Areas of Practice

Errors in Odometer Disclosure

Federal law requires car dealers to disclose to a buyer the mileage for each vehicle sold. A car dealer should show you the actual title with the mileage listing. If a car dealer makes a representation in an advertisement about the mileage on a vehicle and you find out later that the mileage was wrong, you may have a claim for violation of the odometer law.

Undisclosed Wreck or Damage

Failure of a dealer to disclose adverse history of a vehicle, including salvage or branded title history, flood damage, that it was previously stolen, used as a rental vehicle, airbags were removed, or of its inability to pass state inspection, are among some possible violations.

Failure to Deliver Title

State law requires a car dealer or finance company to register the title to a purchaser within 20 days of the purchase. Failure to do so subjects them to liability under dealer licensing laws and if title is not conveyed, to civil liability to a buyer. It is a deceptive trade practice to sell a car to which you do not have a title.

Breach of Warranty

Very common in third-party warranty or service companies

Wrongful Repossession

If you are maintaining the terms of your retail installment contract with regard to the purchase of your vehicle and your vehicle is repossessed, you may have a claim against the finance company or bank. Even if you were in default of the contract, you may have a claim if the finance company or bank did not comply with the laws which apply to repossessions. Although Texas law and most retail installment contracts allow for finance companies or banks to repossess vehicles, they must do so without violence, without breaching the peace, and without breaking into a building.

After your vehicle is repossessed, the finance company or bank is required to send you a notice telling you what they intend to do with your vehicle. The letter must say whether they intend to sell it via either a public or private sale, when the sale will occur, and state the amount of the deficiency. If no such letter is sent, you may be able to prevent the finance company or bank from obtaining a judgment for a deficiency and you may have a claim against the finance company or bank for their failure to follow the law.

If the finance company or bank files suit against you to recover the deficiency on an auto loan, they must prove that all aspects of the disposition of your vehicle were conducted in a commercially reasonable manner. You must assert this possibility as an affirmative defense in your response to the lawsuit. It is best to hire an experienced consumer lawyer to defend you in such a case and to evaluate all possible options, including defenses and potential affirmative claims.

Failure to Honor Sales Contract

Commonly known as Yo-yo sales, it happens when a consumer buys and takes possession of a vehicle on the spot. Car dealer assures the consumer the deal is final, go drive your new car. Sometime later, the consumer is told the deal fell through, additional money needs to be paid, a higher interest rate paid or a different car purchased. The car dealer believes if the consumer has become attached to the car by this time he will be more willing to agree to pay more in order to keep the car. If you have a completed contract, however, you may be able to enforce it according to the written terms.

When Buying a Car, remember:

Do not sign a blank contract.
Get a copy of each and every document you sign, on the same day, right after signing.
Make sure the contract is signed by a dealer representative
READ the contract before you sign, especially the financial terms.
Check to see if you are being charged for add-on products such as fabric guard, window etching, desert protection, rust proofing, and credit insurance. Many of these services provide little in value to the consumer but are profit centers for the dealer. Don’t let the dealer convince you any of these products are required.
Do not keep your only copy of your sales documents in the glove box of your car; keep an additional copy separate from your car.
Do not rely on a Carfax report. Carfax does not have a comprehensive database and often does not have up-to-date information

Do not assume just because you have been sued that a judgment will be rendered against you. The filing of a lawsuit is just a document with allegations. The Plaintiff must prove the debt in court before they will be awarded a judgment. That is unless no response to the lawsuit raising defenses is filed. Often, the debt buyers lack sufficient documentation to substantiate their claims. There are numerous defenses that can be raised. For example, suits must be filed within the statute of limitations to file a suit, or the debt is barred from suit. And, as in every lawsuit, the Plaintiff (person filing the suit) always has the burden of proof on all issues.

Automobile Deficiency Suits

With regard to automobile deficiency suits, the creditor or debt buyer has burdens of proof associated with the handling of the sale of the repossessed automobile. Many creditors or debt buyers are unable to provide the needed evidence and, if the appropriate defense is raised, will be barred from recovering the deficiency.

Collection Suits

Being represented by a Dallas area attorney who is knowledgeable about the burdens of proof, the required documentation, and possible defenses can make a difference in the outcome of collection lawsuits. The ups and downs of the economy have left many people unable to keep up with credit card payments and sometimes they get sued for the debt. Do not assume your only options are either to allow judgment to be entered or to file bankruptcy. My practice does not include bankruptcy. I have handled a number of credit card collection cases in Dallas County, and surrounding counties, and obtained favorable outcomes for my clients, including preventing judgments from being rendered, in many cases.

If you have been sued, it is important that you act quickly to hire representation. There are deadlines by which responses must be made in order to defend such lawsuits. Especially, if you have been sued in a Justice of the Peace court, since deadlines are shorter, action should be taken promptly.

Reach out to Sharon K. Campbell, Attorney at Law to learn how she can help you.

Credit Card Billing Errors

It is not uncommon for erroneous charges or fees to show up on a credit card bill or to be charged for a purchase you did not authorize. Federal law provides a means to challenge the mistake and, if not corrected, to bring a suit against the credit card company for failing to make the correction.

