FCRA Credit Report Dispute Complaint - Arkansas

COMPLAINT FOR VIOLATIONS OF THE FAIR CREDIT REPORTING ACT

OPTION A — FEDERAL FORUM

IN THE UNITED STATES DISTRICT COURT
FOR THE [EASTERN / WESTERN] DISTRICT OF ARKANSAS
[________________________________] DIVISION

Case No. [____________]

OPTION B — STATE FORUM

IN THE CIRCUIT COURT OF [________________________________] COUNTY, ARKANSAS

Case No. [____________]

COMPLAINT AND DEMAND FOR JURY TRIAL

Plaintiff [PLAINTIFF FULL LEGAL NAME] ("Plaintiff"), by and through undersigned counsel, brings this action against Defendant [CONSUMER REPORTING AGENCY] (the "CRA Defendant") and Defendant [FURNISHER NAME] (the "Furnisher Defendant") (collectively, "Defendants"), and alleges as follows:

I. NATURE OF THE ACTION

1. This is an action for damages brought by an individual consumer against a consumer reporting agency and a furnisher of information arising under the federal Fair Credit Reporting Act, 15 U.S.C. § 1681 et seq. ("FCRA").

2. The CRA Defendant prepared and disseminated consumer reports containing inaccurate information concerning Plaintiff and, after Plaintiff disputed that information, failed to follow reasonable procedures to assure maximum possible accuracy and failed to conduct a reasonable reinvestigation, in violation of 15 U.S.C. §§ 1681e(b) and 1681i.

3. The Furnisher Defendant, after receiving notice of Plaintiff's dispute from the CRA Defendant, failed to conduct an investigation that addressed the disputed information and continued to report inaccurate information, in violation of 15 U.S.C. § 1681s-2(b).

II. JURISDICTION AND VENUE

4. Subject-Matter Jurisdiction (Federal Forum). This Court has federal-question jurisdiction under 28 U.S.C. § 1331 and 15 U.S.C. § 1681p, which provides that an action to enforce liability under the FCRA may be brought in "any appropriate United States district court ... or in any other court of competent jurisdiction."

5. Subject-Matter Jurisdiction (State Forum). Alternatively, the Circuit Court has jurisdiction over the FCRA claim under Arkansas Constitution Amendment 80, § 6(A), and 15 U.S.C. § 1681p, which permits suit in any other court of competent jurisdiction.

6. Personal Jurisdiction. Each Defendant regularly conducts business in Arkansas and committed the acts and omissions complained of in Arkansas, and therefore is subject to the jurisdiction of this Court.

7. Venue (Federal Forum). Venue is proper in this district under 28 U.S.C. § 1391(b)([1/2/3]) because [STATE SPECIFIC FACTS ESTABLISHING THE CHOSEN STATUTORY ROUTE, including all defendants' Arkansas residence for route (1), the substantial events or omissions here for route (2), or the unavailability of any other district and a defendant's personal jurisdiction here for route (3)].

Venue (State Forum). If filed in Arkansas circuit court, venue is proper in [COUNTY] County under Ark. Code Ann. § 16-60-101(a) because [STATE SPECIFIC FACTS: a substantial part of the events or omissions occurred in this county; a defendant resided or had its Arkansas principal office here at the relevant time; or Plaintiff resided here when the event or omission occurred. Identify the applicable statutory ground].

III. PARTIES

8. Plaintiff. Plaintiff is a natural person residing in [CITY], [________________________________] County, Arkansas, and is a "consumer" as defined by 15 U.S.C. § 1681a(c).

9. CRA Defendant. Defendant [CONSUMER REPORTING AGENCY] is a [corporation/LLC] organized under the laws of [STATE] with its principal place of business at [ADDRESS]. It is a "consumer reporting agency" as defined by 15 U.S.C. § 1681a(f) because, for monetary fees, it regularly assembles and evaluates consumer credit information for the purpose of furnishing consumer reports to third parties, and uses a means or facility of interstate commerce to prepare or furnish those reports.

10. Furnisher Defendant. Defendant [FURNISHER NAME] is a [corporation/LLC/bank/collection agency] with its principal place of business at [ADDRESS]. It is a "furnisher" of information that regularly provides information about consumers, including Plaintiff, to one or more consumer reporting agencies for inclusion in consumer reports.

