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Debt Collection Firm Shut Down For Violating The Law

McGavic & Finney PC, an Oregon debt collection law firm that had several complaints over its debt-collection tactics has been closed down under an agreement with Justice Department.  Additionally, the settlement requires founding partner Derrick E. McGavic to pay $70,000 and surrender his license to practice law.

According to the Attorney General’s office, McGavic & Finney specialized in representing national debt collectors that purchase defaulted consumer obligations in massive quantities on the secondary market, often for pennies on the dollar.

Consumer complaints filed with the Oregon Department of Justice accused McGavic of ignoring debtor protections and rights afforded under the Federal Debt Collection Protection Acts

McGavic was accused of purposefully misidentifying the identity of creditors in documents to delay consumers’ response and thus increasing their fees and interest.

Notices issued by McGavic allegedly failed to provide proper verification of debts when requested by consumers. Similarly, McGavic allegedly repeatedly called debtors who had requested in writing not to be called.

The agreement filed Wednesday in Lane County Circuit Court requires Derrick McGavic to pay $70,000 to the Oregon Department of Justice to reimburse the cost of the investigation; dissolve the law firm of McGavic & Finney, PC; and resign from the Oregon State Bar.

McGavic is further prohibited from acting as a debt collector or operating a law firm or a collection agency in the state of Oregon.

If you are being harassed by debt collectors in violation of the FDCPA, you may be entitled to compensation.  Please call California Consumer Protection Attorney, Todd M. Friedman at 877-449-8898 for a free consultation.