State Watchdog: Division of Consumer Services

Have you ever had a question, concern, problem or complaint that has gone unresolved because you could not figure out the proper agency or resource to contact?

As the state’s clearinghouse for consumer complaints, the Division of Consumer Services within the Florida Department of Agriculture and Consumer Services takes its role as a state watchdog very seriously. With over 40,000 complaints filed in 2010 – an increase of 7 percent from the previous year – the Division boasts an impressive resolution rate of over 88 percent as successfully closed or resolved.

Sometimes confused as having jurisdiction over only the citrus industry, the Division has regulatory authority over the following Florida industries: Business Opportunities, Charitable Organizations, Dance Studios, Do-Not-Call Program, Game Promotions/Sweepstakes, Health Studios (Gyms), Intrastate Movers, Motor Vehicle Repair Shops, Pawnshops, Professional Surveyors and Mappers, Sellers of Travel, Telemarketing, and administers the Florida Lemon Law program in conjunction with Florida Attorney General Pam Bondi.

Following a 138 percent increase in complaints against telemarketers last year, the Division’s Bureau of Investigations recently assisted law enforcement officials in central Florida on three separate enforcement actions.

“With emerging technologies, there will undoubtedly be emerging threats to Florida consumers. My office recently initiated a targeted inspection of 23 telemarketing businesses, which resulted in 153 violations and the collection of over $51,000 in fines,” said Commissioner Adam Putnam. “Through proactive, innovative efforts, we will continue to protect Floridians from harassing and intrusive telemarketing calls, while allowing those businesses who operate within the law to succeed.”

The next largest increase was Real Estate Broker/Salesperson complaints which rose by 36 percent followed by a 32 percent rise in Medical complaints. Motor Vehicle Repair and Do-No-Call complaints were each up by 17 percent while complaints involving Travel/Vacation Plans were down for the second year in a row, decreasing by 29 percent from 2009 to 2010 after a 22 percent reduction from 2008 to 2009.

Due diligence can protect a consumer. Before conducting business with a company, check their complaint history. Have they had complaints? If so, how were they resolved? This can be done by visiting http://www.800helpfla.com and utilizing the “Business/Complaint Lookup” tab, or by calling 1-800-HELP-FLA (435-7352) and allowing a member of the Consumer Assistance Center to retrieve the information. If the particular business is regulated by the Florida Department of Agriculture and Consumer Services, be sure to find out if they are properly registered.

If you are solicited to contribute to a charitable organization, inquire whether the person contacting you is a paid solicitor/fundraiser. If the answer is yes, the vast majority of your contribution may be going to the fundraiser and not the charitable organization. If you are inclined to give, it might be prudent to contact the charitable organization itself and make your donation directly. Consumers can utilize the “Gift Givers Guide” at http://www.800helpfla.com or call the Florida Department of Agriculture at 1-800-HELP-FLA (435-7352) to inquire about the registration status of a particular charity.

Considered as a useful tool in the quest to inform, educate and protect consumers, the Florida Department of Agriculture and Consumer Services has developed the “A-Z Resource Guide,” an online directory of government-related information. Entering a keyword into the search function of the guide at 800helpfla.com will allow the database to locate needed services and assistance fast. Remember, an educated consumer is the best defense against fraud and deception.

The Division of Consumer Services has a monthly electronic newsletter for consumers. Within the Florida Consumer E-Newsletter, you will find tips on important consumer related issues and resources for additional information. Many of the previous editions have been dedicated to topics that focus on popular complaint categories. Consumers are encouraged to subscribe and peruse the archived editions by visiting 800helpfla.com. They can be extremely useful when seeking advice on a particular subject area.

To review Bill Lewis’ entire consumer protection series, visit http://www.williamlewis.us.

