Wednesday, May 2, 2012

Credit Card Company Collection Cases


There is a line of recent Washington cases imposing a burden on credit card companies to offer more than self-generated account statements and unsigned credit card agreements in lawsuits where they pursue debtors on delinquent accounts.  When faced with a debtor/defendant who denies liability on the account, the credit card company must provide evidence of personalized acknowledgment of the account similar to the cancelled checks presented by Discover in Discover Bank v. Ray, 139 Wn. App. 723, 119 P.3d 906 (2007).  Absent such proof though it may be difficult for a credit card company to prevail, particularly at the summary judgment level of a case.  Discover and Citibank found this out the hard way: Discover Bank v. Bridges, 154 Wn. App. 722, 226 P.3d 191 (2010), and Citibank South Dakota N.A. v. Ryan, 160 Wn. App. 286, 247 P.3d 778 (2011).