A Court authorized the Notice because you have a right to know about a proposed Settlement of this class action lawsuit and about your options before the Court decides whether to grant final approval of the Settlement. If you received a Postcard or Email Notice about this Settlement, then TMCC’s records indicate that you may be a Class Member who is entitled to a monetary payment under the Settlement.
The Notice explains the lawsuit, the Settlement, and your legal rights.

Judge James V. Selna of the United States District Court for the Central District of California is overseeing this case and has exclusive jurisdiction over the Settlement. This litigation is known as Martin, et al. v. Toyota Motor Credit Corporation, Case No., 2:20-cv-10518-JVS-MRW.

If you received a Postcard or Email Notice about this Settlement, then according to TMCC’s records, you financed the purchase of the Vehicle identified in the Postcard or Email Notice that was sent to you. In addition, according to TMCC’s records, you purchased GAP protection for your Vehicle.

GAP protection is an addendum to the Finance Agreement which provides that the creditor on the Finance Agreement (TMCC) will waive certain amounts owed under the Finance Agreement in the event the customer’s car is “totaled” or stolen.

According to the lawsuit, customers may be entitled to a partial credit or refund of the purchase price for GAP protection if the Finance Agreement is paid off early (an “Early Payoff”). This amount is referred to in this Notice as a “GAP Refund.”

Plaintiffs allege that TMCC was contractually required to issue a GAP Refund after an Early Payoff of the Finance Agreement. Plaintiffs further contend that certain States have laws, regulations, or guidance that required TMCC to automatically issue the GAP Refund after an Early Payoff (“Automatic Refund Requirements”).

TMCC denies any wrongdoing in this lawsuit. TMCC contends that unless the GAP Agreement is subject to a State-specific Automatic Refund Requirement, customers are required to provide a written request to cancel their GAP Agreement or a written request for a refund as a prerequisite for the refund. TMCC also disputes whether certain States had Automatic Refund Requirements in effect that required TMCC to issue a GAP Refund after an Early Payoff.

The Second Amended Complaint in this lawsuit, which provides greater details about Plaintiffs’ claims, can be viewed by clicking HERE.

A class action lawsuit allows a large number of people with a common complaint to sue collectively while being represented by one or more members of the group called the “Class Representatives.”

In this case, the Class Representatives, William Martin and Lori Mitchell, have brought this lawsuit on behalf of themselves and others with similar claims. Together, all the individuals with similar claims (with the exception of those who request exclusion or “opt out” from the Class) are referred to as “Class Members.”

The Court has not ruled in favor of either the Plaintiffs or TMCC.  Instead, both sides agreed to a Settlement that they believe is a fair, reasonable and adequate compromise of their respective positions.

The parties reached this Settlement after litigating this case for over one and half years, conducting substantial discovery, and with the assistance of an experienced neutral mediator and former U.S. District Court judge.

By agreeing to the Settlement, the parties avoid the costs, delays, and uncertainty of further litigation, and Class Members receive the benefits described in the Notice. As in any litigation, Plaintiffs and the Class Members would face an uncertain outcome if they did not agree to the Settlement, and the case could continue for a long period of time. Continuation of the case could result in a judgment greater or less than the Settlement. Plaintiffs and Class Counsel believe this Settlement provides a fair and reasonable resolution of the claims asserted in this lawsuit for the benefit of the Class Members.

TMCC denies any wrongdoing and the Settlement shall in no event be construed or deemed to be evidence or an admission or concession on the part of TMCC with respect to any claim or of any fault, liability, wrongdoing, or damage.

There are two classes that are part of this Settlement: the “Statutory Class” and the “Non-Statutory Class.”

The Postcard or E-Mail Notice you received will indicate if you are potentially a member of the Statutory Class or the Non-Statutory Class.  You are considered a Class Member if you fit either of the class definitions.

The Statutory Class: The Statutory Class includes all persons in the United States: (a) who entered into Finance Agreements with GAP protection in the States of Alabama, Colorado, Indiana, Iowa, Massachusetts, New Jersey, Oklahoma, Oregon, Texas, Vermont, Wisconsin or Wyoming; (b) whose agreements were assigned to TMCC; (c) who paid off their Finance Agreements at least 30 days prior to the original maturity date (an “Early Payoff”); (d) whose Early Payoffs occurred during the Statutory Class Period; and (e) who did not receive a GAP Refund or suffer a total loss of their Vehicle during the term of the Finance Agreement. 

For purposes of the Settlement only, the Parties have agreed to a list of twelve (12) States that had Automatic Refund Requirements.  The list of each of these State’s Statutory Class Period can be found HERE.