Original Source: The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune – Media General Group: http://www2.highlandstoday.com/content/2011/mar/04/state-watchdog-division-of-consumer-services/

William E. Lewis, Jr. & Associates is a solutions based professional consulting firm specializing in the discriminating individual, business or governmental entity. To learn more, tune into “The Credit Report with Bill Lewis,” a daily forum for business and financial news, politics, economic trends, and cutting edge issues, weekdays at 9 o’clock on AM 1470 WWNN. To review Bill Lewis’ entire consumer protection series, please visit williamlewis.us.

Walking Away from a Successful Business

While 2010 has been challenging with baby Rebecca and William III joining their older sister Katherine in the Lewis household, decisions and choices for change in 2011 are proving an equal challenge.

Between a growing family and commitment to several businesses and charitable causes, there is simply not enough time in the day.

Struggling through tough economic times and an industry that is heavily scrutinized and frowned upon – the credit repair industry – decisions must be made. Does one continue working in an industry they have grown to hate?

Does one sell the business with its perfect record and reputation within the community? Or do they simply shut down and walk away from a profitable business after a decade in existence?

When you hear about credit repair companies from “reputable” sources, such as the Attorney General’s Office or Federal Trade Commission (FTC), you are usually warned about the disreputable nature of the industry. You are warned about hiring credit repair companies and advised that you are better off repairing your own credit through a do-it-yourself approach.

Why have credit repair companies been made into villains? Answer – because most of them are, in fact, nothing more than scams or fly-by-night outfits. Most of these companies promise unsuspecting customers that they can magically erase all of their debt for a small fee. Others advise they can legally create a new identity through use of a Taxpayer Identification Number (TIN) or Credit Profile Number (CPN), thus segregating one credit identity from another.

Use of a Taxpayer Identification Number or Credit Profile Number, also referred to as a Credit Privacy Number, is highly illegal and could result in criminal charges of mail or wire fraud, identity theft, or misuse of personal information. File segregation is something that is not advised if you value your freedom.

Started on Sept. 10, 2001 approximately 100 yards from the downtown Hollywood home of 9-11 hijacker Mohamed Atta, Credit Restoration Consultants attempted to present a new approach in the “credit restoration” industry. Hesitant to utilize the forbidden term “credit repair,” Credit Restoration Consultants branded itself as a credit service organization specializing in the restoration of consumer credit worthiness as well as identity theft.

Among the clients of Credit Restoration Consultants were a variety of sorts. Whether the “average Joe,” attorneys, doctors, multi-millionaire developers, celebrities, pro-sports players, or politicians; including, a sitting governor, U.S. senator, and several congressmen, each had varying expectations bordering on the unreasonable, unrealistic or downright ridiculous. Each expected an 800 FICO score despite late payments, collections, repossessions or foreclosures, in addition to federal tax liens and bankruptcies.

One would not be surprised on just how many politicians have had federal tax liens filed against them.

While the FTC shutdown 33 credit repair companies in 2008 and 36 in 2009 for violations of the Credit Repair Organizations Act, Credit Restoration Consultants has never had a complaint to any state, federal, or local regulatory authority. In fact, Credit Restoration Consultants maintains an A+ rating with the Better Business Bureau and a complaint free history.

According to a recent Small Business Administration study, seven out of 10 new businesses survive at least two years, half at least five years, a third at least 10 years, and a quarter 15 years or more. Credit Restoration Consultants lasted just under 10 years.

Tired of the bad actors and scam artists in an already heavily scrutinized credit repair industry, I have decided to simply shut down, throw in the towel, and walk away.

Rather than sell the successful business that Credit Restoration Consultants became and have another destroy it and my personal reputation, walking away seems the best course of action. With that – I quit.

Source:  The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune – Media General Group http://www2.highlandstoday.com/content/2011/jan/02/walking-away-from-a-successful-business/

To review Bill Lewis’ entire consumer protection series at the Highlands Today, visit www.williamlewis.us.

William E. Lewis Jr. & Associates is a solutions based professional consulting firm specializing in the discriminating individual, business or governmental entity. To learn more, tune into “The Credit Report with Bill Lewis,” a daily forum for business and financial news, politics, economic trends, and cutting edge issues on AM 1470 WWNN.

