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Lobel v. CCAP Auto Lease Ltd.

Parties' Motor Vehicle Lease Class Action Dispute Is Subject to Arbitration

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The following e-filed documents, listed in NYSCEF by document numbers 5, 6, 7, 8, 9, 10, 15, 17, and 18 were read on this motion by Defendants CCAP Auto Lease, Ltd. (“CCAP”), Santander Consumer USA Holdings, Inc., Santander Consumer USA Inc. (together, “Santander”) and Chrysler Capital Corporation (“Chrysler”) (collectively, “Defendants”) pursuant to CPLR 7503(a) for an Order compelling non-class arbitration of this putative class action lawsuit commenced by Plaintiff David Lobel, individually and on behalf of all other similarly situated New York consumers (“Plaintiff”) and staying this action pending a determination of the arbitration. Upon the foregoing documents, and for the reasons stated herein, Defendants’ motion shall be granted. FACTUAL AND PROCEDURAL BACKGROUND Plaintiff commenced this action by the filing of a Summons and Class Action Complaint (the “Complaint”) on September 28, 2021. The Complaint alleges that Plaintiff has commenced this putative class action lawsuit in his individual capacity and on behalf of similarly situated consumers who: (1) leased motor vehicles from Defendants; (2) “rolled” the sales tax associated with their lease transactions into the monthly lease payments that they made thereafter; (3) extended the vehicles’ lease terms at the end of their respective original terms; and (4) have been charged sales tax in connection with their lease extensions on the same portions of their monthly lease payments which already reflect prior sales tax that had been charged, such that they paid a purported “tax upon a tax” (Complaint at

1-19). Specifically, the Complaint alleges that on or about July 31, 2018, Plaintiff entered into a lease agreement (the “Lease”) with Chrysler to lease a 2018 Jeep Grand Cherokee for a 36-month term ending on July 21, 2021 (Complaint at

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