Managed Recovery Systems Hit with FDCPA Class Action

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From South Carolina district court comes a proposed class action claiming defendant Managed Recovery Systems violated the terms of the Fair Debt Collection Practices Act (FDCPA). The lawsuit claims the defendant sent the plaintiff a collection notice that included the below language:

“UNLESS YOU NOTIFY THIS OFFICE IN WRITING WITHIN 30 DAYS OF RECEIVING THIS NOTICE TO DISPUTE THE VALIDITY OF THIS DEBT OR ANY PORTION OF IT, WE WILL ASSUME THE DEBT IS VALID.”

According to the complaint, the above language is unlawful because it could lead the least sophisticated consumer, i.e. the metaphorical benchmark in FDCPA lawsuits, to believe that only one option exists to dispute the validity of a debt. The plaintiff specifically alleges the defendants failed in their obligation to provide the mandatory validation notice “effectively and clearly.”