Waite et al v. Credit Service Company, Inc., 2020-CV-34153 (Dist. Ct. Co.)
This class action attacks improper medical debt collection practices of a debt collection company (CSC) that works in conjunction with the state’s hospital system, UC Health, to collect unpaid medical bills. The complaint alleges that patients who are dunned or sued are confused, misled, and have their privacy invaded, because CSC acts and sues in its own name and requires disclosure of private medical information from patients who contest the services they receive, while CSC in fact may not own the debt. On the other hand, if CSC does own the debt, it is violating Colorado’s debt buyer law which requires that when a suit is filed, the debt buyer attach ample information about the charges being sued on and the assignment of the debt to the debt buyer.
On February 26, 2026, the Colorado Court of Appeals ruled for the plaintiffs, reversing the trial court’s grant of summary judgment to CSC. The court held, among other things, that an assignment of a debt can reflect a purchase of a debt; and that the trial court had failed to apply the correct summary judgment standard to determine whether valid assignments of the debt existed.
Co-counsel: Towards Justice; Dan Vedra
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