FBCS, Inc. and Cavalry SPV I, LLC are defendants in a proposed class action lawsuit that claims the two debt collectors perform misleading and deceptive debt collection practices. The case claims that the plaintiff received a misleading collection letter that said the defendants had chosen not to sue her over her debt. However, the alleged debt was time-barred, the suit points out, meaning the defendants were prohibited from suing the plaintiff. As such, the case argues that the defendants mislead consumers by implying that debt collectors can change their minds and file suit in the future. This can lead to a consumer making a payment on a time-barred debt, thus reviving the debt and resetting the statute of limitations, the complaint says. Notably, the letter failed to mention that any partial payments would reset the debt’s statute of limitations, the case says.
The case argues that the defendants' collection practices violate the Fair Debt Collection Practices Act by misleading consumers. The lawsuit calls for compensation for damages suffered by the plaintiff and anyone in the state of Florida who has received similar collection letters from the defendants anytime between a year before this action was filed and 21 days after.