MRS Title 32, Chapter109-A: MAINE FAIR DEBT COLLECTION PRACTICES ACT
Text current through November 1, 2017, see disclaimer at end of document.
Title 32: PROFESSIONS AND OCCUPATIONS
Chapter109-A: MAINE FAIR DEBT COLLECTION PRACTICES ACT
Table of Contents
Subchapter1. GENERAL PROVISIONS...... 0
Section11001. SHORT TITLE...... 0
Section11002. DEFINITIONS...... 0
Section11003. EXCLUSIONS...... 0
Subchapter2. DEBT COLLECTION ACTIVITIES...... 0
Section11011. ACQUISITION OF LOCATION INFORMATION...... 0
Section11012. COMMUNICATION IN CONNECTION WITH DEBT COLLECTION 0
Section11013. PROHIBITED PRACTICES...... 0
Section11013-A. EXCEPTION FOR CERTAIN PRETRIAL DIVERSION PROGRAMS FOR ISSUERS OF WORTHLESS CHECKS OPERATED BY PRIVATE ENTITIES 0
Section11014. VALIDATION OF DEBTS...... 0
Section11015. MULTIPLE DEBTS...... 0
Section11016. FURNISHING CERTAIN DECEPTIVE FORMS...... 0
Section11017. REPOSSESSION ACTIVITY...... 0
Section11018. PRIVACY OF CONSUMER FINANCIAL INFORMATION....0
Section11019. COLLECTION ACTION BY DEBT BUYER...... 0
Subchapter3. LICENSING AND ADMINISTRATION...... 0
Section11031. LICENSES...... 0
Section11032. BOND...... 0
Section11033. PRIOR CONVICTIONS AS DISQUALIFICATIONS...... 0
Section11034. RULEMAKING...... 0
Section11035. ADVISORY RULINGS...... 0
Section11036. REPORTS AND RECORDS...... 0
Section11037. VOLUNTARY TERMINATION OF BUSINESS...... 0
Section11038. INSOLVENCY AND LIQUIDATION...... 0
Section11039. FEES...... 0
Section11040. PENALTY...... 0
Subchapter4. ENFORCEMENT...... 0
Section11051. INVESTIGATION, SUSPENSION AND REVOCATION OF LICENSES 0
Section11051-A. ENFORCEMENT; FINANCIAL INSTITUTIONS...... 0
Section11052. APPEALS...... 0
Section11053. CIVIL PENALTY...... 0
Section11054. CIVIL LIABILITY...... 0
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MRS Title 32, Chapter109-A: MAINE FAIR DEBT COLLECTION PRACTICES ACT
Maine Revised Statutes
Title 32: PROFESSIONS AND OCCUPATIONS
Chapter109-A: MAINE FAIR DEBT COLLECTION PRACTICES ACT
Subchapter 1:GENERAL PROVISIONS
§11001. SHORT TITLE
This chapter shall be known and may be cited as the "Maine Fair Debt Collection Practices Act." [1985, c. 702, §2 (NEW).]
SECTION HISTORY
1985, c. 702, §2 (NEW).
§11002. DEFINITIONS
As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. [1985, c. 702, §2 (NEW).]
1.Communication. "Communication" means the conveyance or receipt of information regarding or facilitating the collection of a debt, directly or indirectly, to or from any person through any medium.
[ 1985, c. 702, §2 (NEW) .]
1-A.Collection action. "Collection action" means a lawsuit or arbitration proceeding initiated to collect a debt from a consumer.
[ 2015, c. 272, §1 (NEW) .]
1-B.Charge-off. "Charge-off" means the act of a creditor removing an account from its books as an asset and treating it as a loss or expense because payment is unlikely.
[ 2017, c. 216, §2 (NEW) .]
2.Conducting business in this State. "Conducting business in this State" means the collection or attempted collection of a debt due another by a debt collector located in this State; the face-to-face solicitation of creditors in this State as clients and the collection or attempted collection of their debts by a debt collector, wherever located; or the collection or attempted collection of debts incurred between a consumer in this State and creditor in this State by a debt collector, wherever located.
