Last month, the Consumer Financial Protection Bureau filed a complaint against Hanna & Associates, a Georgia-based "debt collection lawsuit mill that uses illegal tactics to intimidate consumers into paying debts they may not owe."
According to the Wall Street Journal, "the CPFB's case, filed in federal court in Georgia, accused Hanna & Associates of churning out more than 350,000 credit card collection complaints against consumers, some of whom may owe nothing or owed less than was claimed. Lawyers for the firm typically spend less than a minute reviewing each suit, the CPFB alleged."
What sayeth Hanna & Associates in its defense?
Now more than ever [we] will work increasingly hard to ensure that H.R. 2982 and Senate 2328 are passed.
And what are these bills?
Senate 2328: Fair Debt Collection Practices Technical Clarification Act of 2014. Amends the Fair Debt Collection Practices Act to exclude from the definition of "debt collector" any law firm or licensed attorney: (1) serving, filing, or conveying formal legal pleadings, discovery requests, or other documents pursuant to the applicable rules of civil procedure; or (2) communicating in, or at the direction of, a court of law or in depositions or settlement conferences, in connection with a pending legal action to collect a debt on behalf of a client.
"Now more than ever [we] will work increasingly hard to ensure that H.R. 2982 and Senate 2328 are passed." Yeah, I bet.
Bennett Hartz is an associate attorney at Drewes Law, PLLC who specializes in defending against debt collection and foreclosure. He can be reached by email at email@example.com.
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