URGENT: ARA Guidance on Risky Client Directives

–To Our ARA Members,

Use caution when receiving client directives. Whether from lenders, forwarders, or others, some instructions could place your business or employees in legal jeopardy.

The American Recovery Association will never support client instructions that require agents to violate local, state, or federal law or expose members to unnecessary legal risk.

You bear the financial burden when legal claims arise. Agents often carry the full cost regardless of where the instruction originated. Settlement costs continue rising, with many reaching $10,000 to $30,000 or more. This poses a serious risk to recovery businesses nationwide.

The ARA is actively working at the national level to demand clearer protections and indemnification language that shields agents from exposure. We are committed to holding lenders, forwarders, and industry partners accountable to ensure agents are protected and responsibility is properly shared when questionable instructions lead to legal or financial consequences.

In the meantime, take these steps:

• Stay informed and follow the law
• Carefully evaluate any directive that feels questionable
• Reject instructions that put you, your business, or your team at risk

Contact us if you have concerns or need guidance. Protecting our members remains our top priority.

American Recovery Association

Vaughn Clemmons, President

7750 N. MacArthur Blvd., Suite 120 -#321, Irving, TX 75063

PH: 972.755.4755, Fax: 972.870.5755 | www.repo.org

URGENT: ARA Guidance on Risky Client Directives – URGENT: ARA Guidance on Risky Client Directives – URGENT: ARA Guidance on Risky Client Directives

URGENT: ARA Guidance on Risky Client Directives –  American Recovery Association – ARA – Repossess – Repossession – Repossession Agency – Repossessor