Facts

Snap RTO LLC (Snap) offers extended payment terms for consumer goods pursuant to rental-purchase agreements. For consumers who desire to obtain merchandise but may not be able to pay the retail price up front, Snap offers to enter into a rental-purchase agreement pursuant to which the consumer can make payments over a period of time. Snap offers such rental-purchase arrangements at retail businesses that sell, among other things, automotive goods and services, household furniture, appliances, and electronics.

Consumers John Jacquess, April Spruell, Achorea Tisdale, Jarrod Bolden, Frieda Sims, Sara Nunez, and Bertha Orozco brought a class action against Snap.

PLAINTIFFS' CONTENTIONS: Plaintiffs contended that defendant entered into a rental-purchase agreement with certain California consumers that included provisions providing for payment of a Processing Fee and/or a Nonsufficient Funds Fee that did not comply with California law. Plaintiffs alleged that defendant violated the Karnette Rental-Purchase Act and certain other provisions of California consumer protection laws.

DEFENDANT'S CONTENTIONS: Defendant denied all contentions.

Result

The case settled for $5,257,377.