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Case TitleStecz-Hunter v. United States Department of Education et al
DistrictNorthern District of Texas
CityFort Worth
Case Number4:2019cv00142
Date Filed2019-02-15
Date Closed2019-11-13
JudgeJudge Mark Pittman
PlaintiffPhyllis Darlene Stecz-Hunter
Case DescriptionPhyllis Stecz-Hunter received a notice from the Department of Education that her wages were being garnished to help pay back her student loan. Stecz-Hunter submitted a FOIA request to the agency for a complete copy of her promissory note. The agency claimed the records had been sent to her, but Stecz-Hunter said she had not received them. After failing to come to terms with the agency, Stecz-Hunter filed suit.
Complaint issues: Failure to respond within statutory time limit, Litigation - Recovery of Costs

DefendantUnited States Department of Education
DefendantAllied Interstate LLC
DefendantAllied Interstate LLC
TERMINATED: 10/24/2019
DefendantMediator
ADR Provider
TERMINATED: 10/16/2019
Documents
Docket
Complaint
Opinion/Order [51]
FOIA Project Annotation: A federal court in Texas has ruled that the Department of Education properly responded to a request from Phyllis Darlene Stecz-Hunter for records on the consolidated promissory note for her student loans by providing her a copy of her Federal Direct Consolidated Loan and her loan history from the National Student Loan Database System. The court also found that Stecz-Hunter failed to exhaust her administrative remedies under both FOIA and the Privacy Act. Although the records disclosed to Stecz-Hunter indicated that the note itself did not contain the sub-total of her outstanding loans, Stecz-Hunter contacted a FOIA liaison at the agency, and was referred to Allied Interstate, the loan holder. When she contacted Allied Interstate, the company referred her back to the agency. She then asked the agency to either delete or correct her records but after hearing nothing further from the agency, she filed suit. Addressing her Privacy Act claims first, the court cited Ivey v. Duncan, 2014 WL 11256897 (D.D.C., Aug. 4, 2014), in which the district court found that Steven Ivey had failed to follow the Education Department's procedures for challenging a failure to correct or amend a Privacy Act record, as meaning that "only upon denial of that appeal may an individual then pursue judicial review of said denial. Hunter does not allege in her complaint or response that she exhausted her administrative remedies by appeals to the Secretary. Indeed, Hunter implicitly acknowledged in her response that she never filed a written appeal with the Secretary of Education, and she makes no allegation that she followed the U.S. Department of Education's appeals process under the Privacy Act. Because of her failure to appeal to the Secretary of Education, Hunter failed to exhaust her administrative remedies under the Privacy Act, and thus she cannot state a Privacy Act claim." Nevertheless, the court observed that Hunter was implicitly challenging the agency's failure to correct or amend her record when it did not respond to her request to correct or delete the information. Here, however, the court explained that "while Hunter was not satisfied with the note that was sent to her, DOE satisfied its duties under the Privacy Act by providing Hunter with a copy of her original promissory note. As Hunter has not shown that DOE failed to comply with the Privacy Act, [her allegation that the agency had failed to do so] does not prevent dismissal of Hunter's Privacy Act claims." Turning to the FOIA claim, the court dismissed it as well, noting that "Hunter contends that her promissory note is incomplete because it does not include two pages she previously filled out which contained a list of outstanding loans. However, the promissory note itself clearly states that the note will not contain a list of the amounts owed. Therefore, the Court finds that Hunter failed to carry her burden of stating a claim for which the Court can grant relief.