[ 1995, c. 397, §101 (AMD) .]
3.Consumer. "Consumer" means any natural person obligated or allegedly obligated to pay any debt.
[ 1985, c. 702, §2 (NEW) .]
4.Creditor. "Creditor" means any person who offers or extends credit creating a debt or to whom a debt is owed, but that term does not include any person to the extent that he receives an assignment or transfer of a debt in default solely for the purpose of facilitating collection of that debt for another.
[ 1985, c. 702, §2 (NEW) .]
5.Debt. "Debt" means any obligation or alleged obligation of a consumer to pay money arising out of a transaction in which the money, property, insurance or services that are the subject of the transaction are primarily for personal, family or household purposes, whether or not the obligation has been reduced to judgment. "Debt" includes any obligation or alleged obligation for payment of child support owed to, or owed by, a resident of this State and any obligation or alleged obligation relating to a check returned because of insufficient funds if a consumer is subject to an enforcement program operated by a private entity.
[ 2007, c. 214, §1 (AMD) .]
5-A.Debt buyer. "Debt buyer" means a person that is regularly engaged in the business of purchasing charged-off consumer debt for collection purposes, whether the person collects the debt or hires a 3rd party, which may include an attorney-at-law, in order to collect the debt. "Debt buyer" does not include a supervised financial organization as defined in Title 9-A, section 1-301, subsection 38-A or a person that acquires charged-off consumer debt incidental to the purchase of a portfolio predominantly consisting of consumer debt that has not been charged off. A debt buyer is considered a debt collector for all purposes under this chapter.
[ 2017, c. 216, §3 (NEW) .]
6.Debt collector. "Debt collector" means any person conducting business in this State, the principal purpose of which is the collection of any debts, or who regularly collects or attempts to collect, directly or indirectly, debts owed or due or asserted to be owed or due another. "Debt collector" includes persons who furnish collection systems carrying a name that simulates the name of a debt collector and who supply forms or form letters to be used by the creditor even though the forms direct the debtor to make payments directly to the creditor. Notwithstanding the exclusion provided by section 11003, subsection 7, "debt collector" includes any creditor who, in the process of collecting the creditor's own debts, uses any name other than the creditor's that would indicate that a 3rd person is collecting or attempting to collect these debts. "Debt collector" includes any attorney-at-law whose principal activities include collecting debts as an attorney on behalf of and in the name of clients, except that any such attorney licensed to practice law in this State is subject exclusively to subchapter 2 and any such attorney not licensed to practice law in this State is subject to this entire chapter. "Debt collector" also includes any person regularly engaged in the enforcement of security interests securing debts, including a repossession company and a residential real estate property preservation provider. "Debt collector" does not include any person who retrieves collateral when a consumer has voluntarily surrendered possession. A person is regularly engaged in the enforcement of security interests if that person enforced security interests more than 5 times in the previous calendar year. If a person does not meet these numerical standards for the previous calendar year, the numerical standards must be applied to the current calendar year.
[ 2013, c. 521, Pt. E, §1 (AMD) .]
7.Location information. "Location information" means a consumer's place of abode and his telephone number at that place or his place of employment.
[ 1985, c. 702, §2 (NEW) .]
8.Person. "Person" means any natural person, corporation, trust, partnership, incorporated or unincorporated association and any other legal entity.
[ 1985, c. 702, §2 (NEW) .]
8-A.Residential real estate property preservation provider. "Residential real estate property preservation provider" means a person who regularly provides residential real estate property preservation services. "Residential real estate property preservation provider" does not include a supervised financial organization, a supervised lender, a person licensed by the Plumbers' Examining Board, a person licensed by the Electricians' Examining Board, a person licensed by the Department of Professional and Financial Regulation under chapter 131, a person licensed by the Maine Fuel Board or a person licensed by the Real Estate Commission.
[ 2013, c. 521, Pt. E, §2 (NEW) .]
