Decision by Judge Dear highlights need for credit card reform
Credit card debt lawsuits are not an anomaly on the Kings County Supreme Court calendar. Papers submitted by plaintiffs with the names American Express or Citibank come across the desks of Brooklyn Supreme Court judges, such as Judge Noach Dear, many times a day.
But rarely do these cases make the headlines. As the New York Times reports, approximately 95 percent of these lawsuits result in a default judgment for the banks. For Judge Dear, this large number of default judgments seemed too significant to ignore.
In a recent case, American Express v. Tancreto, Judge Dear condemned the credit card company for not adequately providing its users with binding credit card agreements. A credit card agreement is generally a contract outlining a user’s obligation to pay back, in full, any balance he/she may carry on a particular credit card. Such agreements are typically mailed to users upon receipt of a credit card or shortly thereafter.