Enhanced Recovery Accused of Miscommunicating Consumer’s Debt Dispute Rights
by Erin Shaak
Last Updated on May 8, 2018
Korchagina v. Enhanced Recovery Company, LLC
Filed: January 26, 2018 ◆§ 1:18-cv-00567
Enhanced Recovery Company, LLC is facing a proposed class action lawsuit that alleges the debt collector miscommunicated a consumer’s right to dispute her purported debt.
New York
Enhanced Recovery Company, LLC is facing a proposed class action lawsuit that alleges the debt collector miscommunicated a consumer’s right to dispute her purported debt. The plaintiff allegedly received a collection letter from the defendant that stated the following:
“Upon receipt of your payment and clearance of funds...collection efforts will cease.”
The suit argues that this statement overshadows the consumer’s right to dispute the debt, noting that a dispute, not just a full payment, would require the debt collector to cease its collection efforts.
“Defendant’s letter would likely lead the unsophisticated consumer to believe that the only way to make Defendant stop its collection efforts is to make payment in full, contrary to law,” the complaint attests.
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