Woman Alleges Professional Claims Bureau Demanded Payment on Debt She Did Not Owe

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Professional Claims Bureau, Inc. is facing a proposed class action lawsuit filed by a New York woman who claims the debt collector unlawfully demanded payment of a debt she did not owe. The defendant supposedly sent the plaintiff a collection letter seeking the amount of $1,140.00 to cover her son’s treatment at Columbia University Hospital – Dept. of Pediatrics. According to the complaint, the child is a Medicaid beneficiary, and his mother allegedly provided his insurance information to the hospital as required. The case argues that under state and federal law, the hospital was not permitted to seek from the plaintiff any amount not reimbursed by Medicaid, meaning the woman never owed the purported obligation.

“The Defendant misrepresented the legal status of the alleged debt, as the debt was not owed by the Plaintiff,” the complaint reads.