Lawsuit Against FBCS, Cascade Capital Claims Settlement Offer Overshadowed Debt Dispute Rights

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A proposed class action lawsuit names as defendants two debt collectors – FBCS, Inc. and Cascade Capital, LLC Series B – who supposedly violated federal law by failing to clearly inform a consumer of her debt dispute rights.

The plaintiff says she received a collection letter from the defendants regarding a medical debt and was offered an opportunity to settle her purported obligation “for less than the full amount.” According to the complaint, the offer “does not explicitly extend” beyond the 30-day validation period during which the plaintiff is permitted to dispute the debt or request validation. Further, the letter supposedly warned the woman that the defendants were “not obligated to renew this offer.”

The lawsuit claims the defendants failed to explain that the settlement offer would still be available to the plaintiff in the future, leading her to believe that she must immediately take advantage of the opportunity rather than exercise her dispute rights.