E.D.N.Y. Sanctions Plaintiff and His Counsel for Failing To Voluntarily Dismiss or Amend Complaint Not Supported by Available Evidence

Defendants in Fair Debt Collection Practices Act (FDCPA) cases rarely get relief for their legal defense costs even if they succeed on the merits. The Eastern District of New York (E.D.N.Y.), however, has drawn the line. In Cameau v. National Recovery Agency, Inc., Case No. 15-cv-2861 (E.D.N.Y Sep. 28, 2018), the court sanctioned plaintiff and his counsel for not dismissing or amending a complaint when it became clear that it was no longer supported by the evidence.

Factual and Procedural Background

At some point, plaintiff incurred a debt that was later assigned to National Recovery Agency, Inc. for collection. Plaintiff returned a telephone call where, according to the complaint, the National Recovery representative refused to identify the company he was calling from.