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DISCLAIMER: This article is based on a complaint. The defendant has not responded to the complaint to present its side of the case. The claims mentioned are accusations and should be considered as such until and unless proven otherwise.
This is one of those suits where the defendant was forced to parse what the plaintiff was saying in a one sentence communication and was sued because it essentially interpreted the inclusion of the word “now” as an indication that the plaintiff was not outright refusing to pay the debt. The case was filed in federal court in the Southern District of Florida.
The background: The plaintiff received a Model Validation Notice from the defendant last December, attempting to collect on an unpaid medical debt of $1,556.10. Two weeks later, the plaintiff sent a certified letter to the defendant. The entirety of the message stated, “I don’t have any money now so I’m not paying.”
- Two weeks later, the defendant sent another communication to the plaintiff, letting her know that her health insurance provider was requesting additional information to process the claim. The letter instructed the plaintiff to contact the defendant after submitting the information so that it could update the status of the account.
- Two months later, the defendant sent another communication to the plaintiff, this time offering to settle the account for 50% of the balance that was owed. The letter gave the plaintiff more than six weeks to accept the offer.
The claims: The plaintiff filed suit, alleging the defendant violated Section 1692c(c) of the FDCPA by not honoring the refusal to pay. But was it a refusal to pay? Does saying that you don’t have any money “now” mean that you are refusing to pay the debt? That is the question.
- The plaintiff claimed to have suffered actual damages in the form of intrusion upon seclusion, anger, anxiety, decreased ability to focus on tasks, and frustration among other negative emotions.
