PLACEHOLDER for Award Eligibility Lookup
- Why did I get this notice package?
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The Court approved the notice because you have a right to know about a proposed settlement of a class action lawsuit, and about all of your options, before the Court decides whether to approve the settlement. If the Court approves it, and objections and appeals (if any), are resolved, the Settlement Administrator will make the payments the settlement allows.
The Court in charge of the case is the Court of Common Pleas of Philadelphia County, Pennsylvania, and the case is known as Ya’Raiah Crawford, individually and on behalf of all others similarly situated v. American Heritage Federal Credit Union, December Term 2022, No. 01657. The person suing is Ya’Raiah Crawford, the Plaintiff (also called “Class Representative”) and the company being sued, American Heritage Federal Credit Union, is called the Defendant, or “AHFCU.”
This package explains the lawsuit, the settlement, your legal rights, what benefits are available, who is eligible, and how to get them.
AHFCU’s records reflect that you were sent a notice from AHFCU following the repossession of your vehicle between December 19, 2016 through December 2, 2022. AHFCUs conduct post-repossession, including its use of these notices, forms the basis for this lawsuit.
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- What is this lawsuit about?
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The lawsuit claims that AHFCU violated Pennsylvania’s Uniform Commercial Code by failing to send its borrowers in Pennsylvania proper notice of disposition of collateral (“Repossession Notice”) after repossession of their vehicle(s). Specifically, Plaintiff asserts on behalf of herself and a class of borrowers that the Repossession Notice sent by AHFCU fails to describe borrowers’ liability for a deficiency.
AHFCU denies that its disclosures violated any law, and AHFCU asserts that it satisfied all of the legal requirements as to its notices. AHFCU asserts other defenses, including that many of the members of the Class owe AHFCU money for Deficiencies still due on their accounts following the sale of their repossessed vehicle(s) at auction.
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- Why is this a class action?
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In a class action, one or more people called Class Representatives (in this case Ya’Raiah Crawford) sue on behalf of all people who have similar claims. All these people are “Class Members,” and grouped together are a “Class.” One court resolves the issues for all Class Members, except for those who exclude themselves from the Class. AHFCU has challenged whether this case should proceed as a class action but has agreed not to oppose this case proceeding as a class for settlement purposes only.
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- Why is there a settlement?
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Plaintiff believes the Class might have won more money than the settlement amount had the case gone to trial, but substantial delays and risks would have occurred, including the risk of the case not being certified as a class. AHFCU believes that the claims asserted in the case are without substantial merit, and that the Plaintiff may have recovered nothing if there had been a trial. But, there has been no trial. Instead, both sides agreed to a settlement. That way, they avoid the cost of a trial and appeal, and class members like yourself will get compensation and other settlement benefits promptly. The Class Representative and her attorneys think the settlement is best for all Class Members.
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- How do I know that I am part of the settlement?
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If you received this Notice in the mail, AHFCU’s records reflect that you are part of the Class. The Court has preliminarily certified the Class, which includes those borrowers who were sent certain notices after their vehicle was repossessed.
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- What does the settlement provide for me?
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Cash Component:
· AHFCU has agreed to create a Settlement Fund of $1,400,000.00. Approved administrative costs, Class Counsel fees and expenses, and a service award for the Class Representative will be paid from that fund. The Net Fund that remains will be distributed to the members of the Class. You will be paid a proportionate share of the net settlement proceeds, which you can view at this website: www.crawfordAHFCUsettlement.com.
· This payment will be sent to you by check unless you promptly use the case website www.crawfordAHFCUsettlement.com to request one of the other available payment methods that are available.
· If after the first distribution of checks to the Class more than $30,000 remains in the Net Fund (from uncashed or undistributable checks), there will be a second distribution of checks to the Class. A balance remaining after the second distribution will be paid to cy pres beneficiaries, Pennsylvania Interest on Lawyers Trust Account (“IOLTA”), and TBD, for consumer uses.
Credit Reporting Relief: AHFCU will request that the credit reporting agencies Trans Union, Equifax, and Experian update your credit report to remove any reference to the AHFCU auto loan. Details about how and when this will be done, and limits on AHFCU’s obligation to provide credit reporting relief, are spelled out further in the Settlement Agreement.
