Last month, we wondered whether lawyers should get involved in the debt collection business. It's fraught with regulations, and this case from the First Circuit demonstrates what can happen to a law firm that doesn't follow those regulations.
Robbie Pollard had a debt of about $612. The Law Office of Mandy L. Spaulding sent Pollard a letter saying that it was collecting on the debt and that, you know what, she was just going to sue her to get this all over with. Efficient? Yes. Legal? No. The Fair Debt Collection Practices Act (FDCPA) doesn't allow for this. Spaulding claimed that the law didn't contradict the collection notice, which contained some teeny-tiny print advising Pollard of her rights under the FDCPA.