Phillips & Cohen Associates Pegged with Debt Collection Class Action

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A Wisconsin consumer alleges in a proposed class action that defendant Phillips & Cohen Associates, Ltd. unlawfully called and left a message on her cell phone in an attempt to collect a debt. The issue with this, the lawsuit claims, is that the Fair Debt Collection Practices Act (FDCPA) mandates that debt collectors provide written notice to consumers within five days of initial communication, something the defendant allegedly failed to do. The case notes the plaintiff has been involved in several billing and collection disputes and is careful not to dispose of any mail pertaining to collection activities. 

Roughly a month after the defendant first called the plaintiff, the company mailed the woman a notice containing a settlement offer, the suit says. According to the complaint, the settlement offer falsely implies it is only valid for a limited time, a tactic the case says is meant to impart a false sense of urgency in the unsophisticated consumer. Most importantly, the complaint continues, the defendant allegedly failed to provide the plaintiff with the FDCPA-required validation notice, which interferes with the 30-day period set by the law in which a consumer has the right to temporarily cease collection activities.