HB1219 Summary

• Requires debt buyers and collectors to attach to complaints: (1) a copy of the original debt contract with defendant's signature, and (2) documentation proving ownership of the debt with an unbroken chain of assignment if assigned multiple times.

• Mandates debt collectors affirmatively state in complaints that claims are within the statutory period of limitation for the cause of action.

• Allows aggrieved persons to bring civil actions for actual damages plus additional damages up to $5,000 per violation in individual actions, or up to $1,000,000 total in class actions, plus injunctive relief.

• Adds filing false affidavits (including false service affidavits) as a ground for Department discipline of debt collectors, with fines up to $5,000 for first violations and $10,000 for subsequent violations.

• Shields debt collectors from liability if they prove violations resulted from bona fide error despite maintaining reasonable procedures to prevent such errors.