8-B.Residential real estate property preservation services. "Residential real estate property preservation services" means those services undertaken at the direction of a person holding or enforcing a mortgage on residential real estate that is in default or in which the property is presumed abandoned in entering or arranging for entry into a building to perform the services of winterizing the residence, changing the door locks or removing unsecured items from the residence.
[ 2013, c. 521, Pt. E, §2 (NEW) .]
8-C.Resolved debt. "Resolved debt" means a debt that has been paid, settled or discharged in bankruptcy.
[ 2017, c. 216, §4 (NEW) .]
9.Administrator. "Administrator" means the Superintendent of Consumer Credit Protection.
[ 1995, c. 309, §29 (AFF); 1995, c. 309, §22 (RPR); 2007, c. 273, Pt. B, §6 (REV); 2007, c. 695, Pt. A, §47 (AFF) .]
10.Supervised financial organization. "Supervised financial organization" has the same meaning as defined in Title 9-A, section 1-301, subsection 38-A.
[ 1997, c. 66, §8 (AMD) .]
SECTION HISTORY
1985, c. 702, §2 (NEW). 1993, c. 126, §1 (AMD). 1995, c. 309, §§22,23 (AMD). 1995, c. 309, §29 (AFF). 1995, c. 397, §101 (AMD). 1997, c. 66, §8 (AMD). 1999, c. 184, §20 (AMD). 2003, c. 562, §2 (AMD). 2005, c. 475, §1 (AMD). 2007, c. 214, §1 (AMD). 2007, c. 273, Pt. B, §7 (AFF). 2007, c. 273, Pt. B, §6 (REV). 2007, c. 695, Pt. A, §47 (AFF). 2013, c. 521, Pt. E, §§1, 2 (AMD). 2015, c. 272, §1 (AMD). 2017, c. 216, §§2-4 (AMD).
§11003. EXCLUSIONS
The term debt collector does not include: [1985, c. 702, §2 (NEW).]
1.Officers or employees of a creditor. Any officer or employee of a creditor while, in the name of the creditor, collecting debts for that creditor;
[ 1985, c. 702, §2 (NEW) .]
2.Persons related by common ownership or affiliated by corporate control. Any person while acting as a debt collector for another person, both of whom are related by common ownership or affiliated by corporate control, if the person acting as a debt collector does so only for persons to whom it is so related or affiliated and if the principal business of that person is not the collection of debts;
[ 1985, c. 702, §2 (NEW) .]
3.Officers or employees of the United States or any state. Any officer or employee of the United States or any state or agencies or instrumentalities of the State to the extent that collecting or attempting to collect any debt is in the performance of his official duties;
[ 1985, c. 702, §2 (NEW) .]
4.Persons serving legal process. Any person while serving or attempting to serve legal process on any other person in connection with the judicial enforcement of any debt;
[ 1985, c. 702, §2 (NEW) .]
5.Nonprofit organizations performing consumer credit counseling. Any nonprofit organization which, at the request of consumers, performs bona fide consumer credit counseling and assists consumers in the liquidation of their debts by receiving payments from those consumers and distributing those amounts to creditors;
[ 1985, c. 702, §2 (NEW) .]
6.Attorneys-at-law collecting debts on behalf of a client.
[ 1993, c. 126, §2 (RP) .]
7.Persons collecting debts owed or due to another. Any person collecting or attempting to collect any debt owed or due, or asserted to be owed or due, to another to the extent that the activity:
A. Is incidental to a bona fide fiduciary obligation or a bona fide escrow arrangement; [1985, c. 702, §2 (NEW).]
B. Concerns a debt which was originated by that person; [1985, c. 702, §2 (NEW).]
C. Concerns a debt which was not in default at the time it was obtained by that person; or [1985, c. 702, §2 (NEW).]
D. Concerns a debt obtained by that person as a secured party in a commercial credit transaction involving the creditor; [2009, c. 99, §1 (AMD).]
[ 2009, c. 99, §1 (AMD) .]
8.Collection activities related to the operation of a business. Any person whose collection activities are confined to and directly related to the operation of a business other than that of a debt collector, such as, but not limited to, financial institutions regulated under Title 9-B; and
[ 2009, c. 99, §2 (AMD) .]