Better Business Bureau Accused in “Pay for Play” Scheme

Following an ABC News 20/20 investigation into the Better Business Bureau’s controversial grading system, its national president apologized to consumers and business owners for “errors,” while regional leaders met to discuss grading reforms.

Known as the nation’s top consumer watchdog group, the BBB is accused by business owners and the Connecticut Attorney General of running a “pay for play” scheme in which A plus ratings are awarded to those who pay membership fees while F ratings are used to punish non-members.

On its website, the Better Business Bureau indicated that its executive committee gathered to discuss “ways to improve the BBB’s rating system.” According to media relations manager Alison Southwick, the organization is “considering a critical course of action which requires further work and research before we announce our concrete next steps.”

To prove the BBB “pay for play” scheme, a group of Los Angeles businessman paid $425 and secured an A minus grade for “Hamas,” a non-existent company named after the Middle Eastern terror group.

“Right now, this rating system is really unworthy of consumer trust or confidence,” stated Connecticut attorney general Richard Blumenthal in the 20/20 interview.

In an official demand letter directed to the Better Business Bureau, Blumenthal called upon the organization to cease using its grading system, which he said was “potentially harmful and misleading” to consumers.

“The BBB accreditation and the BBB ratings systems is not about generating money,” stated national president and CEO Steve Cox. He said the A minus grade for “Hamas” was given in error. “Plain and simple, we made a mistake,” Cox advised ABC News.

Mistakes seem plentiful at the Better Business Bureau. The BBB also awarded an A minus rating to a non-existent sushi restaurant and an A plus rating to the skinhead, neo-Nazi organization Stormfront. Each rating cost $425.

“They ran the credit card and within 12 hours they were an approved, accredited member,” stated an anonymous blogger, who runs the website www.bbbroundup.com. “They’re more interested in the money than their credibility,” he said.

The BBB indicated that the listings were “mistakes” by sales staff. “That’s an inaccurate statement that business people are able to buy A’s,” Cox said. “We have more than 500,000 non-accredited businesses who have A ratings,” he added.

In his demand letter to the Better Business Bureau, the Connecticut attorney general said, “I am deeply concerned that certain BBB practices threaten its reputation and effectiveness as a reliable resource for consumers.”

Started as a non-profit group 98 years ago, the Better Business Bureau recently instituted an A plus through F grading system, effectively replacing the prior “satisfactory/unsatisfactory” ratings.

Critics say that the BBB has used its new grading system as part of an extensive telemarketing campaign to increase revenue and membership.

“I think the Better Business Bureau changed course and lost its way by adopting a system of pay to play that maybe enhanced its revenues but also greatly diminished its credibility and honesty,” said Blumenthal, who was recently elected to the United States Senate from Connecticut.

“It’s very troubling and it could be illegal because the failure to disclose to consumers could well be deceptive and misleading,” he added.

The ABC News investigation also found that a number of popular non-member businesses were awarded F grades by the Better Business Bureau. For instance, the five-star Ritz Carlton Hotel in Boston was given an F rating after only two complaints.

“A million customers served, two complaints resulting in an F rating, seems to be somewhat unusual, to say the least,” stated hotel general manager Erwin Schinnerl.

Celebrity chef Wolfgang Puck told 20/20 that parts of his food and restaurant empire have received an F grade because he refused to join the Better Business Bureau.

“You know, if you become a member, you’re sure to get an A, but if you don’t pay, it’s very difficult to get an A,” said Puck, who has regularly appeared on ABC’s Good Morning America.

“I think where you have to join an organization to get a good grade is wrong,” Puck said.

To file a complaint with the Attorney General’s Office on this or any consumer protection issue, visit their website at www.myfloridalegal.com or call (866) 9-NO-SCAM (866-966-7226).

To review Bill Lewis’ entire consumer protection series at the Highlands Today, visit www.williamlewis.us.

