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Lawsuit Claims National Recoveries Misleads Alleged Debtors

National Recoveries, Inc. is on the receiving end of a proposed class action lawsuit that claims it violated the Fair Debt Collection Practices Act (FDCPA) by failing to inform consumers that any disputes they had concerning their alleged debts must be submitted in writing. The plaintiff says he received a debt collection letter that advised him to submit any disputes within 30 days, and provided National Recoveries’ address and phone number. The least sophisticated consumer could allegedly misinterpret this information to mean that a dispute can be made by calling the toll-free number provided. The suit argues that the letter is “misleading” because it can be read to have more than one meaning, “one of which is inaccurate.” According to the complaint, “Plaintiff and others similarly situated have a right to receive proper notices mandated by the FDCPA.”

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