August 13, 2019 / 9:49 PM / 11 days ago

7th Circuit rules against Indiana health club that jailed delinquent customer

An Indiana health club is responsible for the actions of its debt collection lawyers who had one of the club’s customers arrested and jailed for not paying debt that had been canceled in bankruptcy, a federal appeals court ruled.

In a decision on Tuesday, a unanimous three-judge panel of the 7th U.S. Circuit Court of Appeals granted a bid by Jacqueline Sterling of Gary, Indiana to have the Southlake Nautilus Health & Racquet Club in Merrillville, Indiana held in contempt for pursuing her for unpaid debt after a bankruptcy court had discharged it.

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