Collectors May Not

• Threaten to take action which they legally cannot take (garnish wages, send an officer to make an arrest, sue on debt out of statute, etc.)
• Make calls often enough to constitute harassment, nor call early in the morning and late at night.
• Call you at work after being told you are not permitted to receive the calls at work;
• Use abusive language, profanity, cursing, threats, or yelling.
• Misrepresent the status of a debt or collect sums that are not due.
• Try to collect a debt that is not due.
• Try to collect an amount greater than what is legally due; adding charges not allowed by law; (threaten to sue on a debt outside the statute of limitations, add charges not actually owed)
• Disclose your financial information to third parties (employers, credit references, family members, neighbors, references)
• Fail to disclose that the call is being made by a debt collector, give the debt collector’s name and state the purpose of the call is to collect a debt
• Refuse to verify a debt

Many of these prohibitions are set forth in the federal Fair Debt Collections Practices Act (“FDCPA”). The FDCPA applies to third-party debt collectors or debt buyers. Texas has a state statute that has many of the same protections and applies to original creditors. The failure of a debt collector to abide by these statutes may give rise to claims against them under these statutes. Debt collectors can be made to account for their collection abuses by paying damages to their victims.

If you receive a call or calls from a debt collector:

• Texas law allows you to record the call
• Keep records of the dates and times of the call and the contents of the call
• Keep copies of any collection letters which are sent to you

Contact an experienced consumer litigation lawyer in the Dallas area to evaluate whether you have a claim for their violations of the law.

Fair Credit Reporting Act

The Fair Credit Reporting Act governs how credit reporting agencies treat your credit information and requires them to keep accurate records. You are entitled to obtain one free credit report from each credit reporting agency each year. The request may be made online: www.annualcreditreport.com. If you find an inaccuracy on your credit report and dispute it with the credit reporting agencies, they, and the creditor who is reporting the account, are required to conduct a reasonable investigation, and if it cannot be verified, make the correction or deletion. The best practice is to dispute the inaccuracy in writing and send any information which supports your claim. Failure to conduct a reasonable investigation may provide the basis for a lawsuit under the Fair Credit Reporting Act. I have handled many cases under the FCRA and can assist you in obtaining a resolution of credit reporting errors and money damages.

Identity Theft

Identity theft is another common problem that also has a remedy under the Fair Credit Reporting Act. I have assisted many clients in making the proper record and notifications to correct negative reporting which resulted from identity theft.

A variation of identity theft is the problem of mixed files. Sometimes a credit reporting agency mixes the file of one consumer with that of another, reporting one consumer’s credit history on another’s file. The problems that can arise from this scenario are numerous and can cause major upheavals in a consumer’s life. Much of the problem is caused by the way credit reporting agencies handle credit files and their failure to separate consumer’s credit files gives rise to legitimate lawsuits to account for the damage caused by their practices and failure to correct their errors.

Your credit report should be accessible only to those to whom you have given permission. Your current creditors and those to whom you apply for credit are the main actors allowed to view your credit report. If your credit report is reviewed by someone who does not have a permissible business purpose, you may have a cause of action against them for the violation. I have handled a number of cases where this has occurred.

Credit Reporting Agencies

Inaccurate information on a credit report should be disputed with each credit reporting agency and directly with the creditor who is reporting the information. The three major credit reporting agencies and their addresses are

Experian Information Solutions
701 Experian Parkway
Allen, Texas 75013

Trans Union
P.O. Box 1000
Chester, PA 19016-1000

Equifax Information Services
P.O. Box 740241
Atlanta, GA 30374

Although it is possible to make a dispute online, the best practice is to make a dispute in a written letter and send it certified mail return receipt requested. Be sure to include a copy of your driver’s license with your dispute to verify your identity. The more documentation which you have to substantiate your dispute, the better the chance of obtaining a correction, or, if necessary, prevailing in your lawsuit. For example, if an apartment complex is reporting a delinquent debt on your credit report which is not yours and you can send proof that you owned a house during the relevant period or were renting an apartment at a different location, your chances of clearing the matter up are better.

If you find an inaccuracy on your credit report and dispute it with the credit reporting agencies, they, and the creditor who is reporting the account, are required to conduct a reasonable investigation, and if the reported matter cannot be verified, make the correction or delete it.

The best practice is to dispute the inaccuracy in writing and send any information which supports your claim. Failure to conduct a reasonable investigation may provide the basis for a lawsuit under the Fair Credit Reporting Act.

I have handled many cases in the Dallas area under the FCRA and can assist you in obtaining a resolution of credit reporting errors and money damages.

Identity Theft

Identity theft is another common problem affecting credit reports. Yet another reason to check your credit report on a regular basis. If accounts are showing on your credit report which is not your accounts, a good way to dispute them is to complete the identity theft affidavit form on the Fair Trade Commission’s website . Additional information regarding identity theft may also be found on the FTC website: www.ftc.gov.

I have assisted many clients in making the proper record and notifications to correct negative reporting which resulted from identity theft.

Credit Information mixed with another

A variation of identity theft is the problem of mixed files. Sometimes a credit reporting agency mixes the file of one consumer with that of another, reporting one consumer’s credit history on another’s file. The problems that can arise from this scenario are numerous and can cause major upheavals in a consumer’s life. Much of the problem is caused by the way credit reporting agencies handle credit files. Their failure to separate consumers’ credit files gives rise to legitimate lawsuits to account for the damage caused by their practices and failure to correct their errors.

Impermissible Access

Your credit report should be accessible only to those to whom you have given permission. Your current creditors and those to whom you apply for credit are the main actors allowed to view your credit report. If your credit report is reviewed by someone who does not have a permissible business purpose, you may have a cause of action against them for the violation. I have handled a number of cases where this has occurred.

Credit Card Billing Errors

It is not uncommon for erroneous charges or fees to show up on a credit card bill or to be charged for a purchase you did not authorize. Federal law provides a means to challenge the mistake and, if not corrected, to bring a suit against the credit card company for failing to make the correction. Your credit card billing statement will have an address, different from the billing address, where billing disputes are sent. Within 60 days of noticing an error in your credit card bill, send a written dispute about the problem, with any documentation you may have, to the address for billing disputes. The Fair Credit Billing Act requires the credit card company to conduct an investigation of your complaint and respond to you within 45 days.