Proposed Change to Florida
Consumer Collections Practices Act
As the annual legislative session in Florida begins, there comes with it a host of new hot button issues and legislative bills. One bill that has been introduced seeks to make a change to the Florida Consumer Collections Practices Act (FCCPA).
One function of a Credit Union is the collection of debts owed to the Credit Union. As part of that function, people have become familiar with the Federal Fair Debt Collections Practices Act (FDCPA), a federal law that places restrictions on debt collectors and debt collection activities. Generally speaking, a Credit Union and its employees do not meet the definition of a debt collector under the FDCPA and are therefore not subject to its rules. However, they do meet the definition of a debt collector under the FCCPA and are thus subject to its provisions and, more importantly, its prohibited practices, found in Section 559.72, Florida Statues. One of those prohibitions deals with when you may contact a debtor, by prohibiting any contact between the hours of 9:00 p.m. to 8:00 a.m. in the time zone of the debtor, unless you have the prior consent of the debtor. The issue of contact in the form of e-mails was recently addressed in Quinn-Davis v. TrueAccord Corp, 23-cv-23590, 2024 WL 4851344 (S.D.F.L. November 20, 2024).
In Quinn-Davis, the debt collector sent an e-mail to the debtor at 8:23 p.m. It was received in the debtor’s e-mail inbox at 10:14 p.m. but was not opened by the debtor until 11:44 a.m. The debtor sought to bring a class action lawsuit against the debt collector alleging that the e-mail violated the FCCPA in that it was sent between the hours of 9:00 p.m. to 8:00 a.m. in the time zone of the debtor. To prevail under this claim, the debtor must show (1) debtor was the object of a collection activity arising from a consumer debt, (2) the debt collector is a “person” under the FCCPA, and (3) whether the debt collector engaged in an act or omission prohibited by the FCCPA. The Court found “communicate with” is “the conveying of information regarding a debt directly or indirectly to any person through any medium.” In this case, the debt collector only communicated with the debtor when they opened the e-mail from the debt collector and not when the e-mail was sent or received.
In response to the holding in Quinn-Davis, Senate Bill 232 and House Bill 147 were filed that seeks to make permanent, statewide changes to the current prohibition on any contact between the hours of 9:00 p.m. to 8:00 a.m. in the time zone of the debtor. While the holding in Quinn-Davis is not binding on Florida state courts, it does provide some guidance on how courts may interpret this issue. If passed, the bills will revise Section 559.72(17), Florida Statutes, by specifying that a consumer debt collector may not communicate with a debtor by telephone call between the hours of 9 p.m. and 8 a.m. If passed and signed into law by the Governor, it will take effect July 1, 2025, and will eliminate any litigation and prohibitions on non-telephone communications between 9 p.m. and 8 a.m.
We will continue to monitor this possible change in the law. We will also monitor if it in fact becomes a law.
If you have any questions related to the FCCPA or any aspects of collections, please do not hesitate to contact one of the attorneys at Sorenson Van Leuven for legal advice.
Are You Using this Tool to
Recover Collateral?
We continue to see situations where our clients cannot locate a motor vehicle or boat that is under lien to the Credit Union. Under Florida law, one of the available tools is the ability to place a hold or a stop on a motor vehicle registration or vessel registration. This right exists under Section 320.1316, Florida Statutes. The Department of Highway Safety and Motor Vehicles (DHSMV) has a procedure for demanding the surrender of a motor vehicle or a vessel. This procedure, if followed, will prevent a registered owner of a vehicle or vessel from being able to renew their registration or obtain a replacement license plate.
