Felicia Hollins v. Experian Information Solutions, Inc.

Summary

The United States District Court for the Northern District of Illinois denied Experian Information Solutions, Inc.’s motion to dismiss part of Felicia Hollins’s Fair Credit Reporting Act claim. The court held that Hollins plausibly alleged that Experian failed to use reasonable procedures to ensure the accuracy of credit reporting concerning debts allegedly discharged in bankruptcy. The court concluded that the reasonableness of Experian’s procedures and its knowledge of the discharge were factual issues better addressed after discovery.

Holdings

1. Hollins plausibly alleged that Experian failed to use reasonable procedures to assure the maximum possible accuracy of her credit report, including by reporting past-due balances for debts allegedly discharged in bankruptcy.
2. The reasonableness of Experian's procedures presented factual questions that could not be resolved as a matter of law on the pleadings.

Questions Presented

1. Whether Hollins plausibly alleged that Experian failed to use reasonable procedures to assure the maximum possible accuracy of her credit report under 15 U.S.C. § 1681e(b) before receiving her dispute letter.
2. Whether the reasonableness of Experian's procedures could be decided as a matter of law at the pleading stage based on the bankruptcy documents and Experian's asserted reliance on information from furnishers.

Disposition

dismissed