IV. FACTUAL ALLEGATIONS

11. The Inaccurate Item. Plaintiff's consumer file maintained by the CRA Defendant contains the following inaccurate item of information (the "Disputed Item"):
    • Creditor/Furnisher Name: [________________________________]
    • Account Number (last 4): [____]
    • What the report inaccurately states: [DESCRIBE — e.g., account reported as charged-off/late/open with balance of $[AMOUNT]]
    • What is true and accurate: [DESCRIBE — e.g., account was paid in full / never belonged to Plaintiff / discharged in bankruptcy]

The CRA Defendant prepared a consumer report containing the Disputed Item on [DATE] and furnished it to [RECIPIENT] on [DATE].

12. Type of inaccuracy (check all that apply):
    ☐ Account does not belong to Plaintiff (mixed file / identity theft)
    ☐ Balance, payment history, or account status is incorrect
    ☐ Account was paid, settled, or discharged in bankruptcy and is reported otherwise
    ☐ Obsolete information being reported beyond the period allowed by 15 U.S.C. § 1681c
    ☐ Duplicate reporting of the same debt
    ☐ Other: [________________________________]

13. The Written Dispute to the CRA. On or about [__/__/____], Plaintiff sent a written dispute to the CRA Defendant identifying the Disputed Item, explaining why it is inaccurate, and enclosing supporting documentation. The dispute was sent by [certified mail / the CRA's online portal] and received by the CRA Defendant on or about [__/__/____].

14. The CRA's Failed Reinvestigation. Upon receiving Plaintiff's qualifying dispute, the CRA Defendant was required by 15 U.S.C. § 1681i(a)(1) to conduct a reasonable reinvestigation, free of charge, within the applicable period. The ordinary period is 30 days after receipt, subject to § 1681i(a)(1)(B)-(C)'s conditional extension and subsections (f) and (g). The CRA Defendant failed to conduct a reasonable reinvestigation and instead [parroted the furnisher's verification / "verified" the item without meaningful review / failed to forward all relevant information to the furnisher / failed to respond]. The CRA Defendant continued to report the Disputed Item as accurate.

15. Notice to and Failure by the Furnisher. Pursuant to 15 U.S.C. § 1681i(a)(2), the CRA Defendant forwarded notice of Plaintiff's dispute to the Furnisher Defendant. Upon receiving that notice, the Furnisher Defendant was required by 15 U.S.C. § 1681s-2(b) to conduct its own investigation, review all relevant information provided by the CRA, report the results, and, if the item was found inaccurate, incomplete, or unverifiable, modify it, delete it, or permanently block its reporting as appropriate. The Furnisher Defendant failed to do so and continued to furnish the inaccurate Disputed Item.

16. Harm to Plaintiff. As a direct and proximate result of Defendants' conduct, Plaintiff suffered harm, including: ☐ denial of credit, ☐ a higher interest rate or less favorable credit terms, ☐ denial of [employment/housing/insurance], ☐ damage to credit score and creditworthiness, ☐ out-of-pocket costs, and ☐ emotional distress, humiliation, frustration, and lost time spent disputing the inaccuracy.

V. CAUSES OF ACTION

COUNT I — Violation of 15 U.S.C. § 1681e(b) (CRA Defendant)

Failure to follow reasonable procedures to assure maximum possible accuracy

17. Plaintiff re-alleges and incorporates paragraphs 1–16.

18. Section 1681e(b) provides: "Whenever a consumer reporting agency prepares a consumer report it shall follow reasonable procedures to assure maximum possible accuracy of the information concerning the individual about whom the report relates."

19. The CRA Defendant prepared and published consumer reports concerning Plaintiff that contained the inaccurate Disputed Item and failed to follow reasonable procedures to assure maximum possible accuracy.

20. The CRA Defendant's violation was willful (15 U.S.C. § 1681n) or, in the alternative, negligent (15 U.S.C. § 1681o), entitling Plaintiff to the damages set forth below.

COUNT II — Violation of 15 U.S.C. § 1681i (CRA Defendant)

Failure to conduct a reasonable reinvestigation

21. Plaintiff re-alleges and incorporates paragraphs 1–16.

22. Upon receiving Plaintiff's dispute, the CRA Defendant was required by 15 U.S.C. § 1681i to conduct a reasonable reinvestigation, to forward all relevant information to the Furnisher Defendant, and to delete or modify information that could not be verified.

23. The CRA Defendant failed to conduct a reasonable reinvestigation and failed to delete or correct the inaccurate Disputed Item, in willful or negligent violation of § 1681i.

