Debt Buyer Dismisses $5,385 Lawsuit Against Consumer
August 2026
The Challenge
Our client was sued by Velocity Investments, LLC for $5,385.64 over an alleged debt that originated with another lender. Because Velocity was not the original lender, questions remained about whether the company could establish its right to pursue the debt against our client.Faced with a debt collection lawsuit and the possibility of a judgment against her, our client turned to Sanchez Law Firm.
Our Approach
Our attorneys challenged the lawsuit, including whether Velocity had established its legal right to pursue the alleged debt. Sanchez Law Firm continued defending our client as the case moved through the court system for more than two years and eventually approached trial.
The Outcome
The case was scheduled for trial in August 2026. Shortly before the matter was set to proceed, Velocity Investments asked the court to dismiss its lawsuit against our client.
On August 11, 2026, the court granted the request and dismissed the case without prejudice.
The $5,385.64 lawsuit was dismissed, and no judgment was entered against our client.
Practice area(s): Bankruptcy / Debt
Court: Harris County Precinct 4, Place 2

