Mass. AG Seeks Permanent Ban on Debt Collector Practices
Massachusetts AG proposes permanent ban on certain debt collection practices.
Why it matters: Financial services legal teams must prepare for stricter enforcement on debt collections in Massachusetts, increasing compliance demands and consumer protection scrutiny.
- On August 31, 2026, Mass. AG filed proposed consent judgment against Judgment Acquisitions Unlimited and Champion Funding, Inc.
- The judgment requires dismissal of pending cases within 120 days and releases liens on 6,479 consumer debts totaling $52.8 million.
- Defendants are barred permanently from buying, selling, or collecting Massachusetts consumer debts and must surrender licenses.
- A $650,000 civil penalty is suspended but enforceable over a 13-year compliance period if violations occur.
On August 31, 2026, the Massachusetts Attorney General Andrea Joy Campbell filed a proposed consent judgment in Suffolk County Superior Court targeting Judgment Acquisitions Unlimited, Champion Funding, Inc., and their owner Andrew Metcalf. The action aims to permanently bar these entities from all debt collection activities involving Massachusetts consumers. According to the Massachusetts AG's announcement, about 6,479 consumer debts with an aggregate balance around $52.8 million will be deemed uncollectable as a result.
The proposed judgment mandates the defendants to dismiss all pending collection cases within 120 days and file satisfactions of judgment where applicable within one year. It also requires them to release all real estate liens related to those debts. The defendants are permanently barred from purchasing debts owed by Massachusetts consumers, selling or transferring such debts, applying for a debt collector license, and Andrew Metcalf must surrender his license and dissolve one corporate entity.
The AG imposed a $650,000 civil penalty, which is suspended due to the defendants' financial condition. However, the suspension is subject to a 13-year compliance period during which any violations would trigger immediate payment of the penalty. AG Campbell stated, "This consent judgment sends a clear message that aggressive and illegal debt collection practices will not be tolerated in Massachusetts."
This enforcement action underscores the state’s ongoing commitment to protecting consumers against unfair debt collection tactics. Legal and compliance teams in financial services operating in Massachusetts should consider how this ruling may presage intensified regulatory scrutiny and prepare for stricter compliance requirements.
By the numbers:
- 6,479 consumer debts affected — valued at $52.8 million
- $650,000 civil penalty — suspended with 13-year compliance period
- 120 days — deadline to dismiss pending collection cases