Skip to main content
Case

United States v. American Honda Finance Corporation (C.D. Cal.)

Overview

On October 6, 2021, the court entered a consent order in United States v. American Honda Finance Corporation (C.D. Cal.).  The complaint, which was filed along with the proposed consent order on September 29, 2021, alleged that American Honda Finance Corporation violated the Servicemembers Civil Relief Act (SCRA) by failing to refund pre-paid lease amounts - in the form of capitalized cost reduction (“CCR”) from vehicle trade-in value – that were paid in advance by servicemembers who lawfully terminated their motor vehicle leases upon receipt of qualifying military orders.  The consent order requires Honda to pay $1,585,803.89 to 714 servicemembers, pay a $64,715 civil penalty to the United States, make changes to its lease termination and SCRA interest rate benefit policies, and provide employee training.

Press Release (9/29/2021)


Case Open Date
Case Name
United States v. American Honda Finance Corporation (C.D. Cal.)
Topics
Servicemembers Initiative
Civil Rights
Tags
  • 2:21-cv-07738; SCRA; Servicemembers Civil Relief Act; military orders; vehicle leases; deploy; Japanese corporation; capitalized cost reduction; CCR; Army Sargent; Manufacturer Contribution
Industry Code(s)
  • None
Updated October 8, 2021