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COMPLAINT THOMAS MCAVITY

2225 NE ALBERTA, STE A 

PORTLAND OR 97211 

Tel: 206-674-4559 

Facsimile: 866.241.4176

 

UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF OREGON 

 

HWEH CHUNG, 

 Plaintiff 

v. 

AMERICAN RECOVERY SERVICE, 

INC.

 Defendant. 

 

 NO.: 

 

 COMPLAINT AND DEMAND FOR JURY 

TRIAL 

 (Unlawful Debt Collection Practices)

 

 Demand Does Not Exceed $10,000 

 

 Plaintiff, HWEH CHUNG, on behalf of herself (hereinafter “Plaintiff”), by and through her 

undersigned attorneys, alleges against the defendant, AMERICAN RECOVERY SERVICE, INC. 

(hereinafter “Defendant”), as follows: 

PRELIMINARY STATEMENT 

1. This is an action for damages arising from Defendants’ violation of 15 U.S.C. § 1692 et seq., 

the Fair Debt Collections Practices Act (hereinafter “FDCPA”) and Oregon Revised Statutes § 

656.639 et seq. which prohibits debt collectors from engaging in unlawful collection practices. 

Case 3:14-cv-01387-KI Document 1 Filed 08/28/14 Page 1 of 4
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COMPLAINT THOMAS MCAVITY

2225 NE ALBERTA, STE A 

PORTLAND OR 97211 

Tel: 206-674-4559 

Facsimile: 866.241.4176

JURISDICTION AND VENUE 

2. This Court has jurisdiction over this action pursuant to 28 U.S.C. § 1331, 1337, 1367 and 15 

U.S.C. § 1692k(d). 

3. Venue is proper in this district under 28 U.S.C. § 1391(b). 

PARTIES 

4. Plaintiff is a natural person who at all relevant times has resided in the County of 

 Multnomah, City of Portland, State of Oregon, and is a “consumer” as that term is defined by 15 

U.S.C. § 1692a(3). 

5. Plaintiff has no formal legal training and is not a particularly sophisticated consumer. 

6. Defendant is a company that is doing business in the State of Oregon, with its corporate office 

mailing address located at 555 St. Charles Drive, Suite 100, Thousand Oaks, California, and has 

acted as a “debt collector” as that term is defined by 15 U.S.C. § 1692a(6). 

7. The alleged debt is subject to personal, family or household purposes and is a “debt” as 

defined by 15 U.S.C. § 1692a(5). 

FACTUAL ALLEGATIONS 

8. On or about February 28, 2012, Plaintiff offered to settle an alleged judgment with the 

collection agency Mann Bracken LLP for the sum of $5,500. This offer was accepted by a letter 

from Mann Bracken. SEE ATTACHED EXHIBIT A.

9. A check was tendered to Mann Bracken LLP on behalf of Plaintiff, and that check was 

deposited by Mann Bracken LLP on February 29, 2012, in accordance with the settlement agreement 

indicated in the preceding paragraph. SEE ATTACHED EXHIBIT B. 

Case 3:14-cv-01387-KI Document 1 Filed 08/28/14 Page 2 of 4
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COMPLAINT THOMAS MCAVITY

2225 NE ALBERTA, STE A 

PORTLAND OR 97211 

Tel: 206-674-4559 

Facsimile: 866.241.4176

10. On or about August 30, 2013, Defendant’s agent, on Defendant’s behalf attempted to contact 

Plaintiff in an effort to collect a debt, as shown by the attached letter - SEE ATTACHED EXHIBIT 

C.

COUNT I 

VIOLATION OF THE FAIR DEBT COLLECTION PRACTICES ACT 

15 U.S.C. § 1692e(2)(A) 

11. Plaintiff repeats the allegations contained in paragraphs 1 through 10 and incorporates them 

as if the same were set forth at length herein. 

12. Defendant called Plaintiff by telephone to enter into a settlement agreement, as shown by the 

letter dated August 30, 2013, even though Plaintiff had settled the debt with a former owner of it, 

Mann Bracken, LLP. 

13. Defendant misidentified the legal status of the debt in violation of 15 U.S.C. § 1692e(2)(A). 

COUNT II 

VIOLATION OF ORS 646.607 (Unfair Trade Practice) 

25. Plaintiff repeats the allegations contained in paragraphs 1 through 24 and incorporates them 

as if the same were set forth at length herein. 

26. ORS §646.607(6) indicates that violations of ORS §646.639 et seq. are per se violations of 

ORS §646.607 (unfair trade practices). 

27. As the debt was settled, Defendant was not legally entitled to pursue continued collection 

efforts against Plaintiff. This is in violation of ORS §646.639(2)(k), an attempt to enforce a right or 

remedy with knowledge that said right or remedy does not exist. 

28. Defendant’s attempt to collect a settled and extinguished debt is an unfair trade practice in 

violation of ORS §646.607. 

Case 3:14-cv-01387-KI Document 1 Filed 08/28/14 Page 3 of 4
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COMPLAINT THOMAS MCAVITY

2225 NE ALBERTA, STE A 

PORTLAND OR 97211 

Tel: 206-674-4559 

Facsimile: 866.241.4176

JURY TRIAL DEMAND 

 Plaintiff demands a trial by jury on all issues so triable. 

PRAYER FOR RELIEF 

 WHEREFORE, Plaintiff respectfully prays that relief be granted as follows: 

a) That an order be entered declaring the Defendants’ actions, as described above, are 

in violation of the FDCPA and Oregon law; 

b) That judgment be entered against the Defendants for actual damages, pursuant to 15 

U.S.C. § 1692k(a)(1) and ORS §646.641. 

c) That judgment be entered against the Defendants for statutory damages, pursuant to 

15 U.S.C. § 1692k(a)(2)(A) and (B) and ORS §646.641; 

d) That the Court award costs and reasonable attorneys’ fees, pursuant to 15 U.S.C. § 

1692k(a)(3); ORS §646.641; 

e) That the Court grants such other and further relief as may be just and proper. 

 

 By: /s/ Thomas McAvity_______ 

 Thomas McAvity, OSB# 00175 

Northwest Debt Relief Law Firm 

2225 NE Alberta Suite A 

Portland, OR 97211 

206-674-4559 

Case 3:14-cv-01387-KI Document 1 Filed 08/28/14 Page 4 of 4