Cheqnet Systems, Inc. v. State Board of Collection Agencies

Robert H. Dudley, Justice.

Appellant Cheqnet Systems, Inc., a collection business, purchases and takes assignments of dishonored checks which are payable to retail merchants. It collects the debt and charges the maker a service charge of $25.00. The State Board of Collection Agencies and the Attorney General made demand on appellant to cease charging in excess of $15.00 per dishonored check. Appellant filed this declaratory judgment suit and asked the circuit court to construe the applicable federal and state statutes to provide that it can lawfully impose a service charge in excess of $15.00.…