Castro v. Collecto, Inc.

Decision Granting Defendants' Motion to Dismiss


Decision dismissing class action suit, hoding that:

Because the FCA’s statutory scheme and legislative history manifestly evince that Congress did not intend to preempt a CMRS providers’ state law remedies when the action does not touch on rates or entry market and because the FCC has eliminated the tariff requirement for such providers, the Court concludes section 415 does not apply to a CMRS provider who is attempting to collect a debt from a consumer and is not preemptive. Rather, the state law governing the debt collection action provides the

applicable statute of limitations. In this case, Plaintiff has not made any allegations, which implicate Sprint’s rates or market entry. Hence, Texas law governs the debt collection action.

The applicable statute of limitations for collection of a debt in Texas is four years.213 Because the debt Defendants attempted to collect was not more than four years old, their attempt to collect it was valid and does not present an FDCPA violation. Accordingly, Defendants are entitled to judgment in

their favor.

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Reference Info:Decision | Federal, 5th Circuit, Texas | United States

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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Keith Wier
Bush & Ramirez, LLC

Engaged in an active litigation practice which includes: (1) financial services litigation practice... View Profile »

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