Relating to the collection of consumer debt incurred by certain individuals as a result of identity theft.

Contracts

• Debt Sale Agreements: Must be amended to explicitly exclude accounts subject to ID theft court orders from portfolio sales; selling these accounts is now statutorily prohibited.
• Third-Party MSAs: Vendor contracts must be updated to require immediate cessation of collection and return of accounts within 24-48 hours of notification to ensure the creditor meets the 7-day statutory cap.

Hiring/Training

• Frontline Triage: Train intake staff to distinguish between a standard police report (insufficient) and a Section 521.103 Court Order (mandatory stop).
• Legal Review: Establish a rapid escalation path for out-of-state court orders to Legal Counsel to determine validity under the "substantially similar" standard.

Reporting & Record-Keeping

• CRA Notification: Implement a specific workflow to notify all Credit Reporting Agencies that the debt is "disputed and not collectible" within 7 business days of receiving the order.
• Audit Trail: Maintain a precise log of the date/time the court order was received and the date/time the CRA notice was sent to establish an affirmative defense against potential litigation.

Fees & Costs

• Write-Offs: Budget for total loss on unsecured balances; deficiency balances on repossessed assets are legally uncollectible from the victim.
• Subrogation: Allocate resources for potential civil suits against the identified identity theft perpetrator, as the statute explicitly grants standing for this.