Converging Capital, LLC v. Michael Matthews

This appeal involves the attempt of Converging Capital, LLC, to collect an alleged credit card debt of Michael Matthews. Converging Capital alleged that it owned the debt as a result of a sale of certain accounts receivable from Pilot Receivables Management, LLC, which had earlier bought the debt from Citibank, the issuer of Matthews’s alleged MasterCard account. During the trial, Converging Capital presented the testimony of its records administrator. Matthews objected to the introduction of the bills of sale and assignment, and several credit card statements, on hearsay grounds. He also argued that Converging Capital failed to establish that his debt, if any, was included in the sales of the accounts receivable. The trial court overruled these objections and entered judgment against Matthews in the amount of the alleged debt, $55,684.88. We find that Converging Capital failed to meet its burden of proving that it owned the debt. Consequently, we reverse the judgment of the trial court and dismiss Converging Capital’s complaint with prejudice. Costs are assessed against Converging Capital.