Impact Litigation
Our legal team stands up for economic justice, winning the strategic cases that repair financial harms, dismantle bad policies, and establish important new legal protections.
Learn more about our victories and key cases:
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Crespo v. Gutman, Mintz, Baker & Sonnenfeldt, LLP
In August 2022, New Economy Project filed a federal lawsuit against a notorious debt collection law firm, alleging that it engaged in predatory and unlawful practices that harm low-income New Yorkers.
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Esgro Capital Management, LLC v. Sharae Banks
In December 2023, New Economy Project, with co-counsel, won a unanimous decision in the Appellate Division, First Department, upending over a decade of bad case law that enabled unscrupulous debt collectors to systematically deprive low-income New Yorkers of due process.
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Robinson v. New York City Transit Authority et al.
UPDATE: On October 31, 2023, the Court granted final approval of a settlement requiring the NYC Transit Authority to provide access to crucial information so that New Yorkers facing alleged transit debt can meaningfully assert their rights. Read the basic terms of the final settlement here, and read the press release here. In February 2019, New Economy Project filed a federal class action lawsuit charging the NYC Transit Authority, an arm of the Metropolitan Transportation Authority (MTA), with systemic due process violations. The civil rights lawsuit challenges the Transit Authority’s seizures of people’s state tax refunds to collect on…
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Ruane v. Bank of America, N.A. et al.
In June 2017, New Economy Project filed a federal lawsuit against Bank of America, N.A., and ChexSystems, a consumer reporting agency, on behalf of Adiaha Ruane, a low-income, African-American New Yorker.
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Campbell v. Bank of America, N.A. et al.
In December 2016, New Economy Project filed a federal lawsuit against Bank of America, N.A., on behalf of George Campbell, a low-income, African-American New Yorker. The lawsuit alleges that Bank of America violated federal and state consumer protection laws by failing to properly investigate fraudulent, unauthorized activity on Mr. Campbell’s bank account. Mr. Campbell sought monetary and injunctive relief.
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Arias v. Gutman, Mintz, Baker & Sonnenfeldt LLP
In November 2015, New Economy Project filed a federal lawsuit, with co-counsel, against the debt collection law firm Gutman, Mintz, Baker, and Sonnenfeldt (GMBS), on behalf of Franklin Arias, a New Yorker in his 70s whose only income is Social Security benefits. The lawsuit alleged that GMBS violated federal debt collection and state consumer protection laws, and explicitly subverted New York’s Exempt Income Protection Act. Mr. Arias sought monetary and injunctive relief. (Read our blog post here.) In late 2014, GMBS restrained Mr. Arias’s bank account, which contained only his Social Security benefits. To get his money released, Mr. Arias…
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Bostic v. Houslanger & Assocs.
In December 2017, New Economy Project and co-counsel filed a state class action lawsuit against the debt collection law firm Houslanger & Associates and its debt buyer clients Virgo Capital and Aquarius Capital, as well as debt buyers Gotham Collection Services and HK Recovery Group, on behalf of Gladys Bostic, Cimeron DuBose, Gerald Dycha, and Heyward Collins, all low-income New Yorkers. The lawsuit alleges that the defendants violated federal debt collection and state consumer protection laws by collecting on judgments they knew were obtained through fraud. A previous class action lawsuit New Economy Project brought with co-counsel, Sykes v. Mel…
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Sanders v. Houslanger & Assocs.
In November 2017, with co-counsel, New Economy Project filed a federal class action lawsuit against the debt collection law firm Houslanger & Associates, as well as its debt buyer clients Virgo Capital and Aquarius Capital, on behalf of Ramel Sanders and Antero Sarreal, both low-income New Yorkers. The lawsuit alleges that Houslanger and its debt buyer clients violated federal debt collection and state consumer protection laws by collecting on judgments they knew were obtained through fraud. A previous class action lawsuit that New Economy Project brought with co-counsel, Sykes v. Mel S. Harris and Associates, LLC , alleged that the…
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Prage v. Kavulich & Associates
In April 2016, New Economy Project filed a federal lawsuit against the debt collection law firm Kavulich and Associates on behalf of Romain Prage, a low-income New Yorker. The lawsuit alleges that Kavulich violated federal debt collection and state consumer protection laws, and explicitly subverted New York’s Exempt Income Protection Act. Mr. Prage is seeking monetary and injunctive relief.
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Sykes v. Mel S. Harris and Associates
In November 2015, New Economy Project and allies reached a groundbreaking $59 million settlement in a class action lawsuit charging a network of debt collectors with civil racketeering (RICO), deceptive practices, and violations of federal debt collection law.
