Fair Debt Collection Practices Act (FDCPA) staff letter: Krisor
Feb. 10, 1994 · Section 808(1) [1692f(1)]; Section 811 [1692i]
Topic: Illegal charges
Staff opinion letters are informal views of FTC staff, not binding Commission rulings, and some were later superseded by statutory amendments (including the 2006 FDCPA amendments) or later guidance. Check current law before relying on any letter.
UNITED STATES OF AMERICA
FEDERAL TRADE COMMISSION
WASHINGTON, D.C. 20580
Division of Credit Practices
Bureau of Consumer Protection
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Clarke W. Brinckerhoff
Attorney
February 10, 1994
John D. Krisor, Esq.
KRISOR and NUSSBAUM
Post Office Box #6200
South Bend, IN 46660
Dear Mr. Krisor:
This responds to your letter dated February 3, 1994, in which you asked about the application of section 811(a)(2) of the Fair Debt Collection Practices Act ("FDCPA"). Specifically, you ask whether a debt collector may bring a legal action to collect a debt that was incurred for medical services in the judicial district where the services were performed, absent a contract signed by the consumer.
The provision at issue reads as follows:
"Any debt collector who brings any legal action on a debt against any consumer shall . . . bring such action only in the judicial district . . .(A) in which such consumer signed the contract sued upon; or (B) in which such consumer resides at the commencement of the action."
In our view, if medical services were provided pursuant to an oral contract -- as opposed to the signed contract referred to in FDCPA §811(a)(2)(A) -- the debt collector may sue only where the consumer resides, as permitted by FDCPA §811(a)(2)(B). The collector may not sue where the services were performed (if that is different from the consumer's residence) because that is not included as a permissible forum location by this provision. See Staff Commentary on the Fair Debt Collection Practices Act, com-ment 4 to section 811. 53 Fed. Reg. 50097, 50109 (12/13/88).
The views set forth in this informal staff opinion letter are not binding on the Commission.
Sincerely yours,
Clarke W. Brinckerhoff
Source: FTC staff letter as archived by the U.S. National Archives web harvest, archived copy. Works of the U.S. government.