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Colorado settlement with Wakefield & Associates over medical debt collection practices

Wakefield & Associates, LLCAugust 12, 2026Colorado Attorney General

Penalty Amount

$30,000

Consumers Affected

44

Summary

Colorado settled with Wakefield & Associates after finding it sought default judgments on medical debt without meeting legal protections, including providing evidence of the debt. The settlement requires Wakefield to vacate judgments against 44 accounts, meet notice and affidavit requirements before seeking new judgments, and pay $30,000 to the state.

Remedy

Wakefield must vacate default judgments entered against the 44 accounts and may not seek new judgments against those consumers until it provides legally compliant notices and affidavits. It must pay $30,000 to the state and follow the Colorado Fair Debt Collection Practices Act going forward.

Monetary PenaltyInjunction

Contract Impact

Review debt collection vendor and servicing agreements, as well as agreements with medical providers that authorize or support collections. Require vendors to verify and retain evidence of each debt, provide legally compliant notices and affidavits before pursuing litigation or default judgments, and obtain approval and documentation before filing. Add representations, audit and record-access rights, consumer complaint escalation, corrective-action obligations, and indemnity for violations of applicable debt collection laws; review customer-facing collection notices and procedures for consistency with those obligations.

Contract Search Terms

medical debt validationevidence of debtdefault judgment noticeaffidavit of debtcollection litigation authorizationColorado Fair Debt Collection Practices Act complianceconsumer dispute handlingdebt collection vendor obligations

Laws Cited

SB23-093Colorado Fair Debt Collection Practices Act

Violation Types

Entity Details

Entity

Wakefield & Associates, LLC

Industry

Other

Official Sources

Source Evidence

Entity Name
"Wakefield & Associates, LLC"
Fine Amount
"pay $30,000 to the state"
Laws Cited
"SB23-093"
Laws Cited
"the Colorado Fair Debt Collection Practices Act"
Violation Types
"Wakefield improperly filed for default judgment on medical debt against 44 Colorado accounts."
Remedy Summary
"Wakefield will vacate any default judgments entered against these accounts and cannot move to file new judgments until notices and affidavits compliant with the law are provided to those consumers."

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