Kare 11 recently reported that the FTC is cracking down on a Texas Business-to-business collections firm, which has engaged in illegal collection activities. Tucker, Albin & Associates agreed to cease and desist improper practices and pay a civil penalty of $500,000, the largest debt collection fine levied in state history.
The firm would do things like “spoofing,” whereby they would call a person and “mom” would show up on the person’s caller ID. They would also impersonate IRS agents and law enforcement.
Consumers are protected under the federal Fair Debt Collection Practices Act. Business-to-business debt collections are not covered under most of that law, but they are covered under Section 5 of the FTC Act, which forbids deception.