Credit Acceptance Corp Default Judgment Class Action Settlement
Class Members of the Credit Acceptance settlement include “all Arkansas residents who, since January 1, 2004, were (1) defendants to a debt collection civil action filed by Credit Acceptance in an Arkansas court, (2) wherein a Summons was issued incorrectly advising the defendant that an incarcerated person must file an answer within 30 days, and (3) where the defendant had a Default Judgment entered against him or her and in favor of Credit Acceptance.”
Proof of Purchase
Stivers v. Credit Acceptance CorporationCase No. CV2015-631 IIICircuit Court of Garland County, Arkansas
According to the settlement Credit Acceptance Corporation obtained default judgments that are invalid under Arkansas law.
According to the lawsuit the summonses indicated that defendants in prison or jail had 30 days to file a written answer. However, under Arkansas law, incarcerated defendants have up to 60 days to file an answer.
Credit Acceptance denies any wrongdoing but agreed to settle the improper debt collection class action lawsuit to avoid the expense and uncertainty of ongoing litigation.