COUNT III — Violation of 15 U.S.C. § 1681s-2(b) (Furnisher Defendant)

Failure to investigate after notice of dispute

24. Plaintiff re-alleges and incorporates paragraphs 1–16.

25. After receiving notice of Plaintiff's dispute from the CRA Defendant pursuant to 15 U.S.C. § 1681i(a)(2), the Furnisher Defendant was required by 15 U.S.C. § 1681s-2(b) to investigate, review all relevant information provided by the CRA, report the results, and, if the item was found inaccurate, incomplete, or unverifiable, modify it, delete it, or permanently block its reporting as appropriate.

26. The Furnisher Defendant failed to investigate the Disputed Item as required and continued to furnish it inaccurately, in willful or negligent violation of § 1681s-2(b).

VI. DAMAGES

27. As a result of the willful violations, Plaintiff seeks under 15 U.S.C. § 1681n actual damages or statutory damages of not less than $100 and not more than $1,000, any punitive damages the Court allows, and costs and reasonable attorney's fees in a successful action.

28. In the alternative, for negligent violations, Plaintiff seeks under 15 U.S.C. § 1681o actual damages and costs and reasonable attorney's fees in a successful action.

29. Plaintiff discovered the alleged FCRA violation on [DATE], and the violation occurred on [DATE]. This action is timely under 15 U.S.C. § 1681p, having been filed within the earlier of two (2) years after Plaintiff's discovery of the violation or five (5) years after the violation occurred.

VII. PRAYER FOR RELIEF

WHEREFORE, Plaintiff respectfully requests that the Court enter judgment against Defendants and award:

A. Actual damages in the specified amount of $[AMOUNT], subject to proof at trial;
B. Alternatively to actual damages, statutory damages of $100 to $1,000 if willful noncompliance is proven under 15 U.S.C. § 1681n(a)(1)(A);
C. Any punitive damages the Court allows for proven willful noncompliance under 15 U.S.C. § 1681n(a)(2);
D. Reasonable attorney's fees and costs under 15 U.S.C. §§ 1681n and 1681o;
E. Pre- and post-judgment interest as allowed by law;
F. Such other and further relief as the Court deems just and proper.

VIII. DEMAND FOR JURY TRIAL

If this action is filed in federal court, Plaintiff demands a trial by jury on all issues triable of right by jury under the Seventh Amendment and Federal Rule of Civil Procedure 38. If this action is filed in Arkansas circuit court, Plaintiff demands a trial by jury on all issues triable of right by jury under Arkansas Rule of Civil Procedure 38.

IX. SIGNATURE

Respectfully submitted,

Dated: [__/__/____]

________________________________
[ATTORNEY NAME], Arkansas Bar No. [____________]
[LAW FIRM NAME]
[ADDRESS]
[CITY, STATE ZIP]
Telephone: [________________________________]
Email: [________________________________]
Counsel for Plaintiff

Sources and References

• 15 U.S.C. §§ 1681e(b), 1681i, 1681s-2(b), 1681n, 1681o, 1681p — current official Title 15 XML: https://uscode.house.gov/download/releasepoints/us/pl/119/121/[email protected]
• 15 U.S.C. § 1681c — obsolete-reporting limits and exceptions: https://uscode.house.gov/download/releasepoints/us/pl/119/121/[email protected]
• 28 U.S.C. §§ 1331, 1391(b) — current federal jurisdiction and venue: https://uscode.house.gov/download/releasepoints/us/pl/119/121/[email protected]
• Federal Rule of Civil Procedure 38 — Jury demand: https://www.uscourts.gov/sites/default/files/document/federal-rules-of-civil-procedure.pdf
• U.S. Constitution, Seventh Amendment — Federal civil jury right: https://www.archives.gov/founding-docs/bill-of-rights-transcript
• Arkansas Rule of Civil Procedure 38 — Jury demand: https://norma-us.lexum.com/ark/cr/en/16712/1/document.do
• Arkansas Constitution Amendment 80, § 6(A) — Circuit-court jurisdiction: https://www.sos.arkansas.gov/uploads/elections/Arkansas_Election_Laws_and_Constitution_2025_Edition.pdf
• Ark. Code Ann. § 16-60-101(a) — General circuit-court venue: https://www.arkleg.state.ar.us/Acts/FTPDocument?path=%2FACTS%2F2015R%2FPublic%2F&file=830.pdf&ddBienniumSession=2015%2F2015R
• Arkansas Act 986 of 2017 — ADTPA actual financial loss and reliance requirements (not pleaded here): https://www.arkleg.state.ar.us/Acts/FTPDocument?path=%2FACTS%2F2017R%2FPublic%2F&file=986.pdf&ddBienniumSession=2017%2F2017R