The 9th U.S. Circuit Court of Appeals has revived a lawsuit alleging that debt collectors for United Student Aid Funds made illegal robocalls to student borrowers, ruling that the company may be liable for the actions of the collectors who made the calls.
In a decision on Friday, a divided appellate panel said a San Diego federal court erred in granting a judgment in USA Funds’ favor because a reasonable jury could find it “vicariously” liable for the debt collectors’ automatically dialed calls. The panel remanded the case to the lower court for further action.
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