William E. Lewis Jr. is a credit repair expert with Credit Restoration Consultants and host of “The Credit Report with Bill Lewis” on AM 1470 WWNN, a daily forum for business and financial news, politics, economic trends, and cutting edge issues.

Source:  The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune – Media General Group.  http://www2.highlandstoday.com/content/2010/nov/21/bbb-accused-pay-play-scheme/

Death and Social Networks

Losing a friend or family member is painful enough, but imagine when that friend’s social networking profile at Facebook, Twitter, and MySpace continues to appear on your personal wall or in searches.

In the digital age, many of us publish our entire lives through profiles, status updates, networks, photographs, blog posts, etc. With more than a million social networkers dying yearly, family, friends and service providers are stuck trying to figure out how to deal with a deceased user’s digital bits.

As a social networking guru with over 40,000 contacts spread across six social networks, one of them – Barry Epstein, of Boca Raton – advised that he was closing the accounts of his recently departed son. Aware of the “memorial” policies of Facebook, I was prompted to investigate the various social networking policies on deceased users’ accounts and what can be done to preserve, memorialize or delete them following death.

Facebook

Although not the first to establish a policy for its 500 million users worldwide, Facebook was the highest profile because of the way it addressed the issue. Rather than allowing a family member to take control of an account, Facebook instead decided to take things a step further and allowed them to be memorialized. http://www.facebook.com/help/?search=deceased

This is helpful for two reasons. First, it preserves the deceased user’s online identity so that only confirmed friends can visit their profile to read about them, view photos and leave posts of remembrance.

When Facebook converts an account into a memorial, the deceased user no longer pops up in Facebook’s friend suggestions. Thus we are not constantly reminded of their disappearance. The person’s profile automatically becomes private to everyone but confirmed friends. Personal identifiers and contact information are also removed to respect privacy and prevent hacking.

To establish a Facebook memorial, family or friends fill out a special contact form and provide proof of death such as an Internet link to an obituary or news article. Unlike other social networks, Facebook allows non-family to perform this task, which is helpful in a situation where the deceased user’s friends are more Internet-savvy than family.

Twitter

Just as Facebook allows users to request an account be deleted or memorialized when a friend or family member has passed on, Twitter users can now request a permanent back-up of the deceased user’s public tweets or a complete account deletion. http://www.twitter.com/help

Accounts of deceased users will no longer appear in the “Who to Follow” suggestion box and previously scheduled tweets are not published. At present, accounts of deceased users look exactly the same as those of living users and can be followed and listed.

To establish a permanent back-up or to delete a deceased user’s Twitter account, a family member is required to submit the user name or link to the profile page, and proof of death in the form of a public obituary or news article. Twitter also advises, “Please note that we cannot allow access to the account or disclose other non-public information regarding the account.”

MySpace

As one of the oldest social networks, MySpace has a deceased user policy that is more of a standardized policy of removal rather than memorializing. Moreover, MySpace does not adequately address privacy concerns and is susceptible to hacking. http://www.myspace.com/help

To remove a MySpace profile, a family member must contact MySpace via e-mail with proof of death and the user’s unique identification number. A user-name is generally not acceptable.

“Unfortunately, we can’t let you access, edit, or delete any of the content or settings on the user’s profile yourself, but we’ll be sure to review and remove any content you find objectionable,” reads MySpace’s policy. This policy is not particularly helpful for older relatives that are not Internet-savvy and makes it almost impossible to remove a deceased user’s existence from MySpace.

Strangely enough, hackers can potentially access the deceased user’s account. On MySpace’s policy page is an admission admitting that anyone with access to their e-mail account can simply “retrieve the password through the forgot password link” and make any necessary changes.

“I believe social networks are really useful for memorializing the deceased,” stated Barry Epstein of Boca Raton. “No matter what one does at the memorial service, people are using social networks as a way to deal with the departed, but in a way that funerals don’t allow.”

Source:  The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune – Media General Group  http://www2.highlandstoday.com/content/2010/dec/12/death-and-social-networks/news/

To review Bill Lewis’ entire consumer protection series at the Highlands Today, visit www.williamlewis.us.

