On February 13, in a decision from the California Court of Appeal, the court examined whether a consumer must establish actual damages to pursue statutory damages under California’s Fair Debt Buying Practices Act (FDBPA). The case involved a plaintiff who had incurred consumer debt that was “charged off” by the original creditor and later purchased by the defendant: a debt buyer. The defendant sent a written communication to the plaintiff regarding the debt but failed to include the required notice informing the plaintiff of their right to request records related to the debt. The plaintiff filed a lawsuit seeking statutory damages for this omission, despite explicitly stating that they had not suffered any concrete injury from the defendant’s actions.

Initially, the trial court ruled in favor of the defendant, asserting that the plaintiff lacked standing to sue because they had not experienced actual damages or a concrete injury. The Court of Appeal reversed. Interpreting the FDBPA de novo, the court held that the FDBPA confers standing on any person who pleads a debt buyer’s violation of their rights under the FDBPA. The court highlighted that the FDBPA distinguishes between actual damages, statutory damages, and additional damages available in class actions, demonstrating that statutory damages are intended to be available independent of actual damages.