The Third Circuit on Tuesday reversed in part a lower court’s decision in a class action establishing precedent that FDCPA protections extend to foreclosure complaints.

The Third Circuit on Tuesday reversed in part a lower court’s decision in a class action alleging violations of the Fair Debt Collection Practices Act by Bank of America NA and a New Jersey law firm over assessing not yet incurred fees, establishing precedent that FDCPA protections extend to foreclosure complaints.

Law360, New York (April 08, 2015, 2:43 PM ET) The Third Circuit on Tuesday reversed in part a lower court’s decision in a class action alleging violations of the Fair Debt Collection Practices Act by Bank of America NA and a New Jersey law firm over assessing not yet incurred fees, establishing precedent that FDCPA protections extend to foreclosure complaints.

The three-judge panel ruled that a Pennsylvania homeowner, who became delinquent on home loan payments to BofA, had his rights under the FDCPA violated when Udren Law Offices PC, on behalf of the bank, filed a foreclosure complaint against him and included fees that he had not yet incurred but would within the coming months.

The appellate court ruled that Dale Kaymark sufficiently pled that the disputed fees constituted actionable misrepresentation under the act and reversed the lower court order on the FDCPA-related claims, saying that it is well-established in the the Third Circuit that the FDCPA covers attorneys engaged in debt collection litigation.