Avis Budget Group has agreed to resolve claims that it charged hidden fees from renters for electronic toll payment services with a $45 million settlement. The settlement terms will benefit individuals who rented a Budget or Avis vehicle and paid Budget, Avis, or Highway Toll Administration and made payment to an electronic toll processing administrator for using the e-Toll services between 1st April 2007 and 31st December 2015. The class period will be from 2nd March 2009 to 31st December 2015 for rental transactions originating in Texas, Florida, and Colorado.
Settlement website – EtollSettlement.com
Objection deadline – 12/24/2022
Exclusion deadline – 12/24/2022
Claim Form – https://etollsettlement.com/submit-claim
Deadline for submitting the claim – 02/28/2023
Final Hearing date – 02/23/2023
Settlement amount – $45 million
Potential claim amount – Variable
Proof of purchase – Not applicable
The complaint was originally filed in November 2011 by Mendez who argued of not being informed that he was automatically enrolled in an e-Toll subscription and charged a convenience fee of $2.50 per day up to $10 per week. This fee was charged to Mendez regardless of whether he made payments on any tolls incurred while driving on the highway.
Car rental company Avis Budget Group operates Budget, Avis, Zipcar, and other car rental brands around the globe. The plaintiffs in this class action lawsuit have alleged that the defendants violated the ABG rental agreements and didn’t act in good faith while collecting these charges from customers. Their acts violated the New Jersey Consumer Fraud Act as they failed to disclose the fees and caused unjust enrichment in the defendants’ favor. Avis Budget Group has agreed to honor the $45 million settlement despite denying all allegations brought against them.
Under the settlement terms, class members are eligible to receive partial reimbursements of the e-Toll-related charges including the toll differentials and convenience charges. The settlement will provide 80% reimbursement for eligible e-Toll charges for each class member’s first and second rental transactions. 65% reimbursement of eligible e-Toll charges will be offered by the settlement terms for a class member’s third through the seventh rental transaction.
If the class members were previously paid by a third party and refunded by Avis Budget through a central billing account, then their payments may be reduced. The exact payment amount will depend on the total number of rental transactions claimed by class members and the amount paid by them for each transaction in e-Toll charges. As per the settlement website, average settlement amounts shall vary between $9.36 for one rental transaction to $46.07 for seven rental transactions.