Court orders judgement in favor of defendants in FCRA action based on limitations of Wisconsin “alternative-to-bankruptcy” statute Blog InfoBytes Blog

On October 26, the U.S. District Court for the Eastern District of Wisconsin denied a plaintiff’s motion for summary judgment and instead entered judgement in favor of two creditors and two consumer reporting agencies (collectively, “defendants”), holding that the debtor failed to show a factual inaccuracy in the credit reporting of a debt. According to the opinion, the debtor successfully completed an amortization plan under Section 128.21 of the Wisconsin Statues, an “alternative to bankruptcy” law that allows debtors to file an action that establishes “a personal receivership wherein, much like in a federal Chapter 13 ‘wage earners’ bankruptcy, a person may amortize problem debts through a deliberate and scheduled repayment plan.” Subsequently, the debtor submitted disputes to two consumer reporting agencies that still showed balances due on the credit lines for both creditors. In response, the creditors argued that the debtor understated the balances owed to them during […]