Acting on the theory that the best defense is a good offense, customers or obligors often commence suit against the creditor.
These suits arise in various context, some as Customer/Dealer disputes involving the quality of the merchandise sold, frequently automobiles. The Federal Trade Commission's preservation of consumer claims and defenses or the “Holder in Due Course Rule” has an impact because it makes a finance source liable for defects in the consumer property purchased on an installment basis, notwithstanding the assignment of the contract to a holder who had no connection with the delivery of the goods.
Often the actions of a Creditor give rise to claims made under the Unfair Trade Practices and Consumer Protection Law, Motor Vehicle Installment Sales Finance Act, and the Interest Rate and Usury Law also known as Act 6 of 1974, all of which matters Tom Reilly has been involved in during his career.