Class Action Lawsuit Filed Against Debt Collectors

Published on:
12 September 2006 at 10:21 a.m. ET

Written by: Unknown Author –

http://www.insidearm.com/news/00018837-class-action-lawsuit-filed-against-debt-c/

by Mike Bevel, CollectionIndustry.com

Arkansas plaintiffs have filed suit against several out-of-state collection agencies, alleging that the companies had not registered with the Arkansas State Board of Collection Agencies.

That the plaintiffs actually, you know, owe the debt is not what?s at stake here. The suit against the collection agencies ironically claims that the defendants — Intraoperative Monitoring Company, American Intraoperative Monitoring, Oklahoma Management Services for Physicians and Orthopedic Management Services ? committed fraud.

Under Arkansas law, according to the plaintiffs? attorney, Tim Hutchinson of Rogers, companies are not permitted to contact an Arkansas resident about the collection of debt unless they are registered with the Arkansas State Board of Collection Agencies.