Shellpoint Massachusetts debt collection $361K class action settlement

Shellpoint agreed to pay over $361,000 as part of a class action lawsuit settlement to resolve claims it placed harassing debt-collection calls to consumers.

The settlement benefits Massachusetts residents who received more than two debt collection calls from Shellpoint within a seven day period. 

Shellpoint is a mortgage servicing lender that manages mortgage loans after they are originated. According to the servicer’s website, Shellpoint manages payments from over 1.7 million homeowners across the country.

However, Shellpoint may violate debt-collection laws when collecting payments from its customers. According to a class action lawsuit, Shellpoint violated the Massachusetts Consumer Protection Act and the Massachusetts debt collection regulations by placing more than two debt-collection calls in one seven-day period. These laws aim to prevent harassing phone calls that cause stress on borrowers. 

The plaintiff in the case says he received an excess of two calls within a seven-day period from Shellpoint when the payment was over 30 days past due. This allegedly happened several times during a period of four years.

The plaintiff maintains these repeated calls were a distraction, were inconvenient and caused him to become angry, frustrated and anxious.

According to the debt-collection class action lawsuit, numerous other customers have shared similar experiences online on websites such as the Better Business Bureau. 

Shellpoint hasn’t admitted any wrongdoing but agreed to pay $361,660 to resolve these class action allegations. 

Under the terms of the Shellpoint debt-collection settlement, class members can receive a cash payment.

Each class member will receive an equal share of the net settlement fund after fees, costs and various awards are deducted. Exact payments will vary depending on the deduction amounts and the number of participating class members.

If any funds remain in the settlement fund after the initial distribution, a second distribution may be made to class members who cashed their first checks. If remaining funds do not warrant an additional distribution, these funds will be donated to a cy pres recipient approved by the court.

The deadline for objection is Oct. 21, 2022. There is no exclusion deadline listed on the settlement website.

The final approval hearing for the Shellpoint debt-collection settlement is scheduled for Dec. 13, 2022.

In order to receive settlement benefits, class members must submit a valid claim form by Oct. 21, 2022.

Who’s Eligible

Massachusetts residents who received more than two debt collection calls from Shellpoint within a seven-day period.

Potential Award

TBD

Proof of Purchase

No proof of purchase applicable

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

10/21/2022

Case Name

Robert Raslavsky v. NewRez LLC d/b/a Shellpoint Mortgage Servicing, Case No. 2084CV01878 in the Superior Court for the County of Suffolk of the Commonwealth of Massachusetts

Final Hearing

12/13/2022

Settlement Website

MassCollectionSettlement.com

Claims Administrator

Mass Collection Settlement Administrator
P.O. Box 990
Corte Madera, CA 94976-0990
877-630-2503

Class Counsel

Sergei Lemberg
Stephen Taylor
LEMBERG LAW LLC

Defense Counsel

Marc J Gottlieb
Alan M Hurst
AKERMAN LLP