Minnesota BMW Financial Services Vehicle Repo Class Action Settlement

A settlement has been proposed in a class action lawsuit alleging BMW Financial Services NA LLC and All Wheels Recovery Inc. repossessed vehicles without providing the affected parties with a right to cure notice prior to the repossession. This conduct allegedly violated the Fair Debt Collection Practices Act.

If you are a Minnesota consumer and your vehicle was repossessed between June 5, 2011 and Apr. 1, 2016 by or on behalf of BMW Financial Services, and you were not provided with a right to cure notice prior to the repossession, you may be eligible for compensation from the class action settlement.

Plaintiff Megan Nelson filed the vehicle repossession class action lawsuit after the defendants allegedly violated the FDCPA and the Minnesota common law of conversion by repossessing her car without providing her with a right to cure notice before the car was repossessed.

A right to cure notice informs the consumer that failure to adhere to the contract terms could result in repossession or other remedies that are provided for in the contract.

This notice informs the consumer of the right to pay the money they owe by a certain date. If the consumer pays down the debt, she can avoid having her vehicle repossessed.

The defendants deny the allegations and deny any wrongdoing. However, they have agreed to pay $1.4 million to settle the vehicle repossession class action lawsuit and avoid the burden and expense of ongoing litigation.

Under the terms of the proposed class action settlement, Class Members will be eligible to receive compensation ranging between $25 and $3,697 depending on certain factors, including the circumstances of the repossession, when the vehicle was repossessed and the total late payments that were made prior to the repossession.

BMW Financial Services will also ask the major credit reporting agencies to delete the tradeline for Class Members whose vehicles were repossessed involuntarily.

If you would like to object to or opt out of the vehicle repossession class action settlement, you must do so no later than Jan. 31, 2017.

Who’s Eligible

Class Members include: “All Minnesota consumers whose vehicles were repossessed between June 5, 2011 through April 1, 2016, by or on behalf of BMW Financial Services NA LLC, and who were not provided a right to cure notice prior to repossession.”

Potential Award

$25 – $3,697, depending on certain factors.

Class Members who made five or more total late payments may be eligible to receive approximately $2,697; Class Members who made four or fewer total payments may be eligible to receive approximately $1,000; and Class Members whose vehicles were subject to a voluntary repossession are eligible to receive approximately $25.

Each Class Member whose vehicle was repossessed, either voluntarily or involuntarily, between June 5, 2014 and April 1, 2016 may receive a payment of $1,000 in addition to the amounts described above.

These proposed payment amounts are estimations. The actual amount each Class Member will receive depends on the number of Address Verification Forms submitted and the total settlement costs.

Proof of Purchase

N/A

Claim Form

CLICK HERE TO FILE AN ADDRESS VERIFICATION FORM »

Claim Form Deadline

1/31/2017

NOTE: If you received notice of the settlement at your current mailing address or if the mailing address listed on your email notice is accurate, you do not need to submit an Address Verification Form to receive settlement benefits.

Case Name

Megan Nelson v. BMW Financial Services NA LLC, et al., Case No. 1:15-cv-02661, in the U.S. District Court for the District of Minnesota

Final Hearing

3/7/2017

Settlement Website

www.MinnesotaVehicleRepossessionSettlement.com

Claims Administrator

Nelson v. BMW Financial Services NA LLC
Settlement Administrator – Kurtzman Carson Consultants (KCC)
P.O. Box 43034
Providence, RI 02940-3034
1-888-863-1055

Class Counsel

CONSUMER JUSTICE CENTER PA

Defense Counsel

Counsel for BMW Financial Services:
Julia B. Strickland
Arjun P. Rao
STROOCK & STROOCK & LAVAN LLP

Counsel for All Wheels:
David J. Warden
Gregory A. Bromen
Stanley E. Siegel Jr.
NILAN JOHNSON LEWIS PA