Issues: Litigation - Jurisdiction - Failure to Exhaust
User-contributed Documents
 
Docket Events (Hide)
Date FiledDoc #Docket Text

2019-02-151Plaintiff's Original COMPLAINT against Allied Interstate LLC, United States Department of Education filed by Phyllis Darlene Stecz-Hunter. (Filing fee $400; Receipt number FW032185) Unless exempted, attorneys who are not admitted to practice in the Northern District of Texas must seek admission promptly. Forms, instructions, and exemption information may be found at www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar Membership . If admission requirements are not satisfied within 21 days, the clerk will notify the presiding judge. (wrb) (Entered: 02/15/2019)
2019-02-152Summons issued as to Allied Interstate LLC, United States Department of Education, U.S. Attorney, and U.S. Attorney General. (wrb) (Entered: 02/15/2019)
2019-02-153New Case Notes: A filing fee has been paid. CASREF case referral set (see Special Order 3). Magistrate Judge Ray preliminarily assigned. No prior sanctions found. (For court use only - links to the national and circuit indexes.) File to: No court file needed. Pursuant to Misc. Order 6, Plaintiff is provided the Notice of Right to Consent to Proceed Before A U.S. Magistrate Judge. Clerk to provide copy to plaintiff if not received electronically. (wrb) (Entered: 02/15/2019)
2019-02-154Notice and Instruction to Pro Se Party (wrb) (Entered: 02/15/2019)
2019-02-15***Clerk's Notice of delivery: (see NEF for details) Docket No:3,4. cy to Stecz-Hunter Fri Feb 15 12:02:46 CST 2019 (crt) (Entered: 02/15/2019)
2019-02-255SUMMONS Returned Unexecuted as to All Defendants as to All Defendants. (Stecz-Hunter, Phyllis) (Entered: 02/25/2019)
2019-03-126NOTICE of Attorney Appearance by Anna-Katrina S Christakis on behalf of Allied Interstate LLC. (Filer confirms contact info in ECF is current.) (Christakis, Anna-Katrina) (Entered: 03/12/2019)
2019-03-127Unopposed Motion for Extension of Time to File Answer filed by Allied Interstate LLC (Attachments: # 1 Proposed Order) (Christakis, Anna-Katrina) (Entered: 03/12/2019)
2019-03-148Motion for Extension of Time to File Answer filed by United States Department of Education (Civins-DOJ, Braden) (Entered: 03/14/2019)
2019-03-159ORDER granting 7 Defendant Allied Interstate LLC's Unopposed Motion for Extension of Time to Answer or Otherwise Plead and 8 Defendant United States Department of Education's Unopposed Motion for Extension of Time to Answer or Otherwise Respond. Accordingly, Defendants are therefore ORDERED to file an answer or otherwise respond to the complaint on or before April 22, 2019. (Ordered by Magistrate Judge Hal R. Ray, Jr on 3/15/2019) (skg) (Entered: 03/15/2019)
2019-03-1510ORDER REQUIRING SCHEDULING CONFERENCE AND REPORT FOR CONTENTS OF SCHEDULING ORDER: The Joint Report shall be filed on or before April 12, 2019. (Ordered by Magistrate Judge Hal R. Ray, Jr on 3/15/2019) (skg) (Entered: 03/15/2019)
2019-04-0111MOTION for Stay of Administrative Wage Garnishment filed by Phyllis Darlene Stecz-Hunter. (Attachments: # 1 Proposed Order) (bdb) (Entered: 04/01/2019)
2019-04-1212Joint STATUS REPORT filed by United States Department of Education. (Civins-DOJ, Braden) (Entered: 04/12/2019)
2019-04-1213NOTICE of Attorney Appearance by Matthew O'Hair Stromquist on behalf of Allied Interstate LLC. (Filer confirms contact info in ECF is current.) (Stromquist, Matthew) (Entered: 04/12/2019)
2019-04-1714SCHEDULING ORDER: Joinder of Parties due by 5/17/2019. Amended Pleadings due by 7/12/2019. Motions due by 11/8/2019. Deadline for mediation is on or before 10/28/2019. Discovery due by 10/25/2019. Trial Date and Remaining Pretrial Schedule: This case was referred to the undersigned United States Magistrate Judge for pretrial management. The United States District Judge will set the trial date and the dates for the remaining pretrial schedule in a subsequent order. (Ordered by Magistrate Judge Hal R. Ray, Jr on 4/17/2019) (trt) (Entered: 04/17/2019)
2019-04-2215ANSWER to 1 Complaint,, filed by Allied Interstate LLC. Unless exempted, attorneys who are not admitted to practice in the Northern District of Texas must seek admission promptly. Forms and Instructions found at www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar Membership . If admission requirements are not satisfied within 21 days, the clerk will notify the presiding judge. (Stromquist, Matthew) (Entered: 04/22/2019)
