Car Dealerships Regain Class Status in Fee Suit Against NextGear

A lawsuit accusing NextGear Capital Inc. of charging excessive interest and fees to tens of thousands of used car dealerships is once again moving forward as a class action after a Wednesday decision by the Southern District of Indiana.

The dealerships, led by Red Barn Motors Inc., can pursue their breach of contract claim as a certified class, even though the case involves individual contracts between NextGear and thousands of dealerships, Judge Tanya Walton Pratt said. Many questions about how the parties interpreted the contracts can be resolved on a class basis, even if some individualized issues remain, Pratt said. ...