This procedure is available when the loan secured by the vehicle or vessel is in default (note the loan must be in default, as defined by the terms in the loan documents). For a lienholder to add a stop or hold on a vehicle or vessel registration, two steps must be completed. First, a lienholder must complete a Notice to Surrender Motor Vehicle/Vessel, HSMV Form 82192, and mail it to the registered owner(s). This form alerts the registered owner that the vehicle must be immediately surrendered and allows the lienholder to specify an address and time for the surrender. We suggest that you serve this notice via certified mail, return receipt requested. You should retain a copy of this letter and the return receipt for your records. A copy of this form can be found on the DMV’s website at the following link: https://www.flhsmv.gov/pdf/forms/82192.pdf.
Second, if the registered owner fails to surrender the vehicle, the lienholder must complete HSMV Form 82191. A copy of the form may be found here: https://www.flhsmv.gov/pdf/forms/82191.pdf. When you go to the tag office, be prepared to pay any applicable fees and provide them with a copy of the Form 82192 sent to the registered owner, along with copies of the proof of mailing the form.
A registered owner may dispute the Surrender Notice and Registration Stop by filing a court action, pursuant to Section 320.1316, Florida Statutes. If the registered owner files a legal challenge and loses, the lender is entitled to recover attorney’s fees and court costs. If the registered owner files a legal challenge and wins, the registered owner is entitled to recover attorney’s fees and court costs, as to the lender.
Please do not hesitate to contact our office, should you have any questions regarding this procedure.
Staff Spotlight on Jada Graham
Jada was born and raised in Orange Park, Florida, which is a town outside of Jacksonville. She came to Tallahassee to attend college at Florida State University. She graduated in May 2024 with two bachelor’s degrees – one in Political Science and the other in International Affairs. While attending FSU, she was apart of an organization called “Black Female Future Attorneys,” an organization that provides many networking opportunities to connect with local attorneys in Tallahassee. This group is what solidified Jada’s pursuit of law.
In October 2024, Jada joined our team at SVL. She is one of our legal assistants in the collections department. She said her favorite part about working here is how personable everyone is. Plus, she mentions the little gestures here and there that we offer to show how appreciated the staff is! Jada, we are happy to have you here!
While out of the office, Jada spends time with her friends and family and always loves having something to do. A fun fact about Jada – she is a twin! Her twin brother, Jared, has been her best friend since day one. She is also a big foodie and loves trying new restaurants in the local Tallahassee area. In her downtime at home, she loves binge-watching shows and listening to music. Jada is also a huge football fan, and her favorite team is the Dallas Cowboys (her dad is from Texas, so she had no choice in who her favorite team was going to be), but she does root for her home team, the Jacksonville Jaguars, as long as they aren’t playing the Cowboys!
Jada, thank you for all you do for SVL!
Staff Spotlight on Angela Hoss
Angela was born and raised in Tallahassee. She joined the Sorenson Van Leuven team in August 2024 and has learned various duties while at the firm. Currently, Angela is recording final judgments, filing judgment lien certificates, and learning the post-judgment process to assist our Credit Union clients in their recovery.
Away from the office, Angela enjoys volunteering at a local cat rescue. She spends most of her Saturdays at the rescue helping cats get adopted. She has been volunteering at this facility for the last three years. Angela feels that volunteering with such a good team at the rescue is what pushed her to look for a good work environment. Even though she had no intentions working in the legal field, she loves that she is a good fit at the office, and she enjoys her friendly team of co-workers.
Angela also likes baking and music, specifically singing. Her favorite things to bake are cookies, cake, brownies, and cheesecakes. She loves finding an occasion where she can contribute and make something! Her singing is a hobby that she has always enjoyed. Her favorite movies as a child were musicals, and she took choir throughout most of her school years.
Angela, you have learned so much at the firm in such a short time and we are grateful to have you as a part of our team!
Day of Celebration
On January 9, 2025, we had our first ever Day of Celebration! At the event, we celebrated the wins and accomplishments of 2024. It was held at the University Center Club at Doak Campbell Stadium. We had a catered firm-wide lunch with games and prizes following. Our remote employees joined us via Zoom, which was a great addition! We look forward to 2025 and what is ahead for SVL.