Search
Search through the thousands of lawsuits, complaints and recalls on our site.

Florida Residents Claim Ford Charges Bogus "Taxes" On Auto Leases

Report Fraud
Case ID: 2867 | Credit / Debt | 07/26/2004

A class action has been filed against the Ford Motor Credit Company on behalf of all Florida residents who leased cars from Ford between October 16, 1998, and October 16, 2003, and who paid "taxes" on itemized fees for wear and tear, excessive mileage and disposition of the vehicles at the end of their lease. The lessees claim that these "taxes" were merely hidden fees and that Ford either pocketed the "tax" money, or benefited from it prior to forwarding it to the Department of Revenue. The action alleges that Ford violated several laws--the federal Consumer Leasing Act and Florida's unfair and deceptive trade practices act and revenue act. The action further claims that Ford's conduct amounted to a breach of contract in which Ford was unjustly enriched. The lessees are seeking actual and statutory damages (or, in the alternative, the return of the tax funds) and injunctive and declaratory relief.

Under Ford's vehicle lease agreement, consumers are responsible for paying for excessive wear and tear on vehicles, mileage in excess of the agreement and a disposition fee. All of these fees are collected at the lease end. While not disputing these fees, the lessees allege that Ford charged taxes on the monies collected for these fees. Under Florida law, any service charge or fee that can be added or avoided by the actions or the decision of a vendee or lessee is not taxable. The lessees observe that, under this rule, they could have avoided the excess charges by taking better care of the vehicles or by not driving the vehicles beyond the agreed upon mileage. The lessees also note that they could have avoided the disposition fee by buying or re-leasing the vehicle at the end of the lease term. Accordingly, the action claims that monies paid for these fees are not taxable.

The lessees also claim that these taxes were not provided for under the terms of the lease and are, in effect, hidden charges that Ford has levied in order to defraud consumers and unjustly enrich itself. Ford's failure to disclose these fees allegedly violates the federal consumer leasing act. Additionally, the lessees assert that Ford either pocketed the "taxes" or benefited from them prior to their being transferred to the state department of revenue. This, allegedly, amounts to a breach of contract and unjust enrichment under Florida law.


At Lawcash.com, it is our goal to keep you informed about important legal cases, class actions and settlements. Our lawyers offer free legal evaluations in tort cases, class actions, personal injury, and other lawsuits because we are dedicated to helping you resolve your legal complaints.

Other Credit / Debt Cases of Interest

A statewide class action has been filed in Indiana against the law firm of Blume, Connelly, Jordan & Stucky, LLP. The action is brought on behalf of all Indiana consumers who received "form" type collection letters from the firm. The action is brought under the Fair Debt Collection Practices Act and seeks statutory damages as well as injunctive and declaratory relief.
 
Chevy Chase Bank has settled a seven-year-old class-action lawsuit that could affect hundreds of thousands of credit card holders who say they were charged late fees and excessive interest rates that were not part of their agreements with the bank.
 
A statewide class action, with possible national reach, has been filed in Indiana against Collection Specialists, Inc., collection attorney Alan R. Miller, Saint John's Health System and its director of accounts receivable, Philip D. Hilger. The action is brought on behalf of all individuals who have been subject to alleged illegal, intimidating, misleading and deceptive collection practices on the part of the named collectors. The action is brought under the federal Fair Debt Collection Practices Act, Indiana state law on statutory deception and breach of contract and the federal Racketeer Influenced and Corrupt Organizations Act (RICO) and seeks actual, enhanced, treble and statutory damages as well as injunctive and declaratory relief.
 
A statewide class action has been filed in Indiana against the Millikan Law Office and James E. Millikan. The action is brought on behalf of all Indiana residents who have had litigation initiated against them by Millikan in an effort to collect a debt. The action is brought under the federal Fair Labor Standards Act and seeks statutory damages as well as injunctive and declaratory relief.
 
A class action lawsuit has been filed on behalf of loan originators at Kansas based Bank of Blue Valley, Inc. The loan originators claim that they were supervised, treated, and controlled in the same manner as employees, and required to work hours far in excess of 40 per week. Notwithstanding this, the originators claim, they were paid as independent contractors on a commission basis and the amounts paid were far less than what would be required for employees, for straight pay and overtime, under federal labor laws. The loan originators seek back pay and other damages.
 
On October 29, 2004, the court dismissed a class action that had been filed against Citibank, Toyota and several debt purchasing and collection services, alleging that these companies have engaged in a systematic and intentional violation of federal law by attempting to collect debts from customers who have filed for bankruptcy and thus received an automatic stay regarding their debts pending discharge.
 
Become a LawCash Member - FREE!
'Find Money' E-Book
Weekly Email Alerts




privacy policy
YouNewz Beta
IT'S FREE

Report

Report Newz and easily upload your own newzworthy photos from your cell phone or computer to the web.

Share

Quickly share your photos with family, friends, co-workers, or the world with your own Newzpaper.

Read

Instantly find Newz and photos from other YouNewzers and read other YouNewzers Newzpapers.
 
Class Action Lawsuit Center || Product Recall Center || Consumer Complaint Center || About LawCash Link Exchange
Privacy Policy || Legal Policies || Terms & Conditions || Website Advertising Policy || Site Map || Top Lawsuits
LawCash® is a service of nola3, llc
© 2000 - 2008 Copyright. All rights reserved nola3, llc.

[ Home ]
LawCash
login
Justice is a click away.