The Non-Statutory Class: The Non-Statutory Class includes all persons in the United States: (a) who entered into Finance Agreements with GAP protection; (b) whose agreements were assigned to TMCC; (c) who paid off their Finance Agreements at least 30 days prior to the original maturity date (an “Early Payoff”); (d) whose Early Payoffs occurred during the period January 1, 2016 through October 25, 2021; and (e) who did not receive a GAP Refund or suffer a total loss of their Vehicle during the term of the Finance Agreement.  The Non-Statutory Class also excludes any persons whose Vehicle is covered by the Statutory Class definition.

It is possible that you have more than one Vehicle covered by the Settlement.  If so, please follow the instructions in the Notice for each Vehicle separately.   It is possible that you could be a Non-Statutory Class Member for one Vehicle (in which case, you will be required to submit a Claim for that Vehicle in order to receive money under the Settlement), and a Statutory Class Member for another vehicle (in which case, you will not be required to submit a Claim).

If you did not receive a Postcard or Email Notice but believe you are a member of the Statutory Class or Non-Statutory Class, you can contact the Settlement Administrator at 1-888-321-1272 or TMCCGAPSettlement@atticusadmin.com.  You will be required to provide any documents or information you have to support your claim to the Settlement Administrator.

Under the Settlement, TMCC has agreed to provide the following benefits as consideration for the resolution and release of the Class Members’ claims:

Business Practice Change. Commencing on October 25, 2021, approximately one year after the filing of the lawsuit, TMCC implemented changes to its refund practice so that it now automatically and directly provides GAP Refunds to all customers in all U.S. States within a reasonable time after receipt of an Early Payoff, provided such payoff occurs more than thirty (30) days prior to the original maturity date of the Finance Agreement. Customers are not required to take any action to seek a refund and no cancellation fee will be charged unless provided for in the customer’s GAP Agreement.  The practice applies to all customers whose Finance Agreements with GAP protection have been or will be assigned to TMCC.  TMCC agrees it will not materially change this practice for at least four (4) years after the Effective Date of the Settlement Agreement, and it will not revert back to a State-by-State approach during this four-year period.  Plaintiffs’ expert estimates that TMCC will pay out at least $275.85 million in refunds during this four-year period that it was not paying prior to the filing of the lawsuit.

Statutory Class. TMCC will directly pay each member of the Statutory Class the full amount of their GAP Refund without any deduction for cancellation fees, plus interest at the applicable State-specific prejudgment interest rate, which interest will accrue from the date of the Early Payoff to the date the GAP Refund is issued by TMCC. It is estimated that TMCC will pay over $19.1 million collectively to the Statutory Class.

Non-Statutory Class. Each member of the Non-Statutory Class will be eligible to receive up to the full amount of their GAP Refund without any deduction for cancellation fees, to be paid from the Settlement Fund (described below). Each member of the Non-Statutory Class will be required to timely submit a completed Claim Form verifying under penalty of perjury that: (a) they purchased GAP protection for the Vehicle identified on their Claim Form; (b) they did not suffer a total loss of the Vehicle identified on their Claim Form during the term of their Finance Agreement; and (c) they did not previously receive a GAP Refund for the Vehicle identified on their Claim Form from TMCC, a Dealer, a GAP Administrator or any other third-party. The settlement payments to the Non-Statutory Class Members may be reduced on a prorated basis depending on the amounts remaining in the Settlement Fund.

Settlement Fund. TMCC will establish a settlement fund (“Settlement Fund”) totaling $59 million to pay: (a) the Approved Claims for GAP Refunds to the Non-Statutory Class Members; (b) Notice and Administration Costs; (c) any Fee and Expense Awards to Class Counsel approved by the Court; and (d) any Service Awards to the Class Representatives approved by the Court. If the collective total of these items exceeds $59 million, then the settlement payments to the Non-Statutory Class Members will be reduced on a prorated basis to account for the difference. Each Non-Statutory Class Member’s payment from the Settlement Fund will be reduced by the same percentage.

NOTE: GAP refunds will be calculated using the pro-rata method.

If you are a Non-Statutory Class Member: You must submit a Completed Claim Form by September 26, 2022 to receive money from the Settlement.

If you are a Statutory Class Member: You do not need to submit a Claim Form.  You will receive your settlement payment directly from TMCC.

For Non-Statutory Class Members Only: You will need to verify under penalty of perjury that: (a) You purchased GAP protection for the Vehicle identified on your Claim Form; (b) You did not suffer a total loss of the Vehicle identified on your Claim Form during the term of your Finance Agreement; and (c) You did not previously receive a GAP Refund from TMCC, a Dealer, a GAP Administrator or any other third-party.

To Submit a Claim Form, please do one of the following:

1. Scan the QR Code on the Postcard Notice or click HERE to submit an online Claim Form.

2. Click HERE and input your Class Member ID number (which can be found on the Postcard or Email Notice you received) to complete and submit an online Claim Form.

