Cases
Larry Green v. Watermark Solutions
Dwayne Coffer v. Warren County Board of Education
Lindsey Hunger v. Walmart Inc.
Louis P. Rego v. Maimonides Medical Center
United States v. Belshaw (C.D. Cal.)
On April 11, 2018, the United States entered into a settlement agreement resolving United States v. Belshaw (C.D. Cal.). The complaint, which was filed on April 10, 2018, alleged that a California landlord violated the Servicemembers Civil Relief Act ( SCRA) when he refused to return pet and key deposits to a United States Air Force Lieutenant after he lawfully terminated his lease prior to move-in upon receipt of military orders requiring him to relocate to Texas. Under the settlement agreement, Daniel Belshaw must pay $2,595 in damages to the servicemember, pay a civil penalty of $1,595 to the United States, adopt lease language that complies with the SCRA, report to the United States on SCRA compliance, and refrain from engaging in future SCRA violations. The case was primarily handled by the United States Attorney’s Office.
Press Release (4/11/18)
United States v. California Auto Finance (C.D. Cal.)
On March 6, 2019, the Division, together with the United States Attorney’s Office, filed a proposed consent decree in United States v. California Auto Finance (C.D. Cal.). The complaint, filed on March 28, 2018, alleged that Defendant California Auto Finance, a subprime auto lender in Orange County, CA, violated the Servicemember Civil Relief Act (SCRA) by repossessing protected servicemembers’ motor vehicles without obtaining the necessary court orders. On June 14, 2018, the complaint was amended to include a related entity called 3rd Generation, Inc. as a defendant. The consent order requires that the defendants adopt new repossession policies, pay one servicemember $30,000, and pay a $50,000 civil penalty to the United States.
Derrick Strong v. City of Chicago
Derrick Strong v. City of Chicago Fire Department
United States v. BMW Financial Services (D. N.J.)
On February 22, 2018, the United States filed a complaint and entered into a settlement agreement in United States v. BMW Financial Services (D. N.J.), a Servicemembers Civil Relief Act pattern or practice case that alleges failure to refund pre-paid lease amounts to servicemembers who terminated their motor vehicle leases early after receiving military orders. The settlement agreement requires BMW FS to pay $2,165,518.84 to 492 servicemembers and $60,788 to the United States Treasury. The agreement also includes non-monetary relief, including changes in BMW FS’s lease termination policies to ensure that required refunds are provided, and employee training.
United States v. City and County of Honolulu, PM Autoworks Inc, d/b/a All Island Towing (D. Haw.)
On February 15, 2018, the United States filed a complaint and entered into a settlement agreement in United States v. City and County of Honolulu Autoworks Inc, d/b/a All Island Towing (D. Haw.) resolving allegations that Honolulu and its contracted towing company violated the Servicemembers Civil Relief Act. The complaint alleges that Honolulu and All Island Automotive Towing violated the Servicemembers Civil Relief Act by auctioning or otherwise disposing of cars owned by protected servicemembers without first obtaining the required court orders. The settlement agreement requires Honolulu to adopt new SCRA-compliant procedures, compensate three servicemembers a total of $55,857.95 for unlawfully auctioning off their cars and personal effects while they were deployed, establish a $150,000 settlement fund to compensate other servicemembers whose rights may have been violated, and pay a $60,788 civil penalty to the United States.
United States v. Northwest Trustee Services, Inc. (W.D. Wash.)
On September 26, 2018, the United States entered into a settlement agreement resolving the allegations in United States v. Northwest Trustee Services, Inc. (W.D. Wash.). The complaint, which was filed on November 9, 2017, and amended on January 8, 2018, alleged that a company that provided foreclosure services to mortgage lenders in the Western United States violated the Servicemembers Civil Relief Act by foreclosing on 28 homes owned by protected servicemembers without first obtaining the required court orders. The settlement agreement requires Northwest Trustee, which has gone out of business and is in state receivership proceedings, to pay up to $750,000 to the aggrieved servicemembers.