2019-04-2216CERTIFICATE OF INTERESTED PERSONS/DISCLOSURE STATEMENT by Allied Interstate LLC identifying Corporate Parent/Other Affiliate iQor Holdings, Inc. for Allied Interstate LLC. (Stromquist, Matthew) (Entered: 04/22/2019)
2019-04-2217Amended ANSWER to 1 Complaint filed by Allied Interstate LLC. Unless exempted, attorneys who are not admitted to practice in the Northern District of Texas must seek admission promptly. Forms and Instructions found at www.txnd.uscourts.gov, or by clicking here: Attorney Information - Bar Membership . If admission requirements are not satisfied within 21 days, the clerk will notify the presiding judge. (Stromquist, Matthew) (Entered: 04/22/2019)
2019-04-2218Motion to Dismiss for Failure to State a Claim, MOTION to Dismiss for Lack of Jurisdiction () filed by United States Department of Education with Brief/Memorandum in Support. (Civins-DOJ, Braden) (Entered: 04/22/2019)
2019-04-2219Appendix in Support filed by United States Department of Education re 18 Motion to Dismiss for Failure to State a Claim MOTION to Dismiss for Lack of Jurisdiction (Civins-DOJ, Braden) (Entered: 04/22/2019)
2019-04-2220RESPONSE filed by United States Department of Education re: 11 MOTION for Stay of Administrative Wage Garnishment (Civins-DOJ, Braden) (Entered: 04/22/2019)
2019-04-2421ORDER: Before the Court is Defendant Department of Education's Motion to Dismiss and Brief in Support filed April 22, 2019. (ECF No. 18 ). Plaintiff shall file her response to the Motion on or before May 13, 2019. (Ordered by Magistrate Judge Hal R. Ray, Jr on 4/24/2019) (plp) (Entered: 04/24/2019)
2019-05-0622Appendix in Support filed by Phyllis Darlene Stecz-Hunter re 20 Response/Objection (Stecz-Hunter, Phyllis) (Entered: 05/06/2019)
2019-05-0623Brief/Memorandum in Support filed by Phyllis Darlene Stecz-Hunter re 20 Response/Objection (Stecz-Hunter, Phyllis) (Entered: 05/06/2019)
2019-05-1324Appendix in Support filed by Phyllis Darlene Stecz-Hunter re 18 Motion to Dismiss for Failure to State a Claim MOTION to Dismiss for Lack of Jurisdiction (Stecz-Hunter, Phyllis) (Entered: 05/13/2019)
2019-05-1325REPLY filed by Phyllis Darlene Stecz-Hunter re: 18 Motion to Dismiss for Failure to State a Claim MOTION to Dismiss for Lack of Jurisdiction (Stecz-Hunter, Phyllis) (Entered: 05/13/2019)
2019-05-2826REPLY filed by United States Department of Education re: 18 Motion to Dismiss for Failure to State a Claim MOTION to Dismiss for Lack of Jurisdiction (Civins-DOJ, Braden) (Entered: 05/28/2019)
2019-08-0827Special Order 3-329: On 8/8/19 the clerk is to reassign Fort Worth cases that are listed in the order and assigned to Senior District Judge McBryde and District Judge O'Connor to Judge Mark Pittman, and the cases will carry the suffix letter "P." (The clerk has mailed a copy to all non-ECF users.) (Ordered by Chief Judge Barbara M. G. Lynn on 8/8/2019) (cea) (Entered: 08/09/2019)
2019-09-2428First MOTION to Transfer Case out of District/Division filed by Phyllis Darlene Stecz-Hunter (Stecz-Hunter, Phyllis) (Entered: 09/24/2019)
2019-09-3029ORDER: A review of the record reveals that Defendant Allied Interstate, LLC is not in compliance with Local Rule 83.10(a). Accordingly, within fourteen days of this order, defendant shall file the entry of appearance of local counsel satisfying the requirements of Local Rule 83.10(a). Failure to do so may result in the imposition of sanctions and/or defendant's pleadings being stricken and default taken against defendant without further notice. (Ordered by Judge Mark Pittman on 9/30/2019) (zkc) (Entered: 09/30/2019)
2019-10-0230MOTION for Leave to Proceed Without Local Counsel filed by Allied Interstate LLC (Attachments: # 1 Proposed Order) (Stromquist, Matthew) (Entered: 10/02/2019)
2019-10-1031Supplemental Document by Allied Interstate LLC as to 30 MOTION for Leave to Proceed Without Local Counsel Amended Certificate of Conference . (Stromquist, Matthew) (Entered: 10/10/2019)