William E. Lewis Jr. is a credit repair expert with Credit Restoration Consultants and host of “The Credit Report with Bill Lewis” on AM 1470 WWNN, a daily forum for business and financial news, politics, economic trends, and cutting edge issues.

Civil Rights of the Convicted Felon

In Florida, a felony conviction means the loss of civil rights, including the right to vote, hold public office, serve on a jury, possess a firearm or concealed weapon, and the right to be employed within certain occupations. These restrictions continue to exist following release from jail, state prison or probationary sentence.

While Doors lead singer Jim Morrison was posthumously pardoned by Gov. Charlie Crist and the Florida Clemency Board on indecency charges, a request by the American Civil Liberties Union and the National Association for the Advancement of Colored People for an executive order granting restoration of civil rights for citizens convicted of non-violent felony offenses fell on deaf ears.

The civil rights of a convicted felon are stripped until successfully restored through a lengthy clemency process. Following completion of a state prison or probationary sentence, the Department of Corrections automatically submits an electronic application to the Parole Commission for those convicted in a Florida state court.

An amendment to Florida’s civil rights restoration procedure provides individuals convicted of non-violent felonies and released after 2007 an automatic restoration of civil rights.

Offenders released before 2007 or those convicted of violent crimes are required to make an application to the clemency board. Critics argue that the amendment does not go far enough and that an executive order should be signed granting blanket restoration.

Automatic restoration of civil rights is made pursuant to the Rules of Executive Clemency for individuals convicted of less serious and minor felonies.

As a Level I offender, a convicted felon has completed their jail or prison sentence and/or probation, paid restitution, and has no pending charges or detainers. Upon verification of all Level I requirements, the application is submitted to the Executive Clemency Board for approval.

For individuals convicted of more serious felony offenses, with the exception of murder and sex crimes, a more stringent process is followed.

While some Level II offenders may obtain a restoration of civil rights without a hearing, most do not. In addition to the Level I requirements, the more serious offender must also undergo a mid-level investigation by the Florida Parole Commission.

Upon passing the mid-level investigation, the Level II offender application is provided to the Executive Clemency Board on a 30-day review. If the Governor and two members of the Clemency Board approve the application, a certificate of restoration of civil rights is issued. If the application is denied, a full investigation and hearing will be conducted.

For individuals convicted of a felony offense in another state, applicable laws should be reviewed. Although some states automatically restore civil rights upon completion of a jail, prison and/or probationary sentence, a few never revoke citizenship rights. If civil rights were restored prior to becoming a Florida resident, an application to the Office of Executive Clemency is not required.

For individuals convicted of a felony offense who served a county jail sentence, the automatic submission rules of the Florida Department of Corrections are not applicable. The former offender should submit an application to the Office of Executive Clemency for restoration of civil rights.

For individuals convicted of a felony offense in a federal or military court, the automatic submission rules of the Florida Department of Corrections are also not applicable. The former offender should submit an application to the Office of Executive Clemency. Unlike rules that allow a convicted state felon to apply for restoration of firearms privileges following the expiration of sentence and passage of eight years, a federal or military offender is forever barred from possessing a firearm under federal law.

For individuals who pled guilty or no contest to a state felony and have had adjudication of guilt withheld, a restoration of civil rights is not required. Although not considered a “convicted felon” in Florida, an offender is prohibited from purchasing or possessing firearms for three years following release from supervision under the rules of the Florida Department of Law Enforcement’s Firearms Purchase Program.

To start the restoration of civil rights process, an online application should be submitted at www.fpc.state.fl.us. By clicking on the “clemency” tab, an individual can also determine whether civil rights lost due to a prior felony conviction have been restored and print a certificate for their records. For more information, contact the Office of Executive Clemency at (850) 488-2952. 

Source:  The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune – Media General Group http://www2.highlandstoday.com/content/2010/dec/19/LCNEWSO1-civil-rights-of-the-convicted-felon/

To review Bill Lewis’ entire consumer protection series at the Highlands Today, visit www.williamlewis.us.

