U.S. Household Debt Hit Record in First Quarter
Supreme Court Backs Bids to Collect Outdated Debt in Bankruptcy
Experts to Discuss Supreme Court’s Ruling in Midland Funding, LLC v. Johnson and Its Implications on Debt Collection Practices
Date:
Wednesday, May 17, 2017
Issue:
The U.S. Supreme Court on May 15, 2017, ruled (5-3) in the case of Midland Funding, LLC v. Johnson (No. 16-348) that filing a claim barred by the statute of limitations does not violate the federal Fair Debt Collection Practices Act because it is not false, deceptive, or misleading.
What:
ABI Media Webinar to examine the Supreme Court’s ruling in Midland Funding, LLC v. Johnson.
When:
Wednesday, May 17, at 3:00 p.m. ET. If you are a member of the media and would like to participate in the webinar, please register via the following link: https://register.gotowebinar.com/register/2637945381512267777
Who:
Speakers on the teleconference include:
- Craig Goldblatt of WilmerHale (Washington, D.C.) is an experienced bankruptcy litigator, with a focus on complex bankruptcy disputes and bankruptcy appeals. The core of his practice has been protecting the interests of secured creditors, financial institutions and insurance companies in bankruptcy-related disputes.
- Thad O. Bartholow is a partner with the Dallas law firm of Kellett & Bartholow PLLC. In addition to consumer bankruptcy, Bartholow’s practice focuses on individual and class-action litigation on behalf of consumer debtors in state, federal and bankruptcy courts.
Moderator:
ABI Editor-at-Large Bill Rochelle provides his authoritative take on legal developments affecting bankruptcy practice in ABI’s Rochelle’s Daily Wire. Rochelle published for Bloomberg every day from 2007-15, and prior to his second career in journalism, he practiced bankruptcy law for 35 years.
Background:
The U.S. Supreme Court on May 15, 2017, ruled (5-3) in the case of Midland Funding, LLC v. Johnson, No. 16-348, that filing a claim barred by the statute of limitations does not violate the federal Fair Debt Collection Practices Act because it is not false, deceptive, or misleading. The Supreme Court had granted certiorari to review a decision from the Eleventh Circuit holding that the filing of a stale claim violates the FDCPA. The case involved a proof of claim filed by a debt collector where the statute of limitations “had long since run,” Justice Breyer said. Writing for the majority, he said that filing stale claims was neither false, deceptive, nor misleading, in part because the state in which the case had initially been filed, as with most states, provides that “a creditor has a right to payment of a debt even after the limitations period has expired.” Writing for the dissent, Justice Sotomayor said that filing a stale claim is unfair and unconscionable, and stated that “[d]ebt collectors do not file these claims in good faith; they file them hoping and expecting the bankruptcy system will fail.”
How will the Court’s decision affect the application of the Fair Debt Collection Practices Act (FDCPA) to the filing of an accurate proof of claim for an unextinguished time-barred debt? ABI’s media webinar will discuss the effects of the Court’s ruling and take questions from the media. If you would like to participate or have any questions about the webinar, please contact ABI Director of Communications Jim Carman at [email protected] or 703-894-5936.
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ABI is the largest multi-disciplinary, nonpartisan organization dedicated to research and education on matters related to insolvency. ABI was founded in 1982 to provide Congress and the public with unbiased analysis of bankruptcy issues. The ABI membership includes more than 12,000 attorneys, accountants, bankers, judges, professors, lenders, turnaround specialists and other bankruptcy professionals providing a forum for the exchange of ideas and information. For additional information on ABI, visit ABI World at http://www.abi.org. For additional conference information, visit http://www.abi.org/calendar-of-events.