Lawsuit: Cavalry Portfolio Attempts to Collect 'Stale' Debts

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Cavalry Portfolio Services LLC, its affiliate, Apothaker Scian P.C., and its owner are on the receiving end of a proposed class action lawsuit that claims the defendants unlawfully sued the plaintiff to collect on an alleged debt that was “unenforceable” under state law. The plaintiff argues that his defaulted credit card account was administered by the original creditor under the laws of Delaware, so the state’s three-year statute of limitations would apply. According to the complaint, Cavalry and Scian illegally attempted to collect on a “time-barred” debt by initiating legal action against the plaintiff after the statute of limitations had expired. The suit further argues that the collection complaint filed by the defendants “did not disclose the date on which the claims were alleged to have accrued.”

“[I]t is Defendants’ policy and practice to sue on debts which appear to arise from credit card accounts governed by a Delaware choice-of-law contract without regard to whether Delaware’s three-year limitations period has expired. Such policy and practice is alleged to be in violation of the FDCPA,” the suit argues.

The plaintiff believes Cavalry Portfolio Services, as part of a joint enterprise with its affiliate and Apothaker Scian, has filed at least 4,000 lawsuits against New Jersey consumers since April 5, 2016.