Fair Debt Collection Practices Act (ELI Highlights)

[Matthew Chan]

Ok, gang. I think the ELI website deserves some Paypal contributions for this. I have gone out of my way to serve this helping on a silver platter.

The whole collection agency thing has been brought up repeatedly. And yet, this piece is the easiest to fight off.  I have tried to tell people in the past to read up on the Fair Debt Collection Practices Act (FDCPA).  I have told people to write a letter to the collection agencies to not contact them anymore but people are not listening.  It has also been explained many times by Oscar and others that there is NO DEBT here.  It is a claim.  And that claim, presumably, you are disputing.

You actually have to communicate this to the collection agency preferably in writing!  They are not telepathic! Just ignoring and complaining about the collection calls and collection letters does nothing!

The Fair Debt Collection Practices Act (FDCPA) has been around a long time here in the U.S. These rules are posted on the FTC website. Clearly no one has bothered looking in the last 3.5 years this forum has been in existence and so I am forced to serve this up on a silver platter.  (Gratuities are more than welcome here)

* The entire text is here:  http://www.ftc.gov/os/statutes/fdcpa/fdcpact.htm

* The original PDF document is here: http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre27.pdf

However, what I have done is taken the original document and removed the blank pages but MOST IMPORTANTLY highlighted those sections that are directly relevant to the extortion letters.

http://www.scribd.com/doc/71252305/Fair-Debt-Collection-Practices-Act-ELI-Highlights (Download the doc to see the text.)

You need to read Page 6.  It is Section 805, Paragraph C (Ceasing Communications)
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(c) CEASING COMMUNICATION.  If a consumer notifies a debt collector in writing that the consumer refuses to pay a debt or that the consumer wishes the debt collector to cease further communication with the consumer, the debt collector shall not communicate further with the consumer with respect to such debt, except --

    (1) to advise the consumer that the debt collector's further efforts are being terminated;
    (2) to notify the consumer that the debt collector or creditor may invoke specified remedies which are ordinarily invoked by such debt collector or creditor; or
    (3) where applicable, to notify the consumer that the debt collector or creditor intends to invoke a specified remedy.

If such notice from the consumer is made by mail, notification shall be complete upon receipt.

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It is very clear. You communicate clearly you do not want them to contact you anymore and they need to stop.

Now there are other helpful clauses such as Section 809 - VALIDATION OF DEBTS (Page 11) where the collection agency needs to prove or validate the so-called debt. If you want to gather more information regarding Getty's claims/copyrights/registrations/etc., this is the time to communicate it.  From there, let them be the gopher if they want to. Chances are, you won't get much but the standard reply.

The easiest way to get a legitimate, law-abiding collection agency off your back is to simply exercise the CEASING COMMUNICATION clause.  Write the letter.  It does not require a lawyer!  But if you have the money and want to hire one instead, that is your choice.

Yes, I know there are plenty of sleazy collection agencies that don't follow the rules.  However, I suspect Getty Images and most of the established stock photo companies will only use reputable collection agencies. Getty Images (and others) are trying to keep their noses clean as they attempt to collect. So they are not going to be so stupid as to use a rogue and illegitimate collection agency.

Also, legitimate collection agencies know there is no actual debt here.  It is only a claim and they will be very careful in their communications, words, and wording so that they don't violate Section 807 - FALSE OR MISLEADING REPRESENTATIONS.

A collection agency may want their clients business but they also don't want to be reported to the FTC for violating the Fair Debt Collection Practices Act (FDCPA). And if they violate, don't be afraid to report them to the FTC and to the Attorney General in your state.

As has repeatedly been said on the ELI forums, next to hiring a competent lawyer, EDUCATION is you best weapon and line of defense.  Quite honestly, I don't believe many IP lawyers know much about FDCPA. But now, EVERYONE gets to learn about this.

AS I get ready to leave my soapbox, I have a disclaimer.  I served up this document with some important highlighted clauses very late at night. I did not go through FDCPA with a fine-tooth comb to think of every possible scenario that could happen. I invite ELI community members to put on their thinking caps and go through FDCPA to see what else might be helpful here.

The whole collection agency fear thing has been happening way too long and I couldn't take anymore complaints about it. So I have written what I consider the most definitive post on the collection agency issue using FDCPA as my legal reference.  This post is meant to squelch that fear once and for all.  Going forward, it will become clear who is paying attention and who isn't.

The easiest way to answer any future questions or concerns regarding the collection agency issue is to provide a direct link to this post so they can read and get educated for themselves.

Off my soapbox now....

Matthew

[Robert Krausankas (BuddhaPi)]

Thanks Matt for taking time to post this. maybe you should make it a sticky post so it doesn't get lost

[Oscar Michelen]

Thanks Matt for posting this info and trying to arm our audience with knowledge. Getty will tell you that they are not trying to collect on a debt so that the fair debt collection act does not apply. The response to this is that these rules still apply to unwanted communications with no legitimate purpose and that therefore once you tell them you are not paying any further class have no legitimate purpose.