Class Action Alleges FCA US Fails to Honor Service Plan Cancellation Requests

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A proposed class action alleges automaker FCA US has falsely represented that its service plans could be canceled at any time as long as a consumer followed the procedure outlined in their contract. 

The plaintiff, a Los Angeles County resident, alleges in the 15-page case that although FCA US represents that a customer may email or fax their service plan cancellation request along with their plan provisions, proof of payoff and current vehicle mileage, the automaker will nevertheless not honor cancellation requests, much less issue a refund. 

“Through unlawful, deceptive and unfair course of conduct, Defendant marketed and/or sold the service plans throughout the United States with the false representation that Defendant’s service plans could be canceled at any time by following the procedures described in the service plan contract,” the breach-of-contract lawsuit states. “In fact, however, Defendant did not intend to honor the cancellation requests of Plaintiff and others similarly situated, in violation of California law.” 

According to the complaint, the plaintiff was informed around July 2021 that the FCA service plan came with a money-back guarantee, and that he would receive a full refund if he canceled for any reason within the first 60 days. If he cancelled the plan after 60 days, the plaintiff was to receive a prorated refund, the lawsuit attests. The plaintiff thereafter entered into a contract for a service plan that was set to go into effect around August 18, 2021, the suit relays. 

Per the case, the plaintiff then sold his 2018 Jeep Grand Cherokee around September 30, meaning he no longer needed the service plan. In early October, the plaintiff emailed his cancellation request to FCA US’s cancellation department, as instructed in his contract. 

The suit claims that the automaker responded to neither the plaintiff’s first nor second cancellation request, which was faxed later that same month. 

“Frustrated by Defendant’s lack of response, Plaintiff called Defendant’s customer service department on or around November 11, 2021,” the case continues. “The customer service representative that Plaintiff spoke to informed him that Defendant does not accept faxes, despite the language to the contrary in Plaintiff’s service plan.” 

Moreover, the suit says, the customer service rep was unable to confirm that the plaintiff’s previous cancellation requests were received, and instructed the man to be patient. 

According to the suit, the plaintiff sent FCA US a letter that December, to which the automaker did not respond. 

The complaint contends that the plaintiff would not have bought an FCA US service plan, or would have paid significantly less for it, had he known his ability to cancel the plan was materially misrepresented.

The case looks to represent all consumers in California who purchased a service plan from FCA US LLC. 

After its initial filing in Los Angeles County Superior Court on April 18, the lawsuit was removed to California’s Central District Court on May 18, 2022. 

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