LawtonCates Convinces Wisconsin’s Court of Appeals to Provide Debtors With Greater Protections Against Creditor Abuse

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LawtonCates convinces Wisconsin’s Court of Appeals to provide debtors with greater protections against creditor abuse, even after a default judgment was entered.

A recent Wisconsin Court of Appeals opinion in a case litigated by LawtonCates’ Attorney Briane Pagel expanded debtor protections against creditor abuse and overreach.

In Creditbox v. Weathers, the Court of Appeals held that consumer debtors have the right to sue creditors if those creditors act dishonestly or outside of reasonable business standards. The debtor in this case had a judgment entered against him before he consulted with LawtonCates After being advised of the protections he had under the law, the debtor hired Attorney Pagel to reopen his case and sue CreditBox. The debtor alleges that CreditBox acted in bad faith by suing him before giving him a notice o default and a chance to “cure,” or fix, the default. The debtor also alleges that CreditBox acted in an unconscionable manner towards him in a variety of ways.

The Court of Appeals ruled that the debtor’s case against CreditBox could continue, reversing a decision that had dismissed his claims in the circuit court. In particular, the Court of Appeals ruled that if a lender does not provide specific notices to a debtor before taking most collection actions, the debtor can sue the creditor for acting in bad faith. This decision builds on LawtonCates’ prior cases which gave debtors the right to sue debt collectors in similar situations.

If you have been sued for collections or are having difficulty paying your bills, contact LawtonCates’ consumer protection lawyers for a free consultation.

Author: LawtonCates

At LawtonCates, we take fighting for accident victims very seriously. It’s how we’ve always done it for six-plus decades as a reputable South Central Wisconsin law practice. Our lawyers are passionate about helping people get back on their feet because we know their health, livelihood, and future are at stake.