Debt Collection: Hess v. Cohen & Slamowitz LLP

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U.S. Court of Appeals, Second Circuit

Debt Collection

Venue

Hess v. Cohen & Slamowitz LLP
10-424
Appealed from the Northern District of New York

Background: This is an appeal from a district court judgment dismissing the plaintiff’s complaint for failure to state a claim upon which relief can be granted. In his complaint, the plaintiff alleged that the defendant, a debt collection agency, violated the venue provisions of the Fair Debt Collection Practices Act, 15 U.S.C. §1692i, by suing him on a debt in Syracuse City Court. The plaintiff, who is not a resident of Syracuse, obtained dismissal of that action on the ground that the parties did not satisfy the residency requirements set forth in Section 213 of New York’s Uniform City Court Act.

Ruling: As a matter of first impression in this circuit, the court holds that the plaintiff has stated a claim that the underlying debt collection action was not brought in the “judicial district or similar legal entity” in which the plaintiff resided as of the commencement of that action, 15 U.S.C. §1692i(a)(2)(B). It therefore vacates the judgment of the district court and remands for further proceedings.

Brian L. Bromberg of Bromberg Law Office PC for the appellant; Daniel R. Ryan of Smith, Sovik, Kendrick & Sugnet PC for the appellee