Acima Escapes Class Action on Rent-to-Own Deal Processing Fees

A consumer alleging Acima Credit LLC charges illegal processing fees to rent-to-own applicants is unable to pursue her case as a class action, because most of the other proposed class members are covered by an arbitration agreement, a California federal court said.

Acima offers rent-to-own arrangements with customers on behalf of retail merchants with whom it has established business relationships. Title to the goods in question transfers to the customer after they complete the agreed-upon number of lease payments. Acima Holdings LLC was recently acquired by Rent-A-Center Inc. in a cash-and-stock deal valued at more than $1.6 billion.

Sieara Farr ...