Originally from:
Advising Minnesota Corporations and Other Business Organizations - 2nd Edition - Hardcover
Advising Minnesota Corporations and Other Business Organizations - 2nd Edition - Electronic
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CHAPTER 66
DEBT COLLECTION PRACTICES AND
CREDIT REPORTING UNDER
MINNESOTA AND FEDERAL LAW
Section
§ 66.01 Debt Collection
§ 66.02 Credit Reporting
§ 66.01 Debt Collection
Debt collection practices are regulated by the federal Fair Debt
Collection Practices Act (FDCPA)1. The Act was enacted "to eliminate
abusive debt collection practices by debt collectors,"2 including those
practices that are false, deceptive, unfair, or harassing.3 "A debt collector
may not engage in any conduct the natural consequence of which is to
harass, oppress, or abuse any person in connection of a debt [specific
instances of prohibited conduct are then listed]."4 Debt collectors are
generally defined, with some listed exceptions, as "any person who uses
any instrumentality of interstate commerce or the mails in any business
the principle purpose of which is the collection of any debts, or who
regularly collects or attempts to collect, directly or indirectly, debts owed
or due or asserted to be owed or due another."5
Any attorney who does more than a "handful" of debt collection
activities a year must comply with the FDCPA.6 The attorney who
regularly engages in debt collection activities, and not the mere agent of
the creditor where collection letters state that the money is to be sent
directly to the attorney, is considered to be a "debt collector" liable for
practices that violate the FDCPA.7 An attorney who averaged less than
two collections per year over a ten-year period, and the amounts
collected were less than one percent of his practice, was held to not be a
"debt collector" subject to the FDCPA.8
Any debt collector who is communicating with any person other than
the consumer "for the purpose of acquiring location information about
the consumer" must identify himself or herself, state that he or she is
confirming or correcting location information about the consumer, and
not tell the person who his or her employer is, unless expressly asked.9
The debt collector is limited in what he or she can tell the third person,
and how he or she can communicate with them.10
Roger J. Magnuson is a Partner at Dorsey and Whitney, LLP, where he serves as Head of the National Strategic Litigation Group and has practiced since 1973. He has been recognized as one of the top trial lawyers in the United States by major national and international publications, including Chambers International Guide to American Lawyers, which profiles the top 500 trial lawyers in the United States, Best Lawyers in America, Who's Who in American Law, and Who's Who in America. Mr. Magnuson was also recognized by a Journal of Law and Politics' survey for Judge's Choice "Wins Most Cases."
Some high profile cases that he has litigated include representation of the Florida Senate in the Bush v. Gore election controversy in 2000; and representation of the Plaintiffs in the widely publicized and studied Mall of America case. For several years he has represented, among other persons and entities, the Minnesota Twins and Major League Baseball principals and players in litigation; and has litigated national and local cases in federal and state court venues. He has appealed before the Supreme Court in a number of cases; as well as the Minnesota Supreme Court. He has authored several articles and 7 books.
Richard A. Saliterman is a Principal in Saliternan & Siefferman P.C., a full-service firm in Minneapolis established in 1976. Mr. Saliterman is a leading expert on corporate business matters, and is the author of several publications on business start-ups, franchises, and trademarks. Mr. Saliterman is the former National Judge Advocate for the U.S. Navy League, based in Washington D.C.
Contributing Editor:
Amanda Chang
Contributing Authors:
Alecia Anderson
Seth Back
John Baker
Shannon Berg
Constatin Burachek
Benjamin Carpenter
Ryan Check
Carl Christensen
Peter Fear
Michael Frasier
Aaron Hall
Catherine Hanson
Paul Harman
Amy Ithlan
Michael Kern
Chris Kuhlman
Brett Larson
Joshua Lederman
Karen Lundquist
James Magnuson
Jennifer Mead
Rao Menier
Heidi Miller
Rachael Moxon
Oliver Nelson
Scott Peitzer
Mitchell Skinner
Jonathan Stechmann
Lael Weinberger
Jonathan Wilson
Alex Zumbulyadis
