Palm Tran, Inc. Amalgamated Transit Union Loc. 1577 Pension Plan v. Credit Acceptance Corp.

On July 22, 2021, Lead Plaintiffs Ontario Provincial Council of Carpenters’ Pension Trust Fund and Millwright Regional Council of Ontario Pension Trust Fund filed an Amended Class Action Complaint for Violations of the Federal Securities Laws (the Complaint), against Credit Acceptance Corporation and two individual defendants, alleging violations of Sections 10(b) and 20(a) of the Securities Exchange Act, 15 U.S.C. §§78j(b) and 78t(a), and Rule 10b-5 promulgated thereunder by the SEC.

On September 2, 2021, Defendants moved to dismiss all claims asserted against them in the Complaint and on October 14, 2021, Lead Plaintiffs opposed the Motion to Dismiss.  On November 11, 2021, Defendants filed a reply in further support of their Motion to Dismiss.

On April 1, 2022, Lead Plaintiffs and Defendants met with a Mediator in an attempt to reach a settlement.  Lead Plaintiffs and Defendants reached an agreement in principle to settle the claims against the Defendants on June 14, 2022, and subsequently negotiated the terms of the Stipulation, which was executed on August 24, 2022.

The case is Palm Tran, Inc. Amalgamated Transit Union Loc. 1577 Pension Plan v. Credit Acceptance Corp., No. 20-CV-12698 (E.D. Mich.) Labaton represents Ontario Provincial Council of Carpenters’ Pension Trust Fund and Millwright Regional Council of Ontario Pension Trust Fund.

Submit Claim Form

If you purchased or otherwise acquired the publicly traded common stock of Credit Acceptance during the period from May 4, 2018, through August 28, 2020, inclusive (the Class Period), and were damaged thereby, you may be entitled to a payment from a class action settlement.  To be eligible for a payment, you must submit a Claim Form to the Claims Administrator by December 2, 2022.

Settlement Hearing

The Court held a Settlement Hearing on December 7, 2022, remotely via Zoom video conference.  The Court approved the Settlement, Plan of Allocation, and awarded attorneys’ fees and expenses.

If you have questions about the Settlement, please contact Labaton Keller Sucharow at settlementquestions@labaton.com or 1-888-219-6877, or contact the Claims Administrator, at (877) 654-1993.

Additional information about the Settlement can also be found at www.CreditAcceptanceSecuritiesSettlement.com.