The Court of Appeals for the Eleventh Circuit decision in Hunstein v. Preferred Collection and Management Services sent shock waves through the debt collection industry because of its potential broad reach beyond letter vendors to any service provider that receives info from a debt collector that discloses a consumer owes a debt. This past Tuesday, Preferred Collection Management Services filed a petition for rehearing en banc with the Eleventh Circuit.
In its petition for rehearing en banc, Preferred contends that the panel's conclusion that the plaintiff had Article III standing is incorrect. Preferred's electronic transmission of data to a private server maintained by its agent does not constitute the public disclosure of private facts. There is anticipation for a flood of related amicus filings in the coming days.