Arcadia Recovery Hit with FDCPA Class Action

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A New York consumer has filed a proposed class action lawsuit against Arcadia Recovery Bureau, LLC over claims that it misrepresented his right to dispute an alleged debt. The plaintiff says he received a collection letter from the debt collector and, through a representative, called to dispute the amount in the letter. The defendant’s employee allegedly responded, “You have no valid dispute.”

Citing supposed violations of the Fair Debt Collection Practices Act (FDCPA), the complaint argues that the defendant “wrongfully stated to [the plaintiff] that he could not orally dispute the debt with Defendant absent a valid reason.” The FDCPA, according to the suit, does not require consumers to provide valid reasons to dispute a debt.