3. Click HERE to print and complete a paper Claim Form that you will then sign and mail to the Settlement Administrator at the following address:

Martin v. TMCC Settlement
c/o Atticus Administration
PO Box 64053
Saint Paul, MN 55164

You may also contact the Settlement Administrator at 1-888-321-1272 or TMCCGAPSettlement@atticusadmin.com to request a Claim Form be sent to you via mail or email. Once received, you must complete, sign and mail the Claim Form to the Settlement Administrator at the address shown above.

If you send a Claim Form by mail, it must be postmarked on or before September 26, 2022, to be valid.

For Statutory Class Members:  You do not need to do anything to receive a payment under the Settlement.  TMCC was able to determine your eligibility for a payment from its own records.

If you received more than one Postcard or Email Notice about the Settlement, it may mean you have more than one vehicle covered by the Settlement.  The front of the Postcard or Email Notice will identify the vehicle covered by the Settlement and will indicate whether you are potentially a Statutory Class Member or Non-Statutory Class Member for that vehicle. 

If you received Notices for more than one vehicle, please follow the instructions in this Notice for each different vehicle.  You will need to complete a separate Claim Form for each different vehicle if you are a Non-Statutory Class Member for each of those vehicles.

If you believe your payment was improperly calculated, you can contact the Settlement Administrator by phone or email and provide your relevant information. If the Settlement Administrator or TMCC determines that your payment was improperly calculated, your payment will be updated and a new check will be issued.

If this Settlement is granted final approval by the Court and you do not “opt-out” or request exclusion from the Settlement, then you will release certain claims against TMCC as described below.

If you do not want to be a part of the Settlement, then you must take steps to request exclusion from the Settlement.

To request exclusion or “opt out” from the Settlement, you must mail a written Request for Exclusion to the Settlement Administrator at the following address:

Martin v. TMCC Settlement
c/o Atticus Administration
PO Box 64053
Saint Paul, MN 55164

The Request for Exclusion must be post-marked on or before September 26, 2022.

Your Request for Exclusion must include the following information:

1. Your name, address, and telephone number;
2. Your Class Member ID number provided on the front of the Postcard or Email Notice you received;
3. A statement that “I do not want to be a member of the Class in Martin et al. v. Toyota Motor Credit Corporation., Case 2:20-cv-10518-JVS-MRW pending in the United States District Court for the Central District of California. I understand that it will be my responsibility to pursue any claims I may have, if I so desire, on my own and at my expense”; and
4. Your signature and date.

Your Request for Exclusion must be for yourself.  Attempts to exclude multiple individuals as part of single Request for Exclusion are not allowed and shall be of no force or effect.

No. Unless you request exclusion from the Settlement, you will give up the right to sue TMCC for the claims resolved by this Settlement as described below.

No.  If you exclude yourself from the Settlement, you will not be eligible to submit a Claim Form or receive any payment from the Settlement.

Yes. The Court has appointed the following law firms to represent you and the other Class Members as “Class Counsel.” You can contact Class Counsel at the addresses or telephone numbers listed below. They are:

You will not be charged for contacting these lawyers. If you want to be represented by a different lawyer, you may hire one at your own expense.

Class counsel will apply to the Court for an award of attorneys’ fees and costs to compensate them for their legal services and expenses incurred in this matter. The application for an award of attorneys’ fees and costs will be posted HERE. Pursuant to the terms of the Settlement, Class Counsel intends to request an award of $19 million in legal fees and reimbursement of their expenses in an amount not to exceed $150,000.

Any Fee and Expense Awards approved by the Court will be paid out from the Settlement Fund.

Class Counsel will file an application for Service Awards to be paid to each of the Class Representatives in recognition of the time and effort they provided in this lawsuit on behalf of the Class. The application for Service Awards will be posted HERE. Pursuant to the terms of the Settlement, Class Counsel intends to request a Service Award of $2,500 for each of the Class Representatives.

Any Service Awards approved by the Court will be paid out from the Settlement Fund.

If you are a member of the Class, and do not Request Exclusion or “opt out” from the Settlement, you can object to any part of the Settlement. You can give reasons why you think the Court should not approve the entire Settlement or parts of it.

To object, you must timely file a written objection with the Court and mail the same to the Settlement Administrator at the following address:

Martin v. TMCC Settlement
c/o Atticus Administration
PO Box 64053
Saint Paul, MN 55164

The objection must be filed on or before September 26, 2022 and mailed to the Settlement Administrator with a post-mark date on or before September 26, 2022.

