United States District Court, S.D. Texas, Houston Division
MEMORANDUM & ORDER
P. ELLISON, UNITED STATES DISTRICT JUDGE.
Marjorie Carter brings this putative class action against
Defendants First National Collection Bureau, Inc., LVNV
Funding, LLC, Resurgent Capital Services, L.P., and Alegis
Group, LLC, (collectively, "Defendants"). Plaintiff
alleges that she received a debt collection letter from
Defendants that violated the Fair Debt Collection Practices
Act (FDCPA), 15 U.S.C. § 1692, et seq.
Plaintiffs Complaint sets out allegations ostensibly
satisfying Fed.R.Civ.P. 23. See Compl. ¶¶
52-59 (Doc. No. 1). However, no class has been certified to
Carter passed away on March 28, 2016. (Doc. No. 37.) Pending
before the Court is a Motion for Substitution of Plaintiff.
(Doc. No. 38.)
Complaint, Ms. Carter alleged that on January 7, 2015,
Defendants sent Ms. Carter a letter seeking to collect on a
credit card debt. Compl. ¶¶ 28-30 (Doc. No. 1). The
letter stated, in relevant part:
We would like to extend the following settlement offer:
A 90% discount payable in 4 payments of $138.92. Each payment
within 30 days of the previous payment. We are not obligated
to renew this offer. For your convenience you may pay via a
check over the phone or credit card. You have our word that
your account executive will treat you fairly and with
First National Collection Bureau, Inc.
This is an attempt to collect a debt. Any information
obtained will be used for that purpose. This is a
communication from a debt collector.
Id. Ex. A (Doc. No. 1-1).
the letter did not say was that the four-year statute of
limitations on the debt had expired and that Defendants were
thus time-barred from legally enforcing the
debt. Id. ¶¶ 32-36. Plaintiff
alleges that by "extend[ing] ... [a] settlement
offer" on a time-barred debt, without disclosing
that the debt is time-barred, Defendants falsely suggested
that they could file suit to enforce the debt. Id.
Ex. A (emphasis added). To imply, in this manner, that a
time-barred debt is legally enforceable is, Plaintiff claims,
a deceptive and unfair practice in violation of § 1692e
and§ 1692f of the FDCPA.
October 9, 2015, the Court granted an unopposed motion to
stay this case pending ruling in Daugherty v. Convergent
Outsourcing, Inc., et al., Case No. 15-20392 before the
Fifth Circuit. (Doc. No. 23.) The Court ordered the stay
lifted on March 6, 2017.
21, 2017, the Court was informed that Ms. Carter passed away
on March 28, 2016. (Doc. No. 37.) Then, on August 14, 2017,
Kyonnie Hordge, moved to substitute Plaintiff. (Doc. No. 38.)
Ms. Hordge is one of Ms. Carter's children and ...