2019-10-1032ORDER denying 30 Unopposed Motion for Leave to Proceed without Local Counsel. Therefore, the Court ORDERS Defendant Allied Interstate LLC to file the entry of appearance of local counsel satisfying the requirements of Local Rule 83.10(a), no later than Friday, October 18, 2019. Failure to do so may result in the imposition of sanctions and/or Defendant Allied Interstate LLC's pleadings being stricken and default taken against Defendant Allied Interstate LLC without further notice. (Ordered by Judge Mark Pittman on 10/10/2019) (tln) (Entered: 10/10/2019)
2019-10-1433RESPONSE AND OBJECTION filed by Allied Interstate LLC re: 28 First MOTION to Transfer Case out of District/Division (Stromquist, Matthew) (Entered: 10/14/2019)
2019-10-1534Request to Strike Allied Interstate LLC's Opposition filed by Phyllis Darlene Stecz-Hunterto Plaintiff's MOTION to Transfer (Stecz-Hunter, Phyllis) Modified on 10/16/2019 (wrb). (Entered: 10/15/2019)
2019-10-1535NOTICE of Attorney Appearance by Alex E Brakefield on behalf of Allied Interstate LLC. (Filer confirms contact info in ECF is current.) (Brakefield, Alex) (Entered: 10/15/2019)
2019-10-1536RESPONSE filed by United States Department of Education re: 28 First MOTION to Transfer Case out of District/Division (Attachments: # 1 Proposed Order) (Civins-DOJ, Braden) (Entered: 10/15/2019)
2019-10-1637Alternative Dispute Resolution Summary filed by KAREN HUBBARD. Attorneys in Attendance: PHYLLIS DARLENE STECZ-HUNTER (PRO SE), BRADEN CIVINS; MATTHEW O'HAIR STROMQUIST. Prv Fee: $ $975. Outcome of ADR: Parties were unable to reach a settlement. (Hubbard, Karen) (Entered: 10/16/2019)
2019-10-1638NOTICE of Settlement Between Plaintiff and Allied Interstate LLC filed by Allied Interstate LLC (Stromquist, Matthew) (Entered: 10/16/2019)
2019-10-2139ORDER: Parties directed to file the appropriate dismissal papers or an agreed motion with corresponding proposed order by Nov 21 2019. If further proceeds becoming necessary or desirable, the parties should immediately file a joint status report with the Court. All deadlines pertaining to Allied Interstate LLC are stayed until further ordered by the Court. (Ordered by Judge Mark Pittman on 10/21/2019) (wrb) (Entered: 10/21/2019)
2019-10-2240MOTION to Quash or, Alternatively , MOTION for Protective Order () filed by United States Department of Education (Attachments: # 1 Exhibit(s)) (Civins-DOJ, Braden) (Entered: 10/22/2019)
2019-10-2241First MOTION to Extend Time discovery filed by Phyllis Darlene Stecz-Hunter (Attachments: # 1 Exhibit(s), # 2 Exhibit(s)) (Stecz-Hunter, Phyllis) (Entered: 10/22/2019)
2019-10-2342NOTICE of Joint Mediation Report filed by Allied Interstate LLC (Stromquist, Matthew) (Entered: 10/23/2019)
2019-10-2443STIPULATION OF DISMISSAL with Prejudice of All Claims Against Defendant Allied Interstate LLC by Allied Interstate LLC. (Stromquist, Matthew) (Entered: 10/24/2019)
2019-10-2444ORDER granting 40 Motion to Quash...Plaintiff's Notice of Rule 30(b)(6) deposition is quashed. (Ordered by Judge Mark Pittman on 10/24/2019) (wrb) (Entered: 10/24/2019)
2019-10-2445ORDER denying 41 Motion to Extend Time. (Ordered by Judge Mark Pittman on 10/24/2019) (wrb) (Entered: 10/24/2019)
2019-11-0846MOTION for Summary Judgment filed by United States Department of Education (Civins-DOJ, Braden) (Entered: 11/08/2019)
2019-11-0847Brief/Memorandum in Support filed by United States Department of Education re 46 MOTION for Summary Judgment (Civins-DOJ, Braden) (Entered: 11/08/2019)
2019-11-0848First MOTION for Summary Judgment filed by Phyllis Darlene Stecz-Hunter with Brief/Memorandum in Support. (Attachments: # 1 Exhibit(s), # 2 Exhibit(s)) (Stecz-Hunter, Phyllis) (Entered: 11/08/2019)
2019-11-1150First MOTION for Summary Judgment appendix filed by Phyllis Darlene Stecz-Hunter with Brief/Memorandum in Support. (Attachments: # 1 Exhibit(s), # 2 Exhibit(s)) (Stecz-Hunter, Phyllis) (Entered: 11/11/2019)
2019-11-1351Memorandum Opinion and Order...DOE's Motion to Dismiss 18 should be granted. Hunter's claims against DOE are dismissed with prejudice. (Ordered by Judge Mark Pittman on 11/13/2019) (wrb) (Entered: 11/13/2019)
2019-11-1352FINAL JUDGMENT...action dismissed with prejudice. All costs and expenses taxed against party incurring same. (Ordered by Judge Mark Pittman on 11/13/2019) (wrb) (Entered: 11/13/2019)
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