Perhaps in a very long term after there is an outcry against bogus and erroneus debt lawsuits.
> Previously, the reason for not collecting debt was due to the higher cost of legal action, resulting in people using a variety of methods from simple reminders and payment plan offers, to intimidiation and threats.
Now in addition to reminders, payment plan offers and bogus threats, they can also use the state to intimidate and jail debtors. Might as well just start a debtor jail like in Saudi Arabia.
> Now that legal action is cheaper, courts will be requiring much more is done to ensure accuracy and fair representation.
Somehow I see the opposite happening, at least in the short term. The cheaper it is the more errors will be commited. Any little debt collection agency can acquire, sell and re-sell these databases of debt-ors. In the process spreading and entering bogus data and errors. The justice seems to be cheaper for the debt collector who can fire off lawsuites from a database table, but I don't see this being cheaper the debt-ors. This is just the collection agencies getting the state to do their job for them.
> Cheap and effective justice is something to be praised, and in this case will eventually reduce the cost of credit too.
I agree as long as debt-ors also get to benefit from it not just the collectors. Collectors should not be able to file lawsuits in Alaska or Hawaii for debtors that live in Florida for example. Someone has to make sure the debtor received their summons so they know there is a court case they can go to and defend themselves.
To summarize, I think cheap justice will also mean a lower quality justice or justice that benefits only one party.