In Chuway V

question 127

Multiple Choice

In Chuway v. National Action Financial Services, where Chuway received a letter from debt collector National that requested payment of the amount she owed on a debt, the appeals court held that the debt collector:

• A) violated the FDCPA by sending the plaintiff multiple letters after she requested they stop
• B) used reasonable language for the situation and so did not violate the FDCPA
• C) did not violate the FDCPA because the language of the letter was clear
• D) clearly used safe harbor language and so did not violate the FDCPA
• E) none of the other choices are correct

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Definitions:

Accrued Depreciation

The total amount of depreciation expense that has been charged against a fixed asset since it was put into use, contributing to its reduced book value.

Short-Term Financing

Describes borrowing options available for fulfilling immediate financial needs for a period of less than one year.

Accounts Payable

Accounts payable represents the amount a company owes to its suppliers or creditors for goods or services received but not yet paid for.

Commercial Paper

Very short-term debt issued by major companies.