in Newswire Published on August 31, 2018

Lawsuit: Diamond Resorts Management’s ‘Final Notice’ Collection Letters Failed to Inform Recipients of Debt Validation Rights [UPDATE]

Last Updated on October 20, 2021

Gross v. Diamond Resorts Management Incorporated

Filed: August 31, 2018 ◆§ 2:18cv2759

A class action claims Diamond Resorts Management's “FINAL NOTICE” letters illegally omit information concerning debt validation and verification rights.

Defendant(s)

Diamond Resorts Management, Inc.

Law(s)

Fair Debt Collection Practices Act

State(s)

Arizona

Case Updates

October 20, 2021 – Lawsuit Dismissed

The lawsuit detailed on this page was voluntarily dismissed with prejudice on November 20, 2018, with each party bearing its own attorneys’ fees and costs.

Diamond Resorts Management, Inc. is staring down a proposed class action lawsuit in which the plaintiff alleges collection notices crafted by the company aim to sidestep debt collection regulations by leaving out mandatory information on consumers’ debt validation and verification dispute rights. According to the complaint, the defendant’s “FINAL NOTICE” letters threaten timeshare and condo owners with “public liens, foreclosure proceedings, additional collection costs and legal fees” and harm to credit ratings should a debt go unpaid.

“The Defendant’s intent is to avoid the costs and expenses of following the regulations of the [Fair Debt Collection Practices Act] and avoid consumers increasing the expenses of collection by eliminating rights a consumer like [the plaintiff] has to seek validation and verification of the debt,” the complaint reads.