A federal judge has denied a request from Joseph Onwuteaka for a new trial, after Onwuteaka appealed saying the $25 million penalty he was assessed during his original trial was “grossly disproportional” to the offenses he committed.
Onwuteaka was found guilty of filing lawsuits against individuals whose debts he had purchased in jurisdictions where the individual was unlikely to show up. Plaintiffs are supposed to file suit in either the jurisdiction where the original contract between the individual and the creditor was filed or in the jurisdiction in which the individual now resides. Onwuteaka filed more than 900 lawsuits against individuals, but did so in his own jurisdiction instead of where he was supposed to file. The state of Texas filed suit against Onwuteaka for violating the Texas Debt Collection Act, the Texas Deceptive Trade Practices – Consumer Protection Act, and the Texas Identity Theft Enforcement and Protection Act, and a jury awarded $25 million in damages.
Michael Essmyer, Sr., who is representing Onwuteaka, says he plans to appeal the ruling denying the new trial. They argued that the $25 million fine violated the U.S. and Texas constitutions.
Judge Larry Weiman did not detail his reasons for denying the new trial in his ruling.
