Student Loan Litigation & Class Action

Litigation, either individually or via class action, can be an effective method to resolve your student loans.  We offer a variety of options from defending against collection actions or filing suit against loan servicers and lenders.  Call today to see how we can help.  206-535-2559.

Student Loan Litigation

Litigation can be an excellent way to resolve student loan issues.  The best time to use litigation is when something has gone wrong with your loans.  It could be fraud, bad math by the collector where they think you owe to much, collection abuses, or infrastructural issues involving discrimination or ineffective education.  Here is an overview of common litigation scenarios and how we can help.

  1. Defending Against Student Loan Debt Collection in State or Federal Court
    • We can attack the chain of title and securitization procedures to show they have no right to collect
    • We can attack the evidence on the numbers, to show they are collecting too much
    • We can counter claim under consumer protection laws, the loan contract, or other basis
    • Often times, even alleging a defense can result in a settlement and if a valid counterclaim is available, it may allow for a very favorable settlement or damages to be paid to you
  2. Defending Against Federal Wage Garnishment & Offset in Administrative Law Court
    • Federal Wage Garnishment and Offset do not require a hearing unless you demand one, we can demand one and defend you in the proceedings
    • We can appeal to higher courts if you receive an unfavorable ruling or determination
  3. Mediation and Arbitration Represenation
    • Many student loan promissory notes require mediation or arbitration or it is an option in lieu of a trial or prior to one- we can represent you there
  4. Suing a Student Loan Debt Collector, Loan Servicer, Lender, or School in State or Federal Court
    • We can sue for any breach of law or contract as a plaintiff for you individually
    • In many instances, loans can be settled favorably prior to trial or we an go all the way to trial
    • We can appeal any loss in trial court
  5. Class Action Representation
    • If the type of harm you suffered is infrastructural or widespread in nature, we can represent you on a class action basis

Our Approach to Litigation

Prior to litigation we review all non-litigation options to ensure litigation is the most cost effective or best way to defend you and resolve your student loans.  Even if it is, we prepare contingency plans to resolve via forgiveness program, bankruptcy, or other means just in case we need an alternative.

We start off with a discovery focused approach to our litigation.  We focus on obtaining the promissory note and all evidence of the proper chain of title to include pooling and servicing agreements- to ensure that the party has the right to collect.  We next focus on the accounting to determine if the loan was amortized properly, if the proper index and method of interest calculation was used, and if the fees are allowable under law and contract- to ensure they are suing you for the right amount.  We also review any possible infrastructural or consumer protection violations as to the method and manner of loan origination, loan servicing, and collection actions.

We always keep an eye on the cost of litigation and ensure there is a return on investment from a cost benefit analysis perspective.  If it would cost more than we can save you, then we typically push for settlement or an alternate approach.  If we are likely to obtain damages in excess of what is owed, then full steam ahead.

We offer options for any budget and depending upon your facts we can offer flat fee, hourly, contingent, and hybrid options.  We start with a free initial phone review so call today to see how we can help.