Consumer complaint received 2024-10-25
Product: Vehicle loan or lease — Loan
Issue: Repossession — Notice to repossess
Company: Stellantis Financial Services US Corp. (VA)

Subject : Unlawful Repossession and Egregious Conduct Violating Court-Ordered Arbitration and Consumer Rights 1. Violation of Court-Ordered Arbitration Agreement : A court-ordered stay of all proceedings was issued by the XXXX XXXX XXXX, pending arbitration , and my arbitration request was formally filed with the XXXX XXXX XXXX ( XXXX XXXX XXXX XX/XX/2024. Despite this, Stellantis Financial Services repossessed my vehicle on XX/XX/2024, and is now threatening to sell it by XX/XX/2024, according to a letter of intent I received. This blatant disregard for court-ordered arbitration undermines the purpose of having arbitration laws in place, which is to protect consumer rights and ensure fair resolution. 

2. Misrepresentation and Obstruction by Legal Representatives in Georgia and Virginia : Stellantis engaged a Virginia Beach law firm that has consistently disregarded court orders, including the stay on proceedings issued by the XXXX XXXX XXXX. Additionally, this firm failed to update XXXX, XXXX, XXXX, XXXX, XXXX XXXX, XXXX. in Georgiaspecifically attorney XXXX XXXX, who represents Stellantis and is responsible for handling legal matters for the company. This lack of communication and procedural misconduct has obstructed my access to a fair resolution, directly leading to the wrongful repossession of my vehicle. 

3. Financial Impact Due to Fraud by XXXX XXXX XXXX : I was financially impacted by a fraudulent scheme perpetrated by XXXX XXXX XXXX, who took two payments from me under false pretenses, leaving me unable to meet my payment obligations to Stellantis. I have filed a case against her, XXXXXXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXX ( Case No. XXXX ), which will be submitted as an exhibit. Stellantis has failed to acknowledge or respond to this fraud 's impact on my financial situation, despite documented attempts to notify them. 

4. Evidence of Fraudulent Trading and Financial Misconduct by Stellantis : A forensic audit has revealed indications of fraudulent trading practices by Stellantis, raising concerns about the companys compliance with fair lending and servicing practices. 

5. Submission of International Bill of Exchange Instruments and Lack of Response : In an effort to address outstanding financial obligations, I submitted International Bill of Exchange Instruments No. XXXX and XXXX in accordance with UCC Article 3 ( Negotiable Instruments ) and UCC Article 4 ( Bank Deposits and Collections ), both before and after Stellantis repossessed my vehicle on XX/XX/2024. Despite these submissions and my efforts to resolve the payment, Stellantis has ignored these instruments without any response, disregarding its obligations under these UCC provisions.

6. Lack of Response to Attempts for Remedial Communication : Despite multiple attempts to resolve these issues directly with Stellantis, the company has not responded to my inquiries. The documented filings within the XXXX XXXX XXXX further detail the lack of response to the courts stay order, the XXXX arbitration, and my financial hardship due to third-party fraud committed by XXXX XXXX XXXX XXXX 

7. Improper Legal Action Over Arbitration : Stellantis pursued court actions instead of arbitration, breaching the arbitration clause and the courts stay order. XXXX XXXX XXXX XXXX XXXX was informed of the courts stay on XX/XX/2024, yet failed to communicate this to Stellantis. This legal and procedural oversight has added considerable financial and emotional strain, as I am forced to defend myself in court rather than proceed with the contractually mandated arbitration. If companies like Stellantis do not abide by court-mandated arbitration laws, it raises questions about the purpose and enforceability of these consumer protection measures. 

Requested Action : Immediate Suspension of Adverse Actions : I request that Stellantis Financial Services be immediately restrained from any adverse actions, including selling or transferring ownership of my repossessed vehicle, until the CFPB completes its investigation. 

Investigation of Stellantis Compliance with Arbitration and Court Orders : I request that the CFPB investigate Stellantis for its disregard of the court-ordered arbitration stay and its continued legal actions despite a clear court mandate. 

Review of Broader Consumer Impact : Given Stellantis apparent disregard for arbitration agreements and judicial authority, I urge the CFPB to assess whether similar misconduct could be impacting other consumers subject to arbitration agreements. 

Supporting Documentation : Available for submission upon request are : Court documents from the XXXX XXXX XXXX, including the original stay order, motions, and declarations highlighting Stellantis disregard for arbitration. 
Arbitration filings with the XXXX demonstrating good-faith compliance on my part. 
Evidence of third-party fraud, including the summons filed against XXXX XXXX XXXX XXXX XXXX of XXXX XXXX XXXX XXXXXXXX XXXX XXXX XXXX No. XXXX ). 
Forensic audit report detailing alleged fraudulent trading practices by Stellantis.

Letter from Stellantis indicating intent to sell my vehicle by XX/XX/2024 despite the active court-ordered stay. 

I have reason to believe that Stellantis Financial Services is engaging in improper trading of my financed asset on secondary markets without my consent and without appropriate tax compliance. This raises serious questions about Stellantis practices, including adherence to IRS regulations and federal securities statutes.

8. Unlawful Secondary Market Trading : - Stellantis appears to have engaged in unauthorized trading or transfer of my vehicles financing agreement on secondary markets. This practice, if true, may violate consumer protection and fair lending statutes, as well as Title 15 U.S.C. 78j ( Securities Exchange Act ), which prohibits manipulation and trading without full disclosure and adherence to regulatory requirements. 
- IRS Code Section 6050P requires specific reporting of certain debts and assets when they are sold, transferred, or otherwise forgiven. Failure to properly document and report such transfers, especially on secondary markets, could indicate a lack of compliance with federal tax obligations. 
9. Noncompliance with Tax Obligations : - By engaging in secondary trading without proper documentation or reporting, Stellantis may be avoiding federal tax liabilities associated with such transfers. This violates IRS requirements under 26 U.S. Code 61 for reporting gross income from any source derived, including gains from asset trading and loan servicing on secondary markets.

- If Stellantis is trading these assets without accurate tax reporting, it impacts not only consumer rights but also federal tax revenue, which may prompt an IRS audit or further regulatory review. 
Requested Review of Secondary Market Practices and Tax Compliance : I request that the CFPB investigate Stellantis Financial Services secondary market practices and determine whether these transactions comply with IRS reporting requirements and securities regulations. Proper adherence to Securities Exchange Act provisions and IRS reporting codes should be a standard for all financial institutions involved in secondary trading. 

Since Stellantis Financial Services has disregarded both the court-ordered arbitration and related stay on proceedings, I am unable to resolve these issues through the intended arbitration process. As a result, I am compelled to bring these matters before the CFPB to ensure that my rights as a consumer are protected and to seek appropriate resolution and oversight.