Your objection must state all of the following:

1. Your name, address, and telephone number;
2. Your Class Member ID number provided on the front of the Postcard or Email Notice;
3. A statement saying that you object to the Settlement in Martin et al. v. Toyota Motor Credit Corporation., Case No. 2:20-cv-10518-JVS-MRWand describing the nature of your objection;
4. A statement describing whether your objection applies only to yourself, to a specific subset of the Class, or to the entire Class;
5. The specific grounds for your objection;
6. Any legal authority that supports your objection; and
7. Your signature.

If a lawyer is asserting an objection on your behalf, the lawyer must also:

1. File a notice of appearance with the Court on or before September 26, 2022;
2. File a sworn declaration attesting that he or she represents you; and
3. File a sworn declaration that specifies the number of times during the prior five-year period that he or she has objected to a class action settlement on his or her own behalf or on behalf of a Class Member.

If you wish to appear at the Final Approval Hearing, you (or your attorney) must file a Notice of Intention to Appear with the Court indicating that you (or your attorney) would like to speak at the hearing. The Notice of Intention to Appear must be filed with the Court on or before September 26, 2022. If you (or your attorney) do not file a timely Notice of Intention to Appear, you (or your attorney) will be barred from speaking or otherwise presenting any views at the Final Approval Hearing.

You (or your attorney) must file your written objection and any additional documents required above with Courtroom 10C of the United States District Court for the Central District of California, the Honorable James V. Selna presiding, located at 411 West Fourth Street, Santa Ana, California 92701-4517.

Objecting is notifying the Court that you think something about the Settlement is unfair, unreasonable, or inadequate. You can only object to the Settlement if you are a Class Member.

Requesting exclusion from the Settlement is notifying the Court that you do not want to remain a Class Member. If you exclude yourself, you have no basis to object because the Settlement no longer affects you.

Upon Final Approval of the Settlement by the Court, each Class Member who does not request exclusion, individually or together, and each and every one of their former, present, or future agents, predecessors, successors, heirs, legatees, executors, administrators, insurers, assigns, trustees, spouses, and domestic partners (“Class Releasors”) TMCC and Toyota Motor Insurance Services (“TMIS”), and each of their former, present, or future agents, insurers, predecessors, successors, subsidiaries, parent company(ies), affiliates, officers, directors, and employees and attorneys (“Class Releasees”) from any and all past and/or present claims, counterclaims, lawsuits, set-offs, costs, losses, rights, demands, charges, complaints, actions, causes of action, obligations, or liabilities of any and every kind, whether class, individual, or otherwise in nature, including, without limitation, those known or unknown or capable of being known; those which are unknown but might be discovered or discoverable based upon facts other than or different from those facts known or believed at this time; those which are foreseen or unforeseen, suspected or unsuspected, asserted or unasserted, and/or contingent or non-contingent; and those which are accrued, unaccrued, matured or not matured, under the laws of any jurisdiction, which they, whether directly, representatively, derivatively, or in any other capacity, ever had, now have, or hereafter can, shall, or may have, arising from or relating in any way to the Class Member’s entitlement to a GAP Refund after an Early Payoff that occurred during the Class Period or Statutory Class Period, as appropriate (the “Class Released Claims”). For clarification, the Class Releasees do not include any Dealers or GAP Administrators (other than TMIS), including without limitation, those identified in the Class Members’ GAP Agreements or Finance Agreements.

The Court has scheduled a Final Approval Hearing for November 14, 2022, at 1:30 PM in Courtroom 10C of the United States District Court, Central District of California, Southern Division, located at the Santa Ana Courthouse – 411 West Fourth Street, Santa Ana, CA 92701. The hearing date and time is subject to change. Updates to the date and time will be posted online HERE.

At the Final Approval Hearing, the Court will consider granting final approval of the Settlement based on whether it is fair, reasonable, and adequate. The Court will also consider requests by Class Counsel for attorneys’ fees and expenses related to the litigation and the Class Representative Service Awards. If there are timely and complete objections, the Court will consider those objections at the hearing as well.

At or after the hearing, a decision will be made whether to grant final approval of the Settlement. It is not known how long it will take for the Court to decide. Class Members should visit this website to stay updated about the current status of the case.

No. Attending the hearing is not required, but you are welcome to attend at your own expense.

If you send an objection, you do not have to come to Court to talk about it. As long as your objection is timely and complies with the requirements set forth in this Notice and the Settlement Agreement, the Court will consider it. You may also pay your own lawyer to attend.

The Notice is a summary of the proposed Settlement. More details regarding the terms of the Settlement can be found in the Settlement Agreement posted on the this website.

You may also contact the Settlement Administrator by calling the toll-free number, 1-888-321-1272 by emailing TMCCGAPSettlement@atticusadmin.com or by writing to:

Martin v. TMCC Settlement
c/o Atticus Administration
PO Box 64053
Saint Paul, MN 55164

You may also contact Class Counsel using the contact information provided above. You will not be charged for contacting Class Counsel.