PALM TRAN INC AMALGAMATED TRANSIT UNION LOCAL 1577 PENSION PLAN v CREDIT ACCEPTANCE CORPORATION
Credit Acceptance Securities Litigation
Civil Case No. 20-12698

Frequently Asked Questions

 

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  • The Court authorized that the Notice be sent to you because you or someone in your family may have purchased or otherwise acquired Credit Acceptance publicly traded common stock during the period from May 4, 2018 through August 28, 2020, inclusive (the “Class Period”). Receipt of the Notice does not mean that you are a Member of the Settlement Class or that you will be entitled to receive a payment. The Parties do not have access to your individual investment information. If you wish to be eligible for a payment, you are required to submit the Claim Form that is being distributed with the Notice. See Question 8 in the Notice.

    The Court directed that the Notice be sent to Settlement Class Members because they have a right to know about the Settlement of this class action lawsuit.

  • The Settlement Class, certified by the Court, consists of:

    All persons and entities who or which purchased or otherwise acquired the publicly traded common stock of Credit Acceptance during the period from May 4, 2018 through August 28, 2020, inclusive, and who were damaged thereby.

    Excluded from the Class are: (i) Defendants; (ii) members of the Immediate Family of each of the Individual Defendants; (iii) any person who was an employee, officer or director of Credit Acceptance during the Class Period; (iv) any firm, trust, corporation, or other entity in which any Defendant has a controlling interest; (v) any subsidiary or affiliate of Credit Acceptance; and (vi) the legal representatives, heirs, successors-in-interest, or assigns of any such excluded person or entity, in their respective capacity as such

  • If you are uncertain whether you are a member of the Settlement Class, please contact the Claims Administrator at the toll free phone number 1-877-654-1993, email info@CreditAcceptanceSecuritiesSettlement.com or send a letter to:

    Credit Acceptance Securities Litigation
    c/o JND Legal Administration
    P.O. Box 91300
    Seattle, WA 98111

    Please note that neither Lead Counsel, Credit Acceptance, nor the Administrator have information about your transactions in Credit Acceptance common stock. If you do not have information regarding your transactions in Credit Acceptance common stock, you should contact your broker or investment manager to obtain such information.

  • On October 2, 2020, a securities class action complaint was filed in this Court by Palm Tran, Inc. Amalgamated Transit Union Local 1577 Pension Plan on behalf of investors in Credit Acceptance common stock.  Lead Plaintiff alleges that Defendants made false and misleading statements in violation of the Securities Exchange Act of 1934 regarding and Rule 10b-5 promulgated thereunder; and (ii) against all Individual Defendants for violations of Section 20(a) of the Exchange Act. Lead Plaintiff alleges that the Defendants made false and misleading statements or omissions that influenced the trading prices of Credit Acceptance publicly traded common stock during the Class Period.

  • In exchange for the Settlement and the release of the Released Claims against the Released Defendant Parties (see Question 9 of the Notice), Defendants have agreed to cause a $12 million cash payment to be made, which, along with any interest earned, will be distributed after deduction of Court-awarded attorneys’ fees and Litigation Expenses, Notice and Administration Expenses, Taxes, and any other fees or expenses approved by the Court (the “Net Settlement Fund”), to Settlement Class Members who submit valid and timely Claim Forms and are found to be eligible to receive a distribution from the Net Settlement Fund.

  • To qualify for a payment from the Net Settlement Fund, you must submit a timely and valid Claim Form.

    The Claim Filing Deadline was December 2, 2022, and has passed.

  • If you do nothing and you are a member of the Settlement Class, you will receive no money from this Settlement and you will be precluded from starting a lawsuit, continuing a lawsuit, or being part of any other lawsuit against Defendants and the other Released Defendant Parties concerning the Released Claims. To share in the Net Settlement Fund, you must have submitted a Claim Form.  To start, continue, or be part of any other lawsuit against Defendant or any of Released Defendant Parties concerning the Released Claims in this case, to the extent it is otherwise permissible to do so, you must have excluded yourself from the Settlement Class.

  • As a member of the Settlement Class, you will be represented by Lead Counsel who are:

    Labaton Sucharow LLP
    Michael P. Canty, Esq.
    140 Broadway
    New York, NY 10005

    Unless you hire your own personal lawyer, as a Settlement Class member you will not have any direct obligations to pay the costs of this lawsuit. All costs and expenses, including Lead Counsel’s attorneys’ fees, will be paid from the Settlement in the amount approved by the Court. 

  • The Court held the Settlement Hearing on December 7, 2022 at 1:00 p.m., remotely via Zoom video conference from Courtroom 206 of the United States District Court for the Eastern District of Michigan, Theodore Levin U.S. Courthouse, 231 W. Lafayette Blvd., Detroit, MI, 48226. At the hearing, the Honorable Linda V. Parker will consider whether: (i) the Settlement is fair, reasonable, adequate, and should be approved; (ii) the Plan of Allocation is fair and reasonable and should be approved; and (iii) the application of Lead Counsel for an award of attorneys’ fees and payment of Litigation Expenses is reasonable and should be approved. The Court approved the Settlement, the application for fees and expenses, and the Plan of Allocation.

  • If you received a Notice at an old address, or if you move, please advise the Administrator of your current address so that you can receive any future notices in the Action. Any change to your address should be mailed to:

    Credit Acceptance Securities Litigation
    c/o JND Legal Administration
    P.O. Box 91300
    Seattle, WA 98111

  • If, for the beneficial interest of any person or entity other than yourself, you purchased or acquired Credit Acceptance common stock, during the period from May 4, 2018 through August 28, 2020 inclusive, you MUST HAVE EITHER, (i) WITHIN TEN (10) CALENDAR DAYS of receipt of the Notice, request from the Administrator sufficient copies of the Notice to forward to all such beneficial owners and mail those Notices yourself WITHIN TEN (10) CALENDAR DAYS after receiving them, or (ii) WITHIN TEN (10) CALENDAR DAYS of receipt of the Notice, provided a list of the names, addresses, and email addresses (if available) of all such beneficial owners to the Administrator at CACSecurities@jndla.com. If you choose the first option, YOU MUST send a statement to the Administrator confirming that the mailings were made and YOU MUST retain your mailing records for use in connection with any further notice that may be provided in the Action. If you choose the second option, the Administrator will send a copy of the Notice to the beneficial owners. Upon FULL AND TIMELY compliance with these directions, such nominees may see reimbursement of their reasonable expenses actually incurred by providing the Administrator with proper documentation supporting the expenses for which reimbursement is sought.

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Mail

Credit Acceptance Securities Litigation
c/o JND Legal Administration
P.O. Box 91300
Seattle, WA 98111