NYLAG Reaches Proposed Settlement to Stop Unlawful Debt Collection
Soto v. Houslanger & Associates
On October 12, 2022, the New York Legal Assistance Group got final court approval of the settlement in Soto v. Houslanger & Associates, PPLC et al., 19 Civ. 6691 (E.D.N.Y. 2019) (formerly Dupres v. Houslanger & Associates, PLLC et al.). This settlement benefits 3,196 consumers who had a judgment entered against them in New York City Civil Court and the law firm Houslanger & Associates, PLLC executed on that judgment.
NYLAG brought this class action lawsuit in November 2019 on behalf of three New York City consumers against the law firm Houslanger & Associates and two of its attorneys, Todd Houslanger and Bryan Bryks. The case alleged that these lawyers used unlawful practices when executing on judgments entered against New York City consumers.
The case alleged that for years, these Defendants improperly executed on judgments by garnishing class members’ wages or restraining their bank accounts without possessing or reviewing necessary documents. As part of the Settlement, Defendants have agreed that they will permanently stop collecting on the judgments entered against Class Members, and will also stop collecting on certain additional New York City Civil Court judgments. Defendants have agreed to pay $155,000 as part of the Settlement. Defendants also agreed to change certain business practices prior to executing on judgments against New York City consumers.
For more information about the case and terms of the settlement, please visit www.houslangersettlement.com or contact us at 212-613-5032 or jceron@nylag.org.
More Information:
Name: Soto v. Houslanger, PPLC et al.
Dkt. #: 19 Civ. 6691 (E.D.N.Y. 2019)
Judge: Hon. Rachel Kovner and Magistrate Judge Sanket J. Bulsara
Status: Proposed Settlement approved; Fairness Hearing and Final Approval pending
Claims:
Violations of the Fair Debt Collection Practices Act, New York General Business Law, and New York Judiciary Law, for, among other things: executing on judgments without having copies of critical documents; opposing consumers’ motions to vacate the judgments without having these documents; failing to file and service required notices; getting deceptive releases from consumers who fight back in court; and failing to return funds when ordered to do so by the court.
Highlights:
- The Court granted final approval to the settlement on October 12, 2022
- The Court granted preliminary approval to the settlement on July 11, 2022
- Parties reached a settlement in June 2022
- NYLAG filed the complaint in November 2019
- NYLAG opposed Defendants’ motion to dismiss
- NYLAG successfully opposed Defendants’ Motion to Dismiss
