Manuel v. Merchants and Professional Bureau, Inc., No. 19-50814 (5th Cir. 2020)Annotate this Case
Plaintiff filed suit against Merchant's surety, Travelers, alleging claims under the Fair Debt Collection Practices Act (FDCPA), alleging that 2017 collection letters were false or misleading and unfair or unconscionable for failing to disclose the time-barred nature of the debt. Plaintiff also alleged a claim under the Texas Debt Collection Act based on the same conduct.
The Fifth Circuit affirmed the district court's grant of summary judgment to Merchants, but on alternative grounds. The court held that the letters seeking collection of time-barred debt, filled with ambiguous offers and threats with no indication that the debt is old, much less that the limitations period has run, misrepresent the legal enforceability of the underlying debt in violation of 15 U.S.C. 1692e(2) and (10).