C & A Financial Programs, Inc. v. Elliott

No. 03-139-CA (Fla. Cir. Ct. Martin County filed, July 23, 2003) ; Clearinghouse Number: 55449

Description

In Collection Action for Loan Secured by Military Pension, Defendant Counters with Truth-in-Lending Act and Consumer Protection Law Violations

Abstract

Borrower is defending and counterclaiming in a collection action for a loan secured by defendant’s military retirement benefits. Defendant alleges that he sought to borrow $15,000 from plaintiff after giving plaintiff information about his retirement status, rank, and pay grade upon retirement. Of the $15,000 loan, defendant alleges that he received only $12,569. He alleges that plaintiff claimed both ownership and a security interest in his military retirement benefits, charged usurious interest, illegally tried to bind his heirs, and threatened criminal sanctions under the loan agreement for failure to repay. Defendant says that plaintiff received his loan payments directly from the U.S. Department of Defense. As affirmative defenses, defendant asserts failure of condition precedent based on his receipt of only $12,569 and plaintiff’s failure to pay full consideration for the “purchase” of his retirement benefits; usurious interest; failure to make required disclosures in violation of the Truth-in-Lending Act and Florida consumer protection and unfair trade practices acts; illegal assignment of veterans’ benefits; unjust enrichment; and the equitable doctrine of unclean hands. Defendant’s counterclaims include violation of the Truth-in-Lending Act, usury, and violation of Florida’s unfair trade practices act.

Additional Information

Attorney Information
Defendants represented by Lynn Drysdale, FLORIDA LEGAL SERVICES, INC., 126 West Adams Street, Suite 502, Jacksonville, Florida 32202 (904.355.5200)
Docket Date
2003-07-23 00:00:00+00:00