Oliver Complot and Corina Tolamaa v. Credit Control, LLC and LVNV Funding LLC

District Court, D. Arizona·Decided June 23, 2026·No. 2:25-cv-00255·Unknown

Opinion

WO

Oliver Complot and Corina Tolamaa, No. CV-25-00255-PHX-SMB

Plaintiffs, ORDER

v.

Credit Control, LLC and LVNV Funding LLC, Defendants.

Before the Court is Plaintiffs’ Motion for Reconsideration of the Court’s order granting Defendants’ Motions to Dismiss (Doc. 58). Also pending are Defendants LVNV Funding, LLC’s and Credit Control, LLC’s Motions to Dismiss Plaintiffs’ Second Amended Complaint (“SAC”) (Docs. 60, 62). The Court denies Plaintiffs’ Motion and grants in part and denies in part Defendants’ Motions for the following reasons. I. BACKGROUND This Court’s prior order dismissed with prejudice Plaintiffs’ state claims against all Defendants and Plaintiffs’ individual claims against U.S. Bank. (Doc. 57 at 22.) The Court only granted Plaintiffs leave to amend their Fair Debt Collection Practices Act (“FDCPA”) claims against LVNV and Credit Control. (Id.) Plaintiffs have since filed a Motion for Reconsideration and their SAC. (Docs. 58, 59.) The remaining Defendants again move to dismiss. (Docs. 60, 62.) A. Motion for Reconsideration “The Court has discretion to reconsider and vacate a prior order.” Motorola, Inc. v. J.B. Rodgers Mech. Contractors, 215 F.R.D. 581, 582 (D. Ariz. 2003). However, “[m]otions for reconsideration are disfavored,” id., and “are appropriate only in rare circumstances.” 333 W. Thomas Med. Bldg. Enters. v. Soetantyo, 976 F. Supp. 1298, 1302 (D. Ariz. 1995). Accordingly, “[a] motion for reconsideration should not be used to ask the court to rethink what the court had already thought through—rightly or wrongly.” Id. (citation modified). Instead, these motions are only appropriate where the Court: “(1) is presented with newly discovered evidence, (2) committed clear error or the initial decision was manifestly unjust”; (3) is presented with “an intervening change in controlling law”; or (4) is otherwise presented with “other, highly unusual, circumstances warranting reconsideration.” Sch. Dist. No. 1J Multnomah Cnty. v. ACandS, Inc., 5 F.3d 1255, 1263 (9th Cir. 1993). B. Motion to Dismiss To survive a Rule 12(b)(6) motion for failure to state a claim, a complaint must meet the requirements of Rule 8(a)(2). Rule 8(a)(2) requires a “short and plain statement of the claim showing that the pleader is entitled to relief,” so that the defendant has “fair notice of what the . . . claim is and the grounds upon which it rests.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555 (2007) (alteration in original) (quoting Conley v. Gibson, 355 U.S. 41, 47 (1957)). This notice exists if the pleader sets forth “factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). “Threadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice.” Id. Dismissal under Rule 12(b)(6) “can be based on the lack of a cognizable legal theory or the absence of sufficient facts alleged under a cognizable legal theory.” Balistreri v. Pacifica Police Dep’t, 901 F.2d 696, 699 (9th Cir. 1988). A complaint that sets forth a cognizable legal theory will survive a motion to dismiss if it contains sufficient factual matter, which, if accepted as true, states a claim to relief that is “plausible on its face.” Iqbal, 556 U.S. at 678 (quoting Twombly, 550 U.S. at 570). Plausibility does not equal “probability,” but requires “more than a sheer possibility that a defendant has acted unlawfully.” Id. “Where a complaint pleads facts that are ‘merely consistent with’ a defendant’s liability, it ‘stops short of the line between possibility and plausibility . . . .’” Id. (quoting Twombly, 550 U.S. at 557). In ruling on a Rule 12(b)(6) motion to dismiss, the well-pleaded factual allegations are taken as true and construed in the light most favorable to the nonmoving party. Cousins v. Lockyer, 568 F.3d 1063, 1067 (9th Cir. 2009). However, legal conclusions couched as factual allegations are not given a presumption of truthfulness, and “conclusory allegations of law and unwarranted inferences are not sufficient to defeat a motion to dismiss.” Pareto v. FDIC, 139 F.3d 696, 699 (9th Cir. 1998). A court ordinarily may not consider evidence outside the pleadings when ruling on a Rule 12(b)(6) motion to dismiss. See United States v. Ritchie, 342 F.3d 903, 907 (9th Cir. 2003). “A court may, however, consider materials—documents attached to the complaint, documents incorporated by reference in the complaint, or matters of judicial notice—without converting the motion to dismiss into a motion for summary judgment.” Id. at 908. A. Motion for Reconsideration The Court first addresses Plaintiffs’ Motion for Reconsideration. Plaintiffs argue the Court committed clear error by dismissing their Fair Credit Reporting Act (“FCRA”) claims against U.S. Bank, and finding their accord and satisfaction argument insufficient. (Doc. 58 at 1.) The Court finds it did not err in either respect. The Court reviewed its Order and finds that it did not err in concluding that Plaintiffs failed to show that U.S. Banks’ reporting was patently incorrect or misleading in violation of the FCRA. The Court rejected Plaintiffs’ accord and satisfaction arguments because Plaintiffs failed to allege any facts in support of this contention. Plaintiffs disagree and aver the Court overlooked specific allegations in their First Amended Complaint (“FAC”). To evidence this, Plaintiffs’ Motion presents two alleged quotes from paragraphs 75 and 76 of their FAC (Doc. 8). These “quotes,” however, do not exist. The Court compares Plaintiffs’ fabricated quotes with what actually appears in paragraphs 75 and 76 of the FAC. Fabricated Quotes Attributed to ¶¶ 75, 76 Actual Quotes from ¶¶ 75, 76 75: “USB cashed the January 15, 2024 75: “Credit and Moore did this in settlement check of $100, manifesting furtherance of their business as acceptance of the accord and satisfaction terms abusive debt collectors who disregard under controlling Minnesota law. Under T.B.M. consumer protection laws.” (Doc. 8 Props., 346 N.W.2d 203 (Minn.), ‘if a creditor at 49.) receives a check that was sent on the condition that it will be accepted as full payment, he or she either must decline the offer and return the check or accept it pursuant to the condition expressed on it.’” (Doc. 58 at 9–10.) 76: “On June 8, 2024, plaintiff sent USB a 76: “The negligence was reasonably second settlement offer stating: ‘Cashing foreseeable. The defendants failed at constitutes full satisfaction of all alleged communicating that information amounts for all alleged accounts associated with (FDCPA). It was relied upon to chart the undersigned’s name at your a course of action as a least organization/enterprise. It is a waiver of all sophisticated consumer and was previously alleged and purported justified in relying on material contracts/agreements/judgements/fees/costs/any representations. The representations liability against any interested parties.’ 1” (Doc. caused confusion, despair, and 58 at 10.) willfully humiliated as alleged throughout.” (Doc. 8 at 50.)

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Oliver Complot and Corina Tolamaa v. Credit Control, LLC and LVNV Funding LLC, (D. Ariz. 2026).

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