On behalf of our clients, Lemberg & Associates recently filed a complaint in U.S. District Court, Northern District of Georgia, against Cross Check, Inc. Our client alleges he bought a vehicle at a KIA Motors dealership, and that he wrote a postdated check. Nevertheless, the dealer attempted to cash the check 28 days early, causing our client’s check to bounce. The dealership then sent the account to Cross Check. Our client alleges that Cross Check called him and said that the call was from a “department who deals with criminals.” Our client told Cross Check that he was working with the dealership to pay the debt. Cross Check told our client that he had committed check fraud and that he would be arrested if he didn’t pay the debt within three days. Cross Check also told him that if our client was pulled over while driving, he would be arrested.

The lawsuit charges that Cross Check violated the Fair Debt Collection Practices Act (FDCPA) by engaging in harassing behavior; by employing false and deceptive means to collect a debt; by falsely representing that they were affiliated with a government entity; by misrepresenting the character, amount, and legal status of a debt; by threatening our client with imprisonment; by falsely representing that our client had committed a crime; by failing to inform our client that the phone call was an attempt to collect a debt; and by failing to send a validation notice. The lawsuit also charges that Cross Check violated the Georgia Fair Business Practices Act.

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