NCO Financial Systems Recorded Phone Conversations, Lawsuit Alleges

By on February 15, 2013

A federal class action lawsuit filed in the Southern District of California claims debt collector NCO Financial Systems Inc. records cell phone conversations without first obtaining the consent required by California law.

Plaintiff alleges that he was contacted by NCO about an alleged debt. After discussing sensitive financial and other personal information, plaintiff asked if the call was being recorded and was told that NCO records all of its calls. It is alleged that under California law companies have to disclose that they are recording calls ahead of time, to allow consumers the opportunity to make an informed decision about whether they wish to proceed.

The action is brought on behalf of California residents whose calls were recorded in the last year, and seeks the maximum statutory damages of $5,000 per violation for all class members.