Politics & Government
Trott's Bill Would Change Debt Collection Rules
Consumer groups oppose the bill, saying it would it would go too far in protecting lawyers involved in debt collection.
BIRMINGHAM - Legislation proposed by outgoing U.S. Rep. Dave Trott, a Birmingham Republican, would protect licensed attorneys involved in debt collection from federal oversight. It would also exempt attorneys from being sued while engaging in debt collection activities on behalf of a client, according to a Detroit News report.
"The Fair Debt Collection Practices Act prohibits certain debt-collection practices, such as attempting to collect unauthorized amounts. “The technical correction proposed in HR 1849 would not help Rep. Trott or his former law firm in any way, and the legislation would have no impact on the frivolous lawsuit,” Trott spokeswoman Katie Vincentz said."
"But April Kuehnhoff, a staff attorney with the National Consumer Law Center in Boston, has concerns about eliminating liability for what she calls debt-collection “mills” – large legal practices that generate and file tens of thousands of debt collection cases a year."
For more, go to the Detroit News.
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