Cases

Cases

Displaying 1 - 10 of 21
Case Name Overview Federal Court Case Documents
United States v. American Honda Finance Corporation (C.D. Cal.)

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)

California, Central District
Complaint
Settlement/Consent Decree
Settlement/Consent Decree
United States v. New Jersey Higher Ed. (D. N.J.)

On September 20, 2021, the United States filed a complaint and proposed consent decree in United States v. New Jersey Higher Ed. (D. N.J.).  The complaint alleges that the New Jersey Higher Education Student Assistance Authority violated the Servicemembers Civil Relief Act (“SCRA”) when it obtained improper student loan default judgments against two active duty servicemembers by filing affidavits with the court stating that the servicemembers were not in military service when they were, in fact, in military service.  The consent decree requires the state agency to pay $15,000 in damages to the each of the two servicemembers and a $20,000 civil penalty (total of $50,000), in addition to adopting various policy changes to prevent future SCRA violations.

Press Release (09/20/2021)

New Jersey, District of
Complaint
United States v. ASAP Towing & Storage Company (M.D. Fla.)

On October 15, 2020, the court entered a consent order resolving United States v. ASAP Towing & Storage Company (M.D. Fla.).  The complaint, filed on September 10, 2020, alleged that ASAP engaged in a pattern or practice of violating the Servicemembers Civil Relief Act (SCRA) by auctioning, selling or otherwise disposing of 33 vehicles owned by SCRA-protected servicemembers without court orders. The consent order requires ASAP to pay $99,500 to the servicemembers and $20,000 as a civil penalty.  The consent order has a term of five years and requires ASAP to use Vehicle Identification Numbers (VINs) to search publicly available databases to check for military status before auctioning off vehicles.

press release (9/10/20)

Florida, Middle District
Complaint
Settlement/Consent Decree
United States v. Western Rim Investors 2011-4, L.P. (W.D. Tex.)

On September 28, 2020, the United States filed a complaint and a consent order in United States v. Western Rim Investors 2011-4, L.P. , d/b/a The Estates At Briggs Ranch and Western Rim Investors 2011-3, L.P. d/b/a The Mansions At Briggs Ranch (W.D. Tex.).  The complaint alleges that two San Antonio-area landlords engaged in a pattern or practice of violating the Servicemembers Civil Relief Act (SCRA) by imposing early termination charges against servicemembers who terminated their residential leases after receiving qualifying military orders and by denying other servicemembers’ requests to terminate pursuant to the SCRA.  The consent order requires the defendants to pay over $71,000 to compensate 45 aggrieved servicemembers. Defendants will also pay a civil penalty of $64,715.  The consent order has a term of three years.  Defendants no longer own, lease or manage rental property; the consent order requires that they establish SCRA-compliant policies, procedures, and obtain training if they reenter that line of business.  The court entered the consent order on September 30, 2020.

press release (9/28/20)

Texas, Western District
Complaint
Settlement/Consent Decree
United States v. United Tows, LLC (N.D. Tex.)

On July 26, 2021, the court entered a consent decree in United States v. United Tows, LLC (N.D. Tex.).  The complaint, which was filed on September 28, 2020, alleges that United Tows, a Dallas-based towing company, violated the Servicemembers Civil Relief Act (SCRA), 50 U.S.C. § 3958, when it auctioned, sold or otherwise disposed of vehicles owned by SCRA-protected servicemembers without obtaining court orders.  Under the consent decree, United Tows must adopt new policies and implement new training requirements, pay a total of $40,000 to compensate five aggrieved servicemembers, and pay a $10,000 civil penalty to the U.S.

Press release (9/28/20)

Press release (7/23/21)

 

Texas, Northern District
Complaint
Settlement/Consent Decree
United States v. Conn Credit I, LP (S.D. Tex.)

On January 29, 2021, the court entered a proposed consent order in United States v. Conn Credit I, LP (S.D. Tex.).  The complaint, which was filed on  September 15, 2020, alleges that the defendants engaged in a pattern or practice of violating the Servicemembers Civil Relief Act (SCRA) by failing to lower the interest rate on consumer retail installment contracts to 6% for at least 184 SCRA-protected servicemembers. The consent order requires Conn Credit to refund all overcharged interest and pay an additional $500 to each servicemember and to pay $50,000 as a civil penalty.  The consent order has a term of three years and requires Conn Credit to hire an independent consultant to identify all affected servicemembers.

press release (9/15/20)

 

Texas, Southern District
Complaint
Settlement/Consent Decree
United States v. Father & Son Moving & Storage (D. Mass.)

On August 18, 2020, the United States filed a complaint in United States v. Father & Son Moving & Storage (D. Mass.).  The complaint alleges that the defendant violated 50 U.S.C. § 3958 by auctioning off the belongings of a United States Air Force Technical Sergeant who was deployed to Qatar, without a court order.  The auctioned belongings included the Technical Sergeant’s military gear and mementos that had belonged to his cousin who was killed in action while serving in the military, his grandfather’s military service medals, a dresser that was handmade by his great-grandfather, and his personal photographs.  The complaint alleges that this violation raises an issue of significant public importance. 

press release (8/18/20)

Massachusetts, District of
Complaint
United States v. Target Recovery Towing (M.D. Fla.)

On September 29, 2020, the court entered a consent order in United States v. Target Recovery Towing (M.D. Fla.).  The complaint, which was filed on August 18, 2020, alleges that the defendants violated the Servicemembers Civil Relief Act, 50 U.S.C. § 3958, by auctioning off a motor vehicle belonging to a United States Marine Corps Sergeant who was deployed to Japan, without a court order.  The consent decree requires the defendants to pay $17,500 to the servicemember and a civil penalty of $2,500, as well as to adopt new policies and procedures to avoid SCRA violations in the future. 

press release (8/18/20)

press release (9/22/20)

Florida, Middle District
Complaint
Settlement/Consent Decree
Derrick Strong v. City of Chicago Fire Department Illinois, Northern District
Complaint
United States v. Nissan Motor Acceptance Corp. (M.D. Tenn.)

On August 1, 2019, the United States filed a complaint and executed a settlement agreement in United States v. Nissan Motor Acceptance Corp. (M.D. Tenn.).  The complaint alleges that Nissan, which provides motor vehicle lending and leasing services, engaged in a pattern or practice of violating Section 3952 of the Servicemembers Civil Relief Act (“SCRA”) by repossessing vehicles owned by 113 protected servicemembers without the required court orders.  The complaint also alleges that Nissan engaged in a pattern or practice of violating Section 3955 of the SCRA by failing to refund lease amounts paid in advance in the form of capitalized cost reduction to servicemembers who terminated their leases early following receipt of qualifying military orders.  The settlement agreement requires Nissan to pay $2,937,971 in damages to servicemembers and a $62,029 civil penalty to the United States, for a total of $3 million.  The agreement also requires Nissan to adopt new polices and training to prevent future violations of the SCRA. 

press release (8/1/19)

Tennessee, Middle District
Complaint
Settlement/Consent Decree

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