9.Certain pretrial diversion programs for issuers of worthless checks. A private entity operating a worthless check enforcement program that meets the conditions set forth in section 11013-A, subsection 3.
[ 2009, c. 99, §3 (NEW) .]
SECTION HISTORY
1985, c. 702, §2 (NEW). 1993, c. 126, §2 (AMD). 2009, c. 99, §§1-3 (AMD).
Subchapter 2:DEBT COLLECTION ACTIVITIES
§11011. ACQUISITION OF LOCATION INFORMATION
1.Communication with person other than consumer. Any debt collector communicating with any person other than the consumer for the purpose of acquiring location information about the consumer shall:
A. Identify himself; state that he is confirming or correcting location information concerning the consumer; and, only if expressly requested, identify his employer; [1985, c. 702, §2 (NEW).]
B. Not state that the consumer owes any debt; [1985, c. 702, §2 (NEW).]
C. Not communicate with any such person more than once, unless requested to do so by that person or unless the debt collector reasonably believes that the earlier response of that person is erroneous or incomplete and that the person now has correct or complete location information; [1985, c. 702, §2 (NEW).]
D. Not communicate by postcard; [1985, c. 702, §2 (NEW).]
E. Not use any language or symbol on any envelope or in the contents of any communication effected by the mails or telegram that indicates that the debt collector is in the debt collection business or that the communication relates to the collection of a debt; and [1985, c. 702, §2 (NEW).]
F. After the debt collector knows the consumer is represented by an attorney with regard to the subject debt and has knowledge of, or can readily ascertain, that attorney's name and address, not communicate with any person other than that attorney, unless the attorney fails to respond within a reasonable period of time to communication from the debt collector. [1985, c. 702, §2 (NEW).]
[ 1985, c. 702, §2 (NEW) .]
SECTION HISTORY
1985, c. 702, §2 (NEW).
§11012. COMMUNICATION IN CONNECTION WITH DEBT COLLECTION
1.Communication with the consumer generally. Without the prior consent of the consumer given directly to the debt collector or the express permission of a court of competent jurisdiction, a debt collector may not communicate with a consumer in connection with the collection of any debt:
A. At any unusual time or place or a time or place known or which should be known to be inconvenient to the consumer. In the absence of knowledge of circumstances to the contrary, a debt collector shall assume that the convenient time for communicating with a consumer is after 8 a.m. and before 9 p.m., local time at the consumer's location; [1985, c. 702, §2 (NEW).]
B. If the debt collector knows that the consumer is represented by an attorney with respect to that debt and has knowledge of, or can readily ascertain, that attorney's name and address, unless the attorney fails to respond within a reasonable period of time to a communication from the debt collector or unless the attorney consents to direct communication with the consumer; or [1985, c. 702, §2 (NEW).]
C. At the consumer's place of employment if the debt collector knows or has reason to know that the consumer's employer prohibits the consumer from receiving a communication. [1985, c. 702, §2 (NEW).]
[ 1985, c. 702, §2 (NEW) .]
2.Communication with 3rd parties. Except as provided in section 11011, without the prior consent of the consumer given directly to the debt collector, or the express permission of a court of competent jurisdiction, or as reasonably necessary to effectuate a post-judgment judicial remedy, a debt collector shall not communicate, in connection with the collection of any debt, with any person other than the consumer, his attorney, a consumer reporting agency if otherwise permitted by law, the creditor, the attorney of the creditor or the attorney of the debt collector.
[ 1985, c. 702, §2 (NEW) .]
3.Ceasing communication. If a consumer notifies a debt collector in writing that the consumer refuses to pay a debt or that the consumer wishes the debt collector to cease further communication with the consumer, the debt collector shall not communicate further with the consumer with respect to that debt, except:
A. To advise the consumer that the debt collector's further efforts are being terminated; [1985, c. 702, §2 (NEW).]
B. To notify the consumer that the debt collector or creditor may invoke specified remedies which are ordinarily invoked by the debt collector or creditor; or [1985, c. 702, §2 (NEW).]
