Legislation Updating Michigan Statutes on Collection Agency Attorneys Passes in Senate Committee

9/18/2017 1:37 PM

Michigan Association of Collection Agencies President Scott Idle testifies in support of the legislation.


Legislation to allow collection agencies to employ an on-site attorney awaits consideration in the Michigan Senate after receiving unanimous support at the committee level last week.

Michigan is one of few states that disallow a licensed collection agency from employing an attorney to provide litigation services to its creditor clients or for compliance-related purposes. The Michigan Occupational Code (MCL 339.915a) currently prohibits a collection agency from even sharing quarters with a practicing attorney.

State Sen. Jim Stamas, R-Lansing, is the sponsor of Michigan Senate Bill 0385 (2017) that shall allow licensed Michigan-based agencies to employ an on-site attorney. State Sen. Rick Jones, R-Lansing, is a co-sponsor.

The Michigan Senate Regulatory Reform Committee considered the legislation during a hearing on Sept. 13. The measure passed committee by a unanimous vote and awaits further consideration in the Senate. Scott Idle, president of the Michigan Association of Collection Agencies, testified in support of the bill. Several Michigan ACA unit members were also in attendance as a show of support for SB 385.

“MCL 339.915a is an antiquated statute (1980) that forces an unnecessary hindrance for creditors, consumers, and small businesses to more quickly resolve debt obligations; costing extra time, energy and money to all whom are involved,” Idle said. “It is long overdue for our great state to enhance the protection of Michigan consumers through improved compliance efforts, leading to a more simplified, secure, and better consumer experience for the Michiganders we work with on a day-to-day basis.”

For additional information on the legislation, ACA members may contact Scott Idle at sidle@congresscollection.com

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Pictured left to right are Scott Idle, president of Michigan Association of Collection Agencies and CEO of Mid-Michigan Collection Bureau; Jennifer Dietrich, COO of Universal Credit Services; Jim Angelo, president/CEO of JJ Marshall & Associates Inc.; State Sen. Jim Stamas; Tom Oldani, vice president, Arbor Professional Solutions Inc.; and Tom Terres from the Mid-Michigan Collection Bureau.



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