 

William E. Lewis Jr. & Associates is a solutions based professional consulting firm specializing in the discriminating individual, business or governmental entity. To learn more, tune into “The Credit Report with Bill Lewis,” a daily forum for business and financial news, politics, economic trends, and cutting edge issues on AM 1470 WWNN.

Unclaimed Funds – The Great Florida Treasure Hunt

With record unemployment, the growing popularity of food stamps, emergency cash assistance, and government subsidies, more and more people are turning to the Internet in search of lost or forgotten money.  With over $33 billion in unclaimed funds nationwide, the fastest growing search terms on Google and Yahoo have been “unclaimed money” and “missing money.” 

Chief Financial Officer Alex Sink reminds Floridians of an online claims system making it easier to recover funds held in the Bureau of Unclaimed Property.  Now holding in excess of $1 billion, the unclaimed property comes from dormant accounts in financial institutions, insurance and utility companies, securities and trust holdings.  Unclaimed property also includes tangible items such as watches, jewelry, coins, currency, stamps, historical items and other articles from abandoned safe deposit boxes.

Since the program’s inception 49 years ago, the Bureau of Unclaimed Property has successfully reunited owners or heirs of deceased owners with more than $1.4 billion in unclaimed property held in Florida.  Accounting for almost 45 percent of the money returned since the start of the program, CFO Alex Sink has successfully reunited owners, heirs and businesses with more than $630 million during her tenure.  In fact, almost $45 million in unclaimed property was returned in the months of February and March alone.

 “In these tough economic times it’s important that Floridians account for every dollar,” said CFO Sink. “I encourage all Floridians to visit our web site at www.FLTreasureHunt.org. With nearly nine million accounts, the chances are good we are holding cash or property for you, your business, or someone you know.”

In less than a minute you can determine whether you or a deceased relative is entitled to unclaimed funds or property in Florida.  For more information and to check if you are owed unclaimed funds, visit the Bureau of Unclaimed Property’s website at www.FLTreasureHunt.org or call toll-free (888) 258-2253.  If you find a match and believe the property is yours, an online claim form can be completed, printed, and mailed with supporting documentation for immediate processing.  You have the right to claim your property at any time and without cost.  Although there is no statute of limitations on making a claim, the Bureau of Unclaimed Property does not pay interest on accounts.

Florida is not the only state that has an unclaimed property bureau.  Forty states participate in a program officially endorsed by the National Association of Unclaimed Property Administrators, an organization that proactively seeks owners of missing and unclaimed property.   At www.MissingMoney.com  or www.Unclaimed.org you can quickly determine whether you are entitled to unclaimed funds by clicking on a participating state and entering your name.  Be sure to search each state that you have resided and under every name you have used.  Also search for deceased family members as heirs are sometimes very surprised to learn what has been left behind by their dearly departed.

A word to the wise when searching for unclaimed funds or property – most states, including Florida – do not charge a fee to recover unclaimed property.  There is no reason to pay a search firm for something you can do yourself in mere minutes at zero cost.  If you are approached by company advising that they have located property in your name and will process a claim on your behalf, politely decline and search the bureau registry yourself.

Some of the more notable Floridians the Bureau of Unclaimed Property are holding funds for:  Congresswoman Corrine Brown, former US Senator Mel Martinez, former Miami Dolphin Dan Marino, Broward County Sheriff Al Lamberti, Florida Governor Charlie Crist, and Florida Attorney General candidates Dan Gelber and Pam Bondi.

Source:  The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune.  http://www2.highlandstoday.com/content/2010/may/17/unclaimed-funds-great-florida-treasure-hunt/news-newbusiness/

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William E. Lewis Jr. & Associates is a solutions based professional consulting firm specializing in the discriminating individual, business or governmental entity. To learn more, tune into “The Credit Report with Bill Lewis,” a daily forum for business and financial news, politics, economic trends, and cutting edge issues on AM 1470 WWNN.

