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Jennifer Beardsley, consumer law staff attorney for the Montana Legal Services Association, said some payday lenders have sent bill collectors to the doors of people who owe them money, demanding payment and threatening criminal prosecution.
A U.S. Supreme Court ruling allowing successful defendants in civil unfair debt collection claims to be awarded attorney fees and costs without a showing that the plaintiff brought the claim in bad faith will likely spur lawyers on both sides to take a harder look at cases early in the litigation process. Plaintiff-side attorneys and consumer advocates expressed concern that the ruling will hamper efforts to enforce the Fair Debt Collection Practices Act, which was designed to prevent debt collectors from using overly aggressive measures to collect from debtors and those mistakenly accused of owing creditors.
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