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continued collection activity?


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In response to a validation letter, a CA sent this as part of the letter:

"This office reserves the right to to process your account for legal action at any time even during the dispute if our client instructs us to do so."

sniff......sniff......Yep, smells like continued "collection activity" to me. What do you think?

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Sounds like we have a lawyer-to-be. I have heard people say that this section means a CA must stop all communications with the debtor but I have never seen a case that says this explicitly. The best case I know of is where a court held that an offer to settle the case constituted further collection activity. I think you are on the cutting edge (unless they actually exercise the rights they purport to reserve).

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