Floyd Scott, V. American Express National Bank

Court of Appeals of Washington·Decided August 2, 2022·No. 55343-1·Published

Opinion

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(not the court’s final written decision)

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Filed

Washington State

Court of Appeals

Division Two

August 2, 2022

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON DIVISION II

FLOYD SCOTT, No. 55343-1-II Appellant,

v.

ORDER GRANTING

AMERICAN EXPRESS NATIONAL BANK; MOTIONS TO PUBLISH and SUTTELL & HAMMER P.S.; MALISA L. GURULE; NICHOLAS R. FILER; GALEN L. RYAN; JOHN P. REID; SAMANTHA J. BROWN; KAREN L HAMMER; ISAAC L. HAMMER; ERIN E. PATTERSON; ROBERT C. JINDRA; AND NICHOLAS K. WASSON; and RAQUEL HERNANDEZ,

Respondents.

Non-party movants, Igor Lukashin and the Northwest Consumer Law Center and Northwest Justice Project, filed motions to publish this court’s unpublished opinion filed on April 26, 2022. After consideration, it is hereby ORDERED that the motion to publish is granted.

FOR THE COURT: Jj. Worswick, Maxa, Lee

WORSWICK, JUDGE

Filed

Washington State

Court of Appeals

Division Two

April 26, 2022

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

DIVISION II

FLOYD SCOTT, No. 55343-1-II

Appellant,

v. UNPUBLISHED OPINION

AMERICAN EXPRESS NATIONAL BANK; and SUTTELL & HAMMER P.S.; MALISA L. GURULE; NICHOLAS R. FILER; GALEN L. RYAN; JOHN P. REID; SAMANTHA J. BROWN; KAREN L. HAMMER; ISAAC L. HAMMER; ERIN E. PATTERSON; ROBERT C. JINDRA; AND NICHOLAS K. WASSON; and RAQUEL HERNANDEZ,

Respondents.

WORSWICK, J. — American Express National Bank (Amex), filed a lawsuit against Floyd Scott for failing to repay credit card debt owed (Amex Action). After the Amex Action was dismissed for failure to prosecute, Scott sued Amex, an Amex employee, Raquel Hernandez, Suttell & Hammer law firm, and 10 individual attorneys of record employed by Suttell & Hammer for actions taken during the Amex Action. Scott alleged, among other things, that Suttell & Hammer intentionally inflicted emotional distress (IIED) and violated the Consumer Protection Act (CPA). The trial court dismissed Scott’s lawsuit under CR 12(b)(6), ruling his claims were barred by the immunity doctrine.

Scott appeals the order of dismissal, arguing that (1) the immunity doctrine does not apply, and (2) he pled sufficient facts to show he is entitled to relief under the CPA.

No. 55343-1-II

We affirm the trial court’s dismissal of all Scott’s claims against Hernandez and Amex, and we affirm the trial court’s dismissal of the IIED claim against Suttell & Hammer law firm and attorneys. But, we reverse the dismissal of the CPA claim against Suttell & Hammer law firm and attorneys and remand for further proceedings consistent with this opinion.

FACTS

In 2016, Amex, through its attorneys at Suttell & Hammer, filed a lawsuit against Scott in an attempt to collect a debt.1 The case was dismissed in May 2017 for failure to prosecute. Scott alleged that the trial court notified Suttell & Hammer of the dismissal but failed to notify him.

After the case was dismissed, Suttell & Hammer erroneously filed a motion for summary judgment, seeking repayment of the alleged debt owed to Amex. It was on the scheduled hearing day that Scott learned the case had been dismissed over two years previously.

Scott then filed this action against Amex, Raquel Hernandez, Suttell & Hammer, and 10 Suttell & Hammer attorneys. He alleged that the defendants committed “blatant and numerous legal abuses” in relation to “a debt collection lawsuit.” Suppl. Clerk’s Papers (CP) at 165. Specifically, Scott alleged that (1) defendants violated the CPA by (a) failing to allege or prove that they were duly licensed and bonded under RCW 19.16.260, (b) failing to contact Scott prior to serving the summons and complaint, (c) failing to incorporate the RCW 19.16.250(8)(c) requirements in the complaint, (d) failing to itemize the amount owing to include interest, costs, fees, and other charges, (e) threatening to take action against Scott, including threatening to obtain summary judgment in a dismissed action, and (f) filing Hernandez’s affidavit containing

1 Scott neither admits nor disputes that he owes this debt. Suppl. CP at 165 (“The legitimacy or illegitimacy of that debt claim is not at issue in this case.”).

No. 55343-1-II

inaccurate representations. Scott further alleged that (2) the defendants intentionally inflicted emotional distress on him by filing the Amex Action. All of the facts recited to support the claims in Scott’s complaint were performed in the Amex Action.

Scott voluntarily dismissed his claims against most of the individual attorneys, reserving his claims against Amex, Hernandez, Suttell & Hammer, and attorneys Nicholas Filer and Robert Jindra (collectively, Defendants). Scott’s first amended complaint pleaded the following allegations and facts in support of his remaining claims:

3.2 On information and belief, the principal purpose of Defendants’

respective businesses is the collection of debts.

....

4.5 Further, the [prior] Complaint states that Defendants Suttell, Gurule, Filer, Ryan, Reid, and Brown are debt collectors, and that the action was initiated by Defendants to collect a debt. . . .

4.6 Therefore, in [Amex Action], each of said Defendants was acting as a “collection agency” and was subject to all the requirements of the Collection Agency Act (“RCW Chapter 19.16” or “CAA”). RCW 19.16.100(4) and (12).

....

4.38 The Complaint, which Suttell, Gurule, Filer, Ryan, Reid, and Brown filed on or about February 16, 2016, was these Defendants’ first written communication with Scott.

....

5.19 Because Defendants attempt to collect debts allegedly owed by untold numbers of Washington citizens each year, and engage in the same nefarious practices described throughout this Complaint in many of those cases, the public interest is negatively impacted by the pattern of conduct engaged in by Defendants.

....

5.21 Plaintiff has been injured in his property. Over the nearly four year period from the date Defendants filed this action . . . Plaintiff expended 10’s of thousands of dollars.

Suppl. CP 165-170, 177.

No. 55343-1-II

The Defendants filed a motion to dismiss under CR 12(b)(6), alleging that (1) all the Defendants were immune from liability because they acted within a judicial proceeding, (2) Scott’s CPA claims fail because the Defendants’ actions do not impact the public and they did not cause Scott injury, and (3) Scott’s IIED claim fails because the filing of the motion for summary judgment was not outrageous conduct. The trial court granted the motion to dismiss with prejudice. Scott appeals the trial court’s order of dismissal.

ANALYSIS

I. STANDARD OF REVIEW

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