Vol. 55 No. 11

Trial Magazine

Verdicts & Settlements: Consumer Protection

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Improper litigation threats, payment demands

November 2019

Wayne and Kathy Cox took out a car loan with Branch Banking and Trust Co. (BB&T). When the couple later fell behind on their payments, BB&T sent them letters notifying them of impending litigation and indicating the bank would seek enforcement of an attorney fee provision in their loan agreement.

The Coxes, as representatives of hundreds of other similarly situated individuals, brought a class action against BB&T, alleging the defendant had violated the West Virginia Consumer Credit and Protection Act (W. Va. Code §46A et seq.) by threatening legal action and collection of foreclosure and attorney fees against consumers with automobile and home loan debt. The class action was consolidated with at least one other similar lawsuit. The defendant denied the allegations.

The parties settled for more than $861,300 plus approximately $2 million to $3 million in debt relief.

Citation: Cox v. Branch Banking & Trust Co., Nos. 5:17-cv-01982, 16-cv-10501 (S.D. W. Va. Jan. 10, 2019).

Plaintiff counsel: Ralph C. Young and Steven R. Broadwater, both of Fayetteville, W. Va.; AAJ member Jonathan R. Marshall, Charleston, W. Va.; and Patricia Kipnis, Cherry Hill, N.J.