U.S. Supreme Court Rules Against Debt Collector

Debt collectors can no longer claim ignorance of the law as an excuse for violating the Fair Debt Collections Practices Act (FDCPA) while attempting to collect a debt.

On Wednesday, the United States Supreme Court handed down a ruling that severely restricts the “bona fide error” defense under the Fair Debt Collection Practices Act for debt collectors that send erroneous collection notices.

In a 7-2 ruling, the high court ruled that collection law firms could not use misinterpretations of the law in a “bona fide error” defense under the FDCPA.

In the matter of Jerman v. Carlisle, McNellie, Rini, Kramer & Ulrich, Karen Jerman sued an Ohio law firm for violating the FDCPA when it attempted to foreclose on her home following payment on the mortgage. In its initial collection notice, the law firm sought written proof that Jerman paid her Countrywide Home Loans mortgage. Absent proof of payment or a written dispute within 30 days, the debt would be presumed valid. Jerman hired an attorney to meet the written requirement, although the FDCPA does not explicitly require consumers to submit disputes in writing.

Specializing in real estate and foreclosure law, Carlisle admitted that its initial validation notice intended dispute claims to be submitted in writing. After Jerman sued, the firm argued that it should not be held liable under the FDCPA because the violation was an unintentional or “bona fide error.” Carlisle defended the matter asserting a “safe harbor protection” stating they were unaware that “written” disputes were not required under the FDCPA.

Although consumers are often instructed by debt collectors to submit written disputes, no such language exists under the Fair Debt Collection Practices Act. In this instance, Carlisle argued that said “bona fide error” was the result of a clerical mistake.

The lower court sided with Jerman, noting that while Carlisle had violated the FDCPA, it was not liable under the Fair Debt Collection Practices Act for damages as the violation was unintentional or a “bona fide error.” An appeals court decision affirmed that ruling, sending the case to the United States Supreme Court.

In an opinion written for the 7-2 majority by Justice Sonya Sotomayor, the high court stated that “ignorance of the law will not excuse any person, either civilly or criminally.” Carlisle had argued that misinterpretations of the law were written into the Fair Debt Collection Practices Act. Sotomayor and the majority disagreed, noting that ignorance of the law was not explicitly written into the FDCPA.

Justice Anthony Kennedy, in a dissent joined by Justice Samuel Alito Jr., said the high court’s decision “aligns the judicial system with those who would use litigation to enrich themselves at the expense of attorneys who strictly follow and adhere to professional and ethical standards.”But Sotomayor spoke directly to that objection in the majority opinion, writing, “We do not foresee that our decision today will place unmanageable burdens on lawyers practicing in the debt collection industry.”

“Debt collectors should be treated like anyone else when violating a federal statute,” said Scott Kleiman, a foreclosure defense attorney with Kalis & Kleiman. “The Supreme Court decision keeps intact an important reason for debt collectors to abide by the law. While strong financial incentives encourage the collection of delinquent debts, continued unlawful behavior will not be excused and punished to the fullest extent of the law.”

The case originated when Carlisle – acting as a debt collector – sent a notice and foreclosure complaint to Jerman, requiring her to submit any dispute “in writing” within 30 days. The “in writing” language was included in the notice based upon legal authority from other jurisdictions. 

Although Countrywide Home Loans subsequently dismissed the foreclosure action, Jerman turned to the Icove Legal Group, a Cleveland-based public interest law firm that filed a class-action suit on behalf of her and other homeowners who received the erroneous notice. “This case will have a far-reaching impact within the debt collection industry as consumer laws in a number of states have ‘bona fide error’ statutes identical to the Fair Debt Collection Practices Act,” stated attorney Ed Icove, in applauding the 7-2 majority decision.

