Class Action: Maddocks Collection Services Improperly Demanded Payment During Validation Period

New to ClassAction.org? Read our Newswire Disclaimer

Maddocks Collection Services, LLC faces a proposed class action filed over claims that the debt collector improperly demanded payment from a consumer before the expiration of his 30-day validation period during which he could dispute the obligation.

The suit focuses on a collection notice that was sent to the plaintiff in January 2018 and stated, in part:

“To avoid additional collection efforts, you must pay the above balance.”

According to the case, the letter failed to explain that despite the defendant’s demand for payment, the plaintiff still had the right to dispute the obligation. Instead, the letter implied that “unless payment is remitted and cleared in full, collection efforts will continue unabated,” the suit argues. In truth, upon the consumer’s dispute and request for validation, debt collectors are legally required to cease all collection activity until they verify the debt, the complaint explains.