Debt Collectors Unfair Robo Signing Settlement Nixed By 6Th Cir
Encore Capital Group, a major debt-collection company, will head back to the settlement table after the Sixth Circuit scuttled the prior arrangement. Calling the relief given to the unnamed plaintiffs ($17.38 per claimant) and the one year injunction prohibiting illegal practices “perfunctory at best,” the Sixth Circuit found that the lower court abused its discretion in approving the $5.2 million settlement. Under the terms of the class action settlement, the four named plaintiffs were to receive $8,000 collectively, plus their debts would be forgiven....