June 20, 2007

ChoicePoint Victims Have A Deadline To File Claim

The FTC website has details about the reimbursement of expenses suffered by people who became identity theft victims because of the wrongdoing of ChoicePoint.

Here is an excerpt:


Last year, ChoicePoint, a company that compiles and sells personal information, announced that it had sold information about many consumers to people who turned out to be identity thieves. The FTC, the nation’s consumer protection agency, investigated the ChoicePoint security breach and alleged that, in some cases, these sales resulted in identity theft. The FTC and ChoicePoint reached a settlement requiring the company, among other things, to pay $5 million to be used to reimburse consumers for expenses due to identity theft caused by ChoicePoint’s security breach.

With the assistance of law enforcement agencies, the Federal Trade Commission identified over 2,400 additional consumers who may have experienced out-of-pocket expenses due to identity theft connected with the alleged security lapses at ChoicePoint Inc. The FTC has mailed claims forms for reimbursement to those consumers. Consumers who do not receive a letter, but who believe that they have identity theft-related expenses due to this incident, may submit a claim by completing the form below.

The form must be postmarked by August 18, 2007 to be considered. Please be sure to include your name and address so that we may contact you regarding your claim.


Yet another reminder we must be vigilant in protecting ourselves. If you think you have a claim with ChoicePoint, please take the necessary steps before the deadline.

June 12, 2007

Why Alabama Consumers Should File FTC Complaints For Abusive Debt Collectors

We've never recommended that FTC complaints be filed for abusive debt collectors because we didn't think they would do any good. After all, the FTC is not going to personally help you.

But as we were reading the excellent blog SC Bankruptcy and Consumer Law Blog which had a post about recent news from CNN on unlawful collection practices, we thought perhaps we have been wrong.

Sheryl Schelin makes the intriguing point that:

Why You Should File a Debt Collection Abuse Complaint With the FTC

One simple reason: the power of numbers. The more complaints the FTC receives, the better information it has about the scope of a particular problem. And the better the information, the more effective its enforcement activities.

Will a FTC complaint solve your problem directly? Probably not. For that, you need some self-help, or the assistance of an attorney in egregious cases. But you should also file the complaint with the FTC anyway.


This is something to consider if you are suffering from an abusive debt collector. Read the entire article for how to file a complaint with the FTC.

June 12, 2007

Alabama Consumers - Feel Sorry For Debt Collection Attorneys?

This may tug at your heartstrings - debt collector attorneys are being sued for violating, you guessed it, the Fair Debt Collection Practices Act. Read the whole story here.

June 12, 2007

Tort Reform - For Everybody But The Champions Of Tort Reform?!

We have spent many years handling personal injury and wrongful death cases for Alabama residents and have often heard the tort reform zealots bemoan "big lawsuits". When we read in the Legal Juice this story about former supreme court nominee and tort reformist Robert Bork, it did not surprise us - see he is suing over a slip and fall for over one million dollars plus the "horrible" punitive damages!

We have often observed that those who preach the loudest against tort reform (insurance companies, executives, etc) will sue in a heart beat if they feel anybody has "done them wrong".

Read the full story here which also contains the complaint filed this month. The irony is so thick you can cut it....

PS - read here for a fascinating discussion among tort reformists arguing over whether Bork's suit is an embarrassment or not to those attacking plaintiff's attorneys and anyone who files a lawsuit. Its good stuff.

Final PS - we certainly sympathize with Bork's injury and don't begrudge him the right to seek justice before a jury.... we just wonder if now perhaps he is more sympathetic to those normal people who are hurt or cheated.... Time will tell....

June 9, 2007

Alabama Seniors And Annuities

Alabama seniors, in particular, are facing a danger of misleading statements about annuities. Annuities are contracts where an insurance company promises to make regular payments to you in exchange for premiums that you pay. Sometimes the time period of getting paid is a fixed number of years (i.e. "$2,000 per month for ten years") and sometimes its as long as you live.