Elimination of Disputed Deficiency Balances: If you have been advised by AHFCU that there is a shortfall after the auction of your repossessed vehicle, that balance claimed due is called a “Deficiency.” AHFCU’s right to these Deficiencies is disputed by the parties. Unless you elect otherwise, any Deficiency balance on your vehicle loan will be eliminated as a result of this settlement. You will not receive this relief if you got your car back (redeemed or reinstated) after the repossession. If you want to know if you have any Deficiency or the amount, you can call the Settlement Administrator at 888-755-4360 or Class Counsel at 1-888-668-1225. NOTE: see Tax Implications below. You can choose not to have your Deficiency eliminated as a result of this Settlement by submitting the enclosed Election Not to Accept Compromise of Disputed Deficiency Balance.
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- Tax Implications
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This settlement has potential tax implications for you. The Settlement Administrator plans to issue IRS 1099-series forms for cash payments over $600. You may be required to furnish your Social Security Number to the administrator as a condition of payment of settlement proceeds over $600.
If you accept the elimination of your Deficiency balance, and the amount is over $600.00, AHFCU might issue to you an IRS 1099-C form for the amount of the Deficiency eliminated. This could result in your having to declare income in that amount on your next tax return and pay tax on all or some of that amount! You should consult your tax advisor to help decide if agreeing to the elimination of your Deficiency is right for you.
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- Do I need to do anything to get a payment or the credit reporting benefit
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No. You do not need to do anything further to remain in the Class. You will get a payment and any credit reporting benefit automatically, assuming court approval of the Settlement.
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- Do I need to do anything to have my outstanding debt eliminated?
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No. Any outstanding debt remaining after the auction of your repossessed vehicle will automatically be eliminated upon final approval of the settlement by the Court unless you tell us you do not want your debt eliminated. If you do not want your Deficiency to be eliminated, please read these instructions carefully, fill out the Election Not To Accept Compromise of Disputed Deficiency Balance form, and mail it postmarked no later than April 7, 2025 to:
Crawford v. AHFCU
c/o Settlement Administrator
PO Box 23459,
Jacksonville, FL 32241If you do not know if you have any Deficiency, you can call the Settlement Administrator at 888-755-4360 or Class Counsel at 1-888-668-1225 to inquire or to find out the amount of your Deficiency.
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- When is the hearing on final approval of the proposed settlement?
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The Court will hold a hearing on May 12, 2025 at 10:00 AM. at Court of Common Pleas of Philadelphia County, City Hall, Philadelphia, PA 19107 to decide whether to approve the settlement. If the Court approves the settlement after hearing, there may be appeals. It is always uncertain whether there will be an appeal and if so, when it will be resolved. Resolving an appeal can take time, often well more than a year. Please be patient.
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- What am I giving up to get a payment or stay in the Class?
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Unless you exclude yourself, you will stay in the Class, and that means that you can’t sue, continue to sue, or be part of any other lawsuit against AHFCU related to your repossessed vehicle. It also means that the Court’s orders will apply to you and legally bind you. Unless you “opt-out” or exclude yourself from this case, you will automatically be deemed to have agreed to a “Release of Claims” which describes exactly the legal claims that you give up if you remain in the Class. The specific language of the release is set forth in the Settlement Agreement, which can be found on the Important Documents page.
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- How do I get out of the settlement?
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To exclude yourself from the Settlement, you must send a letter to the Settlement Administrator, by mail (first class, postage pre-paid) saying that you want to be excluded from Crawford v. American Heritage Federal Credit Union, December Term 2022, No. 01657. Be sure to include your full name, current address, telephone number, last four digits of your social security number, email address (if any), and your signature. Mail your exclusion request postmarked no later than April 7, 2025 to the address below.
Crawford v. AHFCU
c/o Settlement Administrator
P O Box 23648
Jacksonville, FL 32241
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- If I don’t exclude myself, can I sue AHFCU for the same thing later?
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No. Unless you exclude yourself, you give up any right to sue AHFCU for the claims that this settlement resolves. If you have a pending lawsuit, speak to your lawyer in that case immediately. You must exclude yourself from this Class to continue your own lawsuit.
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- If I exclude myself, can I get money from this settlement?
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No. If you exclude yourself, you will not receive any money from this lawsuit or settlement, credit report deletion, elimination of any Deficiency, or other relief that this Class Settlement provides.
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- Do I have a lawyer in this case?
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The Court has approved the law firm of Flitter Milz, P.C., in Narberth, PA to represent you and other Class Members. The lawyers at this firm are called Class Counsel. You will not be charged individually for these lawyers. If you want to be represented by your own lawyer, you may hire a firm at your own expense.
