Re: So if everybody with a cause of action against National
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Posted by lawguy
(151.205.66.185) on April 07, 2003 at 21:07:57:
In Reply to: So if everybody with a cause of action against National posted by Gojko Kasich on April 07, 2003 at 20:57:40:
Heres the problem though. Most of these companies don't have a lot of assets. They rent space and equipment. What money they do get is immediately funnelled out of the business to the stockholders/partners/members or to "investments." If they get a large judgment against them, they close shop and/or file Chapter 7 and reopen as a new company. Thats one reason the FDCPA is so weak. Class action damages are capped at 1% of net worth. What it would take, is a lawsuit to "pierce the viel" of the business entities to get to the actual owners of the business. Or better yet, a suit against the individual employees, if it could be made to stick. Until there is actual accountability on debt collectors, and the incentives NOT to pay debts are changed, things will only get worse.
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