Here is the problem: there are unscrupulous agents who will use unfair pressure and lies to convince Alabama consumers (mainly seniors) to buy products that are more risky that promised or otherwise inappropriate.

Click here to read the warnings issued by the NASD on investments in general and for the specific warning regarding annuities and seniors.

If you have been a victim of fraud in the purchase of an annuity, contact us or an experienced litigation attorney to get advice on what your next step should be.

June 9, 2007

Debt Collectors Leaving Messages On Answering Machines

Alabama consumers receive countless calls from debt collectors and collection agencies regarding debts that are supposedly owed. What happens when the collector gets an answering machine or voice mail? Should the collector leave a message or not?

The always excellent Consumer Law & Policy Blog discusses the dilemma that collectors face. Please read the article and form your own opinions about this.

One thing to consider is whether a collector must leave a message. Right now the case law suggests that doing so violates the law. What can the collector do? Not leave messages! I don't think a court will find that a collector is harassing someone by refusing to leave a message - as long as the number of calls is reasonable.

How can a collector function without leaving messages? Send a letter addressed to the debtor only. Don't leave messages where anyone in the house could hear it. Most collectors I know of would not just start talking to anyone who answered the phone without verifying it is the debtor. To leave messages where anyone (child, mother in law, etc) could listen to it is taking a serious chance of getting sued....

In any event, we'll keep you posted when more guidance is issued by courts or by the FTC.

June 9, 2007

What Alabama Consumers Should Do When Contacted By A Collection Agency

We are often asked by Alabama consumers "What should I do when I first get contacted by a collection agency or debt collector?" and so we wanted to share some thoughts with you.

First, unless you know that the information is correct, you need to dispute the validity of the debt within 30 days. You can send a letter by certified mail, return receipt requested, that says something like this:


[Put the account number, your contact information, etc.]
Dear _____
I dispute that I owe this debt. Please explain why you believe I owe this money and the calculation of any money you claim I owe. Who is the original creditor? How did you get this debt?

You have my contact information so don't call my work, my family, my neighbors or my co workers.

If you have put this account on my credit report, make sure it is marked as "disputed".

Thank you for cooperating with me.


Make sure that all letters you send to the collector are sent by certified mail and that you keep a signed copy.

Second, save everything you receive from the collection agency. All letters, envelopes, voice mails, etc. Make notes of all calls you receive. Peter Barry is a great lawyer who represents consumers and he has prepared a form to record information about calls and letters- take a look at it here.

Third, pull your credit reports to see what the collection agency or debt collector has said about you on your credit reports. We suggest Alabama consumers do this for several reasons:

Continue reading "What Alabama Consumers Should Do When Contacted By A Collection Agency" »

June 5, 2007

College And Identity Theft

Here is a story reporting the apparently first college course on identity theft. Young people of all ages can be victims of identity theft and need to protect themselves. I suppose that when you get a college course, it shows how prevalent this problem is in America.

June 5, 2007

Identity Theft While American Served Overseas

USA Today has an important story related to the struggles a member of our military has had with identity theft. Rather than quote any of it, please read the entire story here. This story reminds us of the danger of identity theft and some of the things we can do to help correct it when it happens.

June 2, 2007

Great MSN Article On Old Debt And Statutes Of Limitations

Liz Pulliam Weston has a great article about old debt and statutes of limitations. Please click here to read it in its entirety as it provides a lot of good information. This article also touches on re-aging of debts which we are seeing more and more of in our practice.

June 2, 2007

An Example Of Why Alabama Consumers Are Frustrated With Credit Report Errors

Alabama consumers (and really all consumers) can become very frustrated with trying to correct credit reports that have false information in them. Click here for a very interesting post by Marc Chase about a client of his who has an amazing experience with Asset Acceptance, a debt buyer, and trying to correct his credit report. The article has images of credit reports and the errors that keep popping up.