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Legal Feed W Va Woman Fights to Collect $10 Million from Debt Collectors – C

Source : ABC News

It is illegal for debt collectors to make empty threats about serving people with a lawsuit or seizing their home. And it was especially galling to Mey, who says she is debt-free.

“They threatened to take legal action against our property and it wasn’t even our debt,” Mey said.

Millions of Americans are victims of this kind of mistaken debtor identity, partly because of a new breed of collectors called “debt buyers.” They purchase old debts for pennies that the original creditors have given up on and then try to collect them for a big profit. Critics say debt buyers sometimes use outrageous tactics to get the money where others have failed. RFA is a debt buyer.
See: Bankruptcy Lawyer NC

Mey said she immediately called 911 to report that someone had threatened to sexually assault her. She says she was terrified because she believed the call was from a local number. Mey said she then bolted the door and got her husband’s gun out of the dresser and hung it on the bedpost in her bedroom.

When “Nightline” went to RFA’s Orange County, Calif., office to ask about the case, it was abandoned. RFA is actually a fictitious business name for a company called Global AG, LLC. Records show it is just one of several collection companies run by the same people that often change names and move. “Nightline” also visited other offices registered to people named in Mey’s suit, but employees refused to talk and asked us to leave.

RFA’s lawyer later told “Nightline” that RFA made the first collection call to Mey, but denies making the second, obscene call. He said he was speaking on behalf of company principals Thai Han, Jim Phelps and Stewart Phillips.

“My clients say it is not their policy to engage in conduct that violates the law,” he said. He characterized the $10 million judgment as “unfair.”

As for Diana Mey, she says she knows she may never be able to collect the money, but that her lawsuit still serves a purpose.

“I hope that it sends a message to other debt collectors out there that you have to follow the law,” she said. “Because if you don’t, there are going to be people out there that are going to stand up against you.”

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