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Tuesday, November 5, 2024

Massachusetts files suit against DMB Financial, Global Client Solutions over debt settlement program

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BOSTON (Legal Newsline) – A Massachusetts company and an Oklahoma company are facing a suit from the Commonwealth of Massachusetts over a debt settlement program.

The Commonwealth of Massachusetts filed a complaint on May 17 in the Superior Court of the Commonwealth of Massachusetts against DMB Financial LLC and Global Client Solutions LLC over alleged violation of the Massachusetts Consumer Protection Act.

According to the complaint, DMB offers a debt settlement program and tells consumers its negotiators can settle debts for less than what is owed. The plaintiff alleges DMB instructs consumers who enroll to stop paying their debts and communicating with creditors and instead to make payments into an account maintained by Global.

The plaintiff alleges the representations are false as a large percentage of enrolled consumers fail to complete their debt settlement and many consumers drop out of the program in worse financial condition than before they enrolled. 

The plaintiffs holds DMB Financial LLC and Global Client Solutions LLC responsible because the DMB allegedly made false, misleading and unsubstantiated claims about its ability to reduce, settle and eliminate a consumer's debts and Global distributed settlement fees to DMB without obtaining authorization from consumers.

The plaintiff seeks an order for the defendants to refund consumers all fees they paid, civil penalties, attorneys' fees, costs incurred and additional relief as the court may determine to be just and proper. It is represented by Benjamin Golden and Max Weinstein of the commonwealth's Consumer Protection Division in Boston.

Superior Court of the Commonwealth of Massachusetts case number 1884CV01472

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