What constitutes an illegal threat of litigation?

In many instances, when a consumer is experiencing abusive or harassing debt collection practices, it is typically in the form of letters, phone calls, and recorded phone messages. Of particular concern is the illegal or improper threat of litigation against the consumer. According to most legal dictionaries, the term “litigation” refers to any claim, controversy, or lawsuit which is presented in a court of law. If an agreement cannot be reached between the parties concerned, and cannot be settled out of court, then it will have to be heard by a judge and jury in a court of law.

Where violations of the FDCPA laws are concerned, the consumer oftentimes receives improper threats of litigation (either verbal, written, or both) may become a portion of that debt collector’s abusive or harassing collection tactics. It is one of the primary methods for settling disputes between two parties (sometimes more depending on the type of litigation) based on factual circumstances associated with that litigation.

For all practical purposes, improper threats of litigation are also viewed as illegal according to the guidelines and laws of the FDCPA. According to Section [15 USC 1692e] § 807(5) of the FDCPA, any collection agency (or any collection attorney) is strictly forbidden from threatening you with legal actions that they cannot or will not take against you and include:

• filing any charges against you or suing you
• garnishing wages
• causing you to lose your job
• ruining your credit
• taking your property

Remember that the action the debt collector is threatening you with must be that which cannot or will not be performed. If you have experienced any of the above verbally or in written form, you may have the right to file a claim against the debt collector with the assistance of an FDCPA attorney. Additionally, you want to be aware that the FDCPA not only protects the consumer from abusive or harassing attempts at collecting a debt by using threatening language in letter or verbal form (i.e. phone calls and/or recorded messages).

If you feel that your FDCPA rights under the law have been violated, it is time to seek out the services of an experienced FDCPA attorney to assist you in filing your claim against the debt collector who is practicing abusive or harassing collection practices. Please contact us with your circumstances as we are here to assist you in any way we can and answer all of your questions.