Probably only the attorneys on the board will care about this (but maybe even they won't care). Early last year I took a pro bono case involving a 70 year old Mexican widow. She was a house wife while married and has never held a job. She had a Sears credit card that she would occasionally use, but rarely carried a balance of more than $100 on it. One day her purse was stolen here in Las Vegas. She canceled all her bank cards, and notified Sears of the theft and potential identity theft, but Sears would not cancel her card. They claimed they couldn't cancel it because she had a small balance left (about $50).
She didn't think much more about it, until she started receiving updated monthly statements with large balances on them for items that she definitely did not purchase. For example, one statement included $800 worth of car stereo equipment.
The woman (Sra. Ballido) kept making payments on the card, trying to pay off the few purchases that were really hers, but her payments didn't even cover the interest, let alone the principal. Soon she stopped paying because there was no use. Sears sold the debt to a collection firm who started collection proceedings and filed a complaint. Mrs. Ballido told the collection firm about the identify theft. They sent her an affidavit of unauthorized signature pursuant to the Fair Debt Collection Practices Act. She signed it and returned it. That's when they're supposed to dismiss the case w/o prejudice. But that's not what happened.
Instead, the collection firm ignored the affidavit and obtained a judgment against her. They used that to repossess her car. That's when Sra. Ballido came to Legal Aid and I was assigned the case. I've already bored you with too many detail, but I'll just say that we've had a real slug fest. I had the complaint removed to federal court and won summary judgment on the issue of the collection firm's violation of the FDCPA when they ignored the affidavit and repo'd her car. The collection agency, amazingly, appealed the decision (we're talking about a car worth less than $8k or so). Even more amazingly, the 9th circuit has agreed to hear it. Well, they've assigned a senior Judge, Clifford Wallace, to hear the case, and I get to argue it. This will be the first time I'll get to attend, let alone argue, in a U.S. Circuit Court. I can't believe its even going to this point, but I'm stoked.
She didn't think much more about it, until she started receiving updated monthly statements with large balances on them for items that she definitely did not purchase. For example, one statement included $800 worth of car stereo equipment.
The woman (Sra. Ballido) kept making payments on the card, trying to pay off the few purchases that were really hers, but her payments didn't even cover the interest, let alone the principal. Soon she stopped paying because there was no use. Sears sold the debt to a collection firm who started collection proceedings and filed a complaint. Mrs. Ballido told the collection firm about the identify theft. They sent her an affidavit of unauthorized signature pursuant to the Fair Debt Collection Practices Act. She signed it and returned it. That's when they're supposed to dismiss the case w/o prejudice. But that's not what happened.
Instead, the collection firm ignored the affidavit and obtained a judgment against her. They used that to repossess her car. That's when Sra. Ballido came to Legal Aid and I was assigned the case. I've already bored you with too many detail, but I'll just say that we've had a real slug fest. I had the complaint removed to federal court and won summary judgment on the issue of the collection firm's violation of the FDCPA when they ignored the affidavit and repo'd her car. The collection agency, amazingly, appealed the decision (we're talking about a car worth less than $8k or so). Even more amazingly, the 9th circuit has agreed to hear it. Well, they've assigned a senior Judge, Clifford Wallace, to hear the case, and I get to argue it. This will be the first time I'll get to attend, let alone argue, in a U.S. Circuit Court. I can't believe its even going to this point, but I'm stoked.
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