Rosewood Colony Owners Association, Inc. and Clayton & McCulloh, P.A. are together facing a proposed class action alleging violations of the Fair Debt Collection Practices Act (FDCPA) and Florida state law.
Rosewood Colony Owners Association, Inc. and Clayton & McCulloh, P.A. are together facing a proposed class action alleging violations of the Fair Debt Collection Practices Act (FDCPA) and Florida state law. According to the complaint, the plaintiff purchased a property that was subject to Rosewood’s monthly assessments. The Association’s documents reportedly required payments to be made on the first of each month and allowed the entity to collect 10 percent interest on payments that are more than 30 days late.
The plaintiff claims he received two collection letters from Clayton & McCulloh on Rosewood’s behalf demanding payment of assessments that dated back to April 2012, plus interest and attorney fees. The lawsuit argues that the defendants’ letters violated debt collection law in that the companies:
attempted to collect debt amounts on which the statute of limitations had expired without informing the plaintiff that the debts were “uncollectable by legal action” and that any partial payment could renew the statute of limitations;
demanded a higher interest rate than was allowable by law;
misrepresented the legal status of the debt by claiming the defendants could foreclose on the plaintiff’s property within 30 days of the second collection letter when the law required 45 days;
failed to inform the plaintiff that the communications were from a debt collector attempting to collect a debt and that “any information obtained will be used for that purpose”; and
overshadowed the plaintiff’s right to dispute the debt or request validation within 30 days of the defendants’ initial communication.