The entire United States Supreme Court opinion can be read at http://www.supremecourt.gov/opinions/09pdf/08-1200…

Source:  The Credit Report with Bill Lewis – Highlands Today, an edition of the Tampa Tribune. http://www2.highlandstoday.com/content/2010/apr/25/us-supreme-court-rules-against-debt-collector/columns-welewisjr/

William E. Lewis Jr., is a credit repair expert with Credit Restoration Consultants and host of “The Credit Report with Bill Lewis” on AM 1470 WWNN, a daily forum for business and financial news, politics, economic trends, and cutting edge issues.

Stop Annoying or Harassing Phone Calls

Are you receiving annoying or harassing phone calls from telemarketers or debt collectors? In these tough economic times, your telephone seems to ring more often. There are actions you can take to reduce the number of calls you receive. First, you must determine whether the caller is a telemarketer attempting to solicit a product or charity, or a debt collector attempting to collect a past due bill.

To stop most telemarketers from calling your home or cell phone, you must sign up through the Do Not Call Registry offered by the Federal Trade Commission. Registration can be made online at www.donotcall.gov or by calling 888-382-1222 from the number in which you seek to block.

The national Do Not Call Registry gives you an opportunity to restrict most telemarketing calls received on your home or cell number. Once you register, telemarketers covered by registry rules have up to 31 days to remove your phone number from their calling lists. Should the telemarketing calls continue, you have a right to file a complaint with the FTC.

The Federal Trade Commission says that “because of limitations in the jurisdiction of the FTC and FCC, calls from or on behalf of political organizations, charities, and telephone surveyors would still be permitted, as would calls from companies with which you have an existing business relationship, or those to whom you’ve provided express agreement in writing to receive their calls. However, if you ask a company with which you have an existing business relationship to place your number on its own do-not-call list, it must honor your request. You should keep a record of the date you make the request.”

Distinguished from the telemarketer, is the debt collector. If you owe a past-due bill, debt collectors have the right to call you – but not harass you. The Federal Trade Commission enforces the Fair Debt Collection Practices Act (FDCPA), a federal law that prohibits debt collectors from using abusive, unfair, or deceptive practices to collect from you.

There are many types of debts covered by the FDCPA. Personal, family, household debts, auto loans, medical bills, and even your mortgage are all protected under the law. The FDCPA, however, does not cover debts incurred to run or operate a business.

Some of the most common questions about debt collectors and consumer rights can be answered by visiting the Federal Trade Commission’s Web site at www.ftc.gov. Although the FTC will not normally intercede on behalf of an individual consumer, they act as a clearing house for complaints and have been known to initiate legal action against the most abusive collectors in the industry.

Should a Florida resident have a complaint about abusive debt collection tactics, they can file a complaint through the Florida Office of Financial Regulation (OFR), the state agency in charge of debt collectors, at www.flofr.com. In this instance, the OFR will open a file and forward the complaint to the offending agency.

If a debt collector violates the FDCPA, you can take legal action.

“You have the right to sue a collector in a state or federal court within one year from the date the law was violated,” the FTC said. “If you win, the judge can require the collector to pay you for any damages you can prove you suffered because of the illegal collection practices, like lost wages and medical bills. The judge can require the debt collector to pay you up to $1,000, even if you can’t prove that you suffered actual damages. You also can be reimbursed for your attorney’s fees and court costs. A group of people also may sue a debt collector as part of a class action lawsuit and recover money for damages up to $500,000, or one percent of the collector’s net worth, whichever amount is lower. Even if a debt collector violates the FDCPA in trying to collect a debt, the debt does not go away if you owe it.”

Whether you receive an annoying or harassing call from a telemarketer soliciting a product or charity, or a debt collector attempting to collect a debt, you can stop your phone from ringing by simply learning your rights.

William E. Lewis Jr., is a credit repair expert with Credit Restoration Consultants and host of “The Credit Report with Bill Lewis” on AM 1470 WWNN, a daily forum for business and financial news, politics, economic trends, and cutting edge issues.

http://www2.highlandstoday.com/content/2010/mar/21/lc-stop-annoying-or-harassing-phone-calls/columns-welewisjr/