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- How will the lawyers and Representative Plaintiff be paid?
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As part of the class settlement, Plaintiff will ask the court to approve a $12,500 service award for her time and effort in bringing this case. Plaintiff will ask the Court to approve a payment out of the settlement fund in the amount of $560,000 for Class Counsel fees and up to $7,500 for reimbursement of expenses. The fees would pay Class Counsel for investigating the facts, litigating the case, negotiating the settlement, filing legal papers with the Court, and oversight of future implementation of the settlement, including fielding inquiries from Class Members. Class Counsel has not been paid for its time or services since this case was originally filed in December 2022. The Court could award less than this amount.
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- How do I tell the Court that I don’t like the settlement?
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If you are a Class Member, you can object to the settlement if you don’t like any part of it. You should state why you object and why you think the Court should not approve the settlement. The Court will consider your views. To object, you must mail a Notice of Objection to the Settlement Administrator saying that you object to the settlement in Crawford v. American Heritage Federal Credit Union, December Term 2022, No. 01657. Please be sure to include: (i) your name, address, telephone number, email address, and last four digits of the Social Security Number; (ii) a statement of each objection asserted; (iii) a detailed description of the facts underlying each objection; (iv) any loan documents relied upon; (v) if you hire your own lawyer, the name, address, telephone number, and email address (if any) of your lawyer, and a detailed description of the legal authorities supporting each objection; (vi) any written expert reports you intend to rely upon; (v) the names of all witnesses you intend to rely upon; (vi) any evidence or exhibits you intend to rely upon; (vii) a statement of whether you intend to appear at the hearing; and (viii) a certification under 28 U.S.C. § 1746 or similar state law in substantially the following form: “I declare (or certify, verify, or state) under penalty of perjury that the foregoing is true and correct. Executed on (date). (Signature)”. Mail the objection to the address listed in Section 12 above, postmarked no later than April 7, 2025.
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- What’s the difference between objecting and excluding?
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Objecting is telling the Court that you don’t like something about the settlement, and that you, for that reason, want the settlement not to be approved. You can object only if you stay in the Class. Excluding yourself is telling the Court that you don’t want to be part of the Class. If you exclude yourself, you have no basis to object because the case no longer affects you.
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- When and where will the Court decide whether to approve the settlement?
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The Court will hold a Fairness Hearing on May 12, 2025 at 10:00AM. at the Court of Common Pleas of Philadelphia County, City Hall, Philadelphia, PA 19107. At this hearing, the Court will consider whether the settlement is fair, reasonable, and adequate and meets the test for class action settlements. If there are objections, the Court will consider them. The Court will listen to people who have asked to speak at the hearing. The Court may also determine the Class Representative Service Award and Class Counsel fees and expenses. Following the hearing, the Court will decide whether to approve the settlement. We do not know how long these decisions will take.
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- Do I have to come to the hearing?
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No. Class Counsel will answer any questions the Court may have, but you are welcome to come at your own expense. If you file an objection, you don’t have to come to Court to talk about it, but you may. As long as you timely and properly mailed your written objection to the Settlement Administrator as set forth in Section 12 above, the Court will consider it. You may also pay your own lawyer to attend, if you wish.
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- May I speak at the hearing?
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You may ask the Court for permission to speak at the Fairness Hearing. You cannot speak at the hearing if you exclude yourself from the settlement.
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- What happens if I do nothing at all?
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If you do not exclude yourself and the Court finally approves the settlement, you will receive a settlement payment(s), elimination of your Deficiency (if any), and credit reporting relief as provided in the Class Action Settlement Agreement. If you do not want your Deficiency eliminated, you must elect in writing by returning the enclosed Form.
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- Are there more details about the settlement?
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The notice summarizes the proposed settlement. The pleadings and other records in this litigation, including a copy of the Settlement Agreement, may be examined at any time during regular office hours at the Office of Judicial Records – Civil – Court of Common Pleas of Philadelphia County, Room 284, City Hall, Philadelphia, PA 19107. These documents are available on the Important Court Documents page of this website.
You may also call or write to the following:
SETTLEMENT ADMINISTRATOR:
CLASS COUNSEL:
Crawford v. AHFCU
c/o Settlement Administrator
PO Box 23459,
Jacksonville, FL 32241
888-755-4360FLITTER MILZ, P.C.
450 N. Narberth Avenue, Suite 101
Narberth, PA 19072
1-888-668-1225
Please do not call the Court, AHFCU, or AHFCU’s counsel.
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