Wednesday, September 25, 2013

UPDATE: Debt Collector Pays Consumer's Church to Settle Contempt Claim

By Michael Fuller, Portland Trial Attorney

UPDATE - Sept. 24, 2013

In August 2013, Oregon consumer Melody Reese filed court documents prosecuting a contempt claim against debt collection firm Asset Management Outsourcing Recoveries, Inc.
Georgia-based debt collector Asset Management donated $3,000 to Easthill Church in Gresham, Oregon.
On September 19, 2013, Mrs. Reese's attorney announced that the matter had settled.

"We want to thank Asset Management and its attorneys for participating in a community-based approach," her attorney said in court.

As part of the public settlement, Asset Management donated $3,000 to Mrs. Reese's charity, Easthill Church in Gresham, Oregon.

Asset Management also (1) apologized to Mrs. Reese, (2) paid her $1,000 compensation, (3) reimbursed her for all her expenses, including attorney fees, and (4) admitted it unintentionally violated the bankruptcy discharge injunction.

ORIGINAL POST - Oregon Consumer Prosecutes Debt Collector for Contempt

On August 3, 2013 Oregon consumer Melody Reese filed a 25 page court document prosecuting a contempt action against debt collector Asset Management Outsourcing Recoveries, Inc.

Reese alleges Asset Management filed illegal court documents against her in Multnomah County in 2012. She claims it later told her employer's payroll department she owed it money in hopes of garnishing her wages.

According to a 2003 bankruptcy court discharge order, Asset Management is strictly prohibited from collecting the debt in question.

Melody says she considers Asset Management's unlawful debt collection an extreme form of harassment.

"Most people like me probably just pay it--," she says.

"[But] I'm not going to roll over until I clear my name and Asset Management is held accountable--."

Through her Portland consumer protection attorney, Melody seeks compensation, sanctions, and reimbursement for her expenses to prosecute the contempt motion.

The matter is set for preliminary hearing in the United States Bankruptcy Court for the District of Oregon on September 16, 2013.

[District of Oregon Bankruptcy Court Case No. 03-36705-elp7]

[Mult. County Cir. Court Case No. 021010119]