Rent Recovery Solutions (RRS) is a debt collection agency that specializes in collecting unpaid rental debts. If a tenant has outstanding rent, fees, or charges after moving out of a rental property, landlords or property management companies may turn the debt over to Rent Recovery Solutions. The company then attempts to collect on the debt, and in some cases, may initiate legal action in the form of a lawsuit against the tenant to recover the funds. Being served with a lawsuit from Rent Recovery Solutions can be overwhelming, but understanding the process and your options is essential to defending your rights.

What is Rent Recovery Solutions?

Rent Recovery Solutions is a third-party collection agency that works primarily on behalf of landlords and property management companies. Their goal is to collect unpaid rent, damages, or fees that were not settled by tenants at the end of their lease term. Common issues that lead to accounts being turned over to RRS include:

1. Unpaid rent: This is the most common type of debt. If you move out of a rental property and still owe rent, the landlord may send your account to RRS for collection.
2. Damage charges: Landlords often charge for damages beyond normal wear and tear. If they believe you owe money for repairs after vacating, they may turn the claim over to a collection agency.
3. Early lease termination fees: If you broke your lease early, landlords may charge fees outlined in the lease agreement, which can also lead to collection efforts.

How the Collection Process Works

When your debt is sent to Rent Recovery Solutions, they will likely contact you by phone, email, or mail in an attempt to collect payment. You may receive notices detailing the debt, the original creditor (your former landlord), and the total amount owed. If you fail to respond to these attempts to resolve the debt, Rent Recovery Solutions may take further action, such as filing a lawsuit to recover the unpaid balance.

A lawsuit can be particularly stressful because it involves the court system and may lead to a judgment against you if you fail to respond appropriately. A judgment can result in wage garnishment, liens on your property, and a significant hit to your credit score.

What Happens When You’re Sued?

If Rent Recovery Solutions files a lawsuit against you, it is crucial to take the matter seriously. Here’s what typically happens during a lawsuit:

1. You Receive a Summons and Complaint: A lawsuit begins with the service of legal documents called a summons and complaint. The summons informs you that you are being sued, and the complaint outlines the reasons for the lawsuit, the amount of money being sought, and any other details relevant to the case.
2. You Must Respond: Once you’ve been served with the lawsuit, you have a limited amount of time to respond, usually 20 to 30 days depending on your state’s laws. Failing to respond can result in a default judgment against you, meaning the court automatically rules in favor of Rent Recovery Solutions. This is why it’s essential to act quickly.
3. Defending Yourself in Court: If you choose to fight the lawsuit, you can file an answer with the court. In this answer, you can dispute the amount owed or raise defenses. For example, you might argue that the charges for damages were excessive, or that the debt was sent to collections in error. If you have documentation, such as proof of payment or evidence that you gave proper notice to your landlord, it can strengthen your case.
4. Possible Settlement: Sometimes, it’s possible to negotiate a settlement with Rent Recovery Solutions either before the court date or during the lawsuit process. A settlement may involve paying a reduced amount or agreeing to a payment plan to avoid going to trial.

Court Judgment: If the case goes to trial and the court finds in favor of Rent Recovery Solutions, a judgment will be issued against you. This means you’ll be legally obligated to pay the amount specified, along with any additional costs, such as court fees or attorney’s fees.