. The text of the letter, including disclaimers, were in the same readable font and size.
The D.C. Circuit rejected the borrower’s argument that using the title of attorney in the letterhead and signature block impermissibly implies that the law firm evaluated the case from a legal standpoint. In support, the Court pointed to the letter’s conspicuous disclaimer regarding the law firm’s involvement. The Court also held that the letter did not threaten any improper legal action under 15 U.S.C. § 1692e(5) because the letter did not reference any legal action and stated that the law firm had not reviewed the case at the time of transmission.
Accordingly, the D.C. Circuit affirmed the lower court’s ruling that the letter did not misrepresent the extent of the law firm’s involvement.
D.C. Symposium
Debt Buying Inside the Beltway – September 20-21, 2016
Hosted in the nation’s capital, this two-day education and networking program provides attendees with the unique opportunity to meet former members of Congress and federal regulators to discuss important issues impacting the industry today. Attendees will also participate in a two-hour workshop on buying debt from the FDIC and earn 7.5 continuing education credits towards certification. You don’t want to miss this exclusive opportunity – complete with a private lecture and tour of the Supreme Court, a private after-hours reception in the Capitol, and visits to the Hill to meet your representatives!
20th Anniversary Conference
Preparations for the 20th Annual Conference, February 7-9, 2017 have begun. Join us as we explore our theme “Celebrating 20 Years of Connections”. Prime exhibit space and sponsorship opportunities remain available, contact Events Manager Sylvia Done at (916) 482-2462 to secure your preference.
Education
- Data Security – This course examines the critical components of a secure data environment and integration with a compliance management program; looks at current attack trends; and provides key performance indicators that non-technical managers can use to identify potential risks to the security of confidential information.Wednesday, August 24, 2016 at 9:00am PT
- CCO Webinar Series – The Chief Compliance Officer Webinar Series is still available with 3 live programs remaining. Members can still purchase the entire Chief Compliance Officer Webinar Series for the discounted price of $250 with access to the 2 recorded sessions included
- Recorded Webinars: Did you miss a live webinar? No worries, they are all recorded and available on our website.
Certification
Members who are working towards their individual certification and attended the Executive Summit had the opportunity to gain up to 15 ½ credits that will count towards their certification. Please be sure to complete the 2016 Executive Summit Continuing Education Certificate of Completion and submit with your individual application to meet the March 2017 deadline.
There is also an opportunity to earn up to 7.5 credits towards certification at DBA’s 2016 DC SYMPOSIUM: DEBT BUYING INSIDE THE BELTWAY.
Certification Help: Contact Michelle Wren at (916) 482-2462 or mwren@dbainternational.org.
View all certified companies and certified individuals on our website.
Welcome New Members
(since July 16, 2016)
Welcome to our newest members:
- JVK Consultants Group, LLC – Georgia
- Midwest Recovery Systems, LLC – Missouri
- Sunstar Capital, Inc. – New Mexico
Read more about these members and other members on the Member Search page.
New Membership Engagement Video
The video recently shot at DBA’s Executive Summit will be transformed into an innovative recruitment tool conveying who DBA International is, the value of membership and the significance of the certification program … all from members’ perspectives.
Several Summit attendees provided testimonials and shared positive consumer experiences. Videographer and board member Adam Parks conducted the interviews and oversaw production. The footage is being edited and coming soon to a DBA website near you!
“I’m really encouraged that this video communication effort is exemplifying a fresh approach and perspective to articulate positive, real life experiences about DBA International,” states Todd Lansky, DBA Board President and chair of DBA’s membership committee. “The advent of incorporating video content to showcase who we are and what are values consist of will directly increase our SEO and ultimately show our community as people and businesses who truly want to help consumers”.
DBA wishes to thank the following ‘cast’ who participated in this video:
- Amy Anuk – Encore Capital
- Steven Cohen – Law Offices of Steven Cohen
- Greg Delev – Delev & Associates
- Victor Diaz – Diaz & Associates
- Kaye Dreifuerst – Security Credit Services, LLC
- Howard Enders – Phillips & Cohen Associates, Ltd.
- Lexi Knight – Investment Retrievers
- Todd Lansky – Resurgence Capital
- Luis Lopez – Dalty Acquisitions
- Steve Madsen – Cedar Investment Analysts
- Matt Maloney – First Financial Asset Management Inc.
- David Mertz – Global Debt Registry
- Brett Soldevila – Security Credit Services, LLC
- Phil Stenger – Capital Alliance Financial, LLC
- Jan Stieger – DBA International
- Greg Woodford – RAzOR Capital
Upcoming Industry Events
DBA International works to open new markets and promote the industry at various conferences and events (look for us at these upcoming events). Also, you can earn education credits towards certification at these events.
| DATE | EVENT/LOCATION |
Sep. 13-15 Debt Connection Symposium & Expo; Tucson, AZ
Sep. 14-15 UK Credit & Collections Conference; London
DBA participating on a panel and meetings with UK trade associations
Sep. 20-21 DBA International D.C. Symposium; Washington, D.C.
2016 Legislative Fund Contributors
Thank you 2016 Legislative Fund contributors. Your support allows us to influence threatening legislation, while also promoting and preserving the best interests of RMA members. Make your contribution today!
Diamond ($25,000)
PRA Group
Titanium ($15,000)
Calvary Investments
Silver ($5,000)
Crown Asset Management
Javlin Capital
Second Round
U.S. Equities Corp.
Bronze ($2,500)
Digital Recognition Network
Cornerstone Support, Inc.
RAzOR Capital
TRAKAmerica
Brass ($1,000)
Atlantic Credit & Finance, Inc.
Barnes Financial Services
Bedard Law Group PC
Comtech Systems
Convoke
Credit Management Corporation
Credit One Bank, N.A.
Empire Capital Funding Group
Galaxy Asset Purchasing, LLC
H&S Financial
Halsted Financial Services
InvestiNet
O&L Law Group, P.L.
PCA Acquisitions V, LLC (dba Invenio Financial)
Plaza Services, LLC
Simmonds & Narita
The Bureaus
VeriFacts, Inc.
Other Contributors
Alliant Capital Management
American Acceptance Co.
American Lawyers Company
Balbec Capital
Bayview Solutions, LLC
Blitt and Gaines
Boone Account Recovery Corp.
Center Point Legal Solutions
ComplyARM
Crosby Capital
Debt Control Agency (DCA)
Delev & Associates
Dynamic Recovery Solutions
Federal Pacific Credit Company
FocuseData
Fort Crook Financial
Frontline Asset Strategies, LLC
General Collection Co.
Michael Haynes & Associates
Moss Adams
National Recovery Solutions
PerSolve
Premier Forty Financial
Real Time Solutions
Rodriguez Fernandez Law Office
SIMM Associates, Inc.
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