OOIDA vs AAFAB Inc...

OOIDA, on behalf of two members, filed suit against AAFAB, Inc. (Almost Anything For a Buck) in the District Court for the Northern District of Georgia. The suit claimed AAFAB’s practice of keeping the owner-operators’ escrow accounts as a penalty if they fail to give 3 days written notice of their intent to terminate their lease agreement violates the Truth-in-Leasing regulations.  OOIDA and its plaintiff members filed a Motion for Summary Judgment on the issue of Liability in July of 2003. 

Status

• On Feb. 4, 2004, A U.S. District Court granted the motion for summary, ruling that AAFAB’s lease did not comply with federal regulations and enjoined them from using it again. He further ruled the lease’s escrow provision did indeed violate federal regulations and ordered the carrier to comply with 49 C.F.R § 372.12 relating to escrow funds, including returning any funds due the Plaintiffs.

  The judge dismissed the carrier’s argument that the case was moot since it no longer used the illegal leases. AAFAB had adopted new leases after the lawsuit was filed although Judge Camp pointed out that, while he considered the new leases to be irrelevant to the case, the company had not demonstrated they complied with federal regulations either.

• Court issues summary judgment in favor of OOIDA against AAFAB Inc., orders return of escrow funds
  (2/18/04)

Court Documents

• no documents available