Lawsuit: Portfolio Recovery Associates Misrepresented Florida Consumer’s Time-Barred Debt

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Portfolio Recovery Associates, LLC is the defendant in a Florida consumer’s proposed class action wherein she claims that the company misrepresented the legal status of her time-barred debt.

The suit focuses on a February 2018 letter sent to the plaintiff concerning a debt originally incurred on a Capital One Bank account. According to the case, the notice stated:

“The law limits how long you can be sued on a debt and how long a debt can appear on your credit report. Due to the age of this debt, we will not sue you for it or report payment or non-payment of it to a credit bureau.”

This statement, the case argues, implied that the defendant had chosen not to sue the consumer when, in fact, the debt’s expired statute of limitations barred any entity from taking legal action against her.

“The letter could mislead the Plaintiff to assume that the time-barred debt is legally enforceable and is within the Defendant’s discretion whether or not to sue, and more so that another collector could in fact choose to sue the Plaintiff,” the complaint reads.