BIRMINGHAM, Mich.--(BUSINESS WIRE)--An Ingham County Circuit Court has rejected an effort by National Collegiate Student Loan Trusts to sue a Michigan student for more than $175,000 in alleged student-loan debt, including disputed fees and interest.
Three separate lawsuits were filed in Ingham County against a former student at Northwood University in Midland, Michigan. All were rejected by the court which ruled that National Collegiate did not have a legal right to sue.
Daniel J. McCarthy, an appellate and litigation attorney with the Birmingham, Michigan, law firm of Lippitt O’Keefe Gornbein, PLLC, successfully argued on the student’s behalf. He also pointed out that the alleged debt was possibly satisfied through The Educational Resources Institute.
“National Collegiate has filed thousands of similar lawsuits throughout the country in what amounts to a full-scale judicial assault against unsuspecting former students,” McCarthy added. “Because of the large number of questionable lawsuits brought by National Collegiate, we also are investigating the need to respond with a class action on behalf of these students.”
More than 4,000 former students in Michigan alone might be subject to lawsuits for the recovery of more than $30 million in alleged student-loan debt, according to McCarthy. He said that many of these individuals do not have the ability to mount a defense against large national companies with legal and financial resources such as National Collegiate.
Less than two years ago, McCarthy successfully defended a Wayne State University student against 11 lawsuits brought by National Collegiate for the payment of student-loan debts allegedly totaling more than $120,000.
“Our client originally tried to navigate the complex court system on his own,” McCarthy noted. “But he quickly realized that professional representation was needed and turned to our firm for help. We implemented an immediate legal strategy which led to the ultimate dismissal of the entire litigation.”
Additional information about Lippitt O’Keefe Gornbein, PLLC is available at www.lippittokeefe.com.
About Lippitt O’Keefe Gornbein, PLLC
Headquartered in Birmingham, Mich., Lippitt O’Keefe Gornbein, PLLC, is a full service law firm that offers experienced legal professionals delivering client-focused counsel within the areas of general commercial litigation and commercial transactional law, including commercial litigation, real estate law, business law, employment law, estate planning and taxation, family and probate law, appellate practice and intellectual property law. The firm also has established a first-of-its-kind practice group dealing with opioid and substance-abuse issues.