C. Where applicable, to notify the consumer that the debt collector or creditor intends to invoke a specified remedy. [1985, c. 702, §2 (NEW).]
If the notice from the consumer is made by mail, notification shall be complete upon receipt.
[ 1985, c. 702, §2 (NEW) .]
4.Consumer defined. For the purpose of this section, the term consumer includes the consumer's spouse; parent, if the consumer is a minor; guardian; executor; or administrator.
[ 1985, c. 702, §2 (NEW) .]
SECTION HISTORY
1985, c. 702, §2 (NEW).
§11013. PROHIBITED PRACTICES
1.Harassment or abuse. A debt collector may not engage in any conduct, the natural consequence of which is to harass, oppress or abuse any person in connection with the collection of a debt. Without limiting the general application of this subsection, the following conduct is a violation of this section:
A. The use or threat of use of violence or other criminal means to harm the physical person, reputation or property of any person; [1985, c. 702, §2 (NEW).]
B. The use of obscene or profane language, or language the natural consequence of which is to abuse the hearer or reader; [1985, c. 702, §2 (NEW).]
C. The publication of a list of consumers who allegedly refuse to pay debts, except to a consumer reporting agency or to persons meeting the requirements of Title 10, chapter 209-B; [2013, c. 588, Pt. C, §16 (AMD).]
D. The advertisement for sale of any debt to coerce payment of the debt; [1985, c. 702, §2 (NEW).]
E. Causing a telephone to ring or engaging any person in telephone conversation repeatedly or continuously with intent to annoy, abuse or harass any person at the called number; [1985, c. 702, §2 (NEW).]
F. Except as provided in section 11011, the placement of telephone calls without meaningful disclosure of the caller's identity; and [1985, c. 702, §2 (NEW).]
G. The use of "shame cards," "shame automobiles" or similar devices. [1985, c. 702, §2 (NEW).]
[ 2013, c. 588, Pt. C, §16 (AMD) .]
2.False or misleading representations. A debt collector may not use any false, deceptive or misleading representation or means in connection with the collection of any debt. Without limiting the general application of this subsection, the following conduct is a violation of this section:
A. The false representation or implication that the debt collector is vouched for, bonded by or affiliated with the United States or any state, including the use of any badge, uniform, seal, insignia or facsimile; [1985, c. 702, §2 (NEW).]
B. The false representation of:
(1) The character, amount or legal status of any debt; or
(2) Any services rendered or compensation which may be lawfully received by any debt collector for the collection of a debt; [1985, c. 702, §2 (NEW).]
C. The false representation or implication that any individual is an attorney or that any communication is from an attorney; [1985, c. 702, §2 (NEW).]
D. The representation or implication that nonpayment of any debt will result in the arrest or imprisonment of any person or the seizure, garnishment, attachment or sale of any property or wages of any person, unless that action is lawful and the debt collector or creditor intends to take that action; [1985, c. 702, §2 (NEW).]
E. The threat to take any action that may not legally be taken or that is not intended to be taken; [1985, c. 702, §2 (NEW).]
F. The false representation or implication that a sale, referral or other transfer of any interest in a debt shall cause the consumer to:
(1) Lose any claim or defense to payment of the debt; or
(2) Become subject to any practice prohibited by this Act or the Maine Consumer Credit Code, Title 9-A; [1985, c. 702, §2 (NEW).]
G. The false representation or implication that the consumer committed any crime or other conduct in order to disgrace the consumer; [1985, c. 702, §2 (NEW).]
H. Communicating or threatening to communicate to any person credit information which is known or which should be known to be false, including the failure to communicate that a disputed debt is disputed; [1985, c. 702, §2 (NEW).]
I. The use or distribution of any written communication which simulates or is falsely represented to be a document authorized, issued or approved by any court, official or agency of the United States or any state, or which creates a false impression as to its source, authorization or approval; [1985, c. 702, §2 (NEW).]
J. The use of any false representation or deceptive means to collect or attempt to collect any debt or to obtain information concerning a consumer; [1985, c. 702, §2 (NEW).]