Lawsuit: Midland Credit Management Unlawfully Attempted to Collect Time-Barred Debts

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Midland Credit Management, Inc. is on the receiving end of a proposed class action filed by two West Virginia consumers who claim they received collection letters from the defendant that unlawfully attempted to collect time-barred debts. According to the complaint, the letters informed the plaintiffs that “because of the age of your debt, we will not sue you for it,” purporting that the defendant was simply choosing not to sue the plaintiffs when it was instead legally barred from commencing litigation because the statute of limitations on the debts had expired.  

The suit further argues that Midland Credit Management falsely implied that the debts were legally enforceable by assuring the plaintiffs that their debts would be “Paid in Full” if they accepted the settlement offers and noting that the company was not obligated to renew the offers.

Moreover, the complaint claims the defendant unlawfully recommended installment payments to the plaintiffs without disclosing that any partial payments would renew the statute of limitations and thereby “lured [the plaintiffs] away from the shelter of the statute of limitations.”