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Midland Debt Collection Notice Overshadows Consumer’s Rights under FDCPA


Fair Debt Collection Practices Act Protections - Culik Law PC

Under the FDCPA, that notice can request payment, but the payment request cannot “overshadow” the consumer’s rights to request what is called “validation” of the debt. Validation is the consumer’s right to dispute and seek verification of the validity of the debt. Importantly, if the consumer asks for validation, collection activity must stop.

But in the collection notice, Midland stated that the only way to stop collections was to contact Midland to make payment arrangements. It was only on a disclaimer on the back of the letter that Midland told the consumer that requesting validation of the debt would also stop collections.

The court denied Midland’s motion to dismiss, holding that the failure to tell the consumer about all her methods of stopping collection overshadowed her rights under the FDCPA.

The opinion is available here: Oberther v. Midland Credit Management, Inc.

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