Liens for mandatory water and sewer charges imposed on property owners by New York City are not “debt” requiring compliance with the federal Fair Debt Collection Practices Act, the U.S. Court of Appeals for the Second Circuit held Wednesday.
The ruling came in Boyd v. J.E. Robert Co., 12-4422, a putative class action charging that companies and trusts, used by the city to collect unpaid water and sewer bills, violated the act by obtaining unauthorized attorney fees and costs in foreclosure actions. The bills are secured by property liens.
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