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Wales v. Arizona RV Centers, LLC

United States District Court for the Eastern District of Louisiana
2015 WL 137260 (2015)


Facts

Lyle and Judy Wales (plaintiffs) entered into a sales and financing agreement for the purchase of a recreational vehicle (RV) from Arizona RV Centers, LLC, which was doing business as Camping World RV Sales (Camping World) (defendant). The financing agreement was thereafter assigned to Bank of America, N.A. (BOA) (defendant). The assigned agreement included a clause stating that BOA would be subject to all claims and defenses that the Waleses could bring against Camping World. Within one year of the RV’s purchase, the Waleses experienced significant mechanical and defective problems with the RV. Despite numerous repairs performed by Keystone RV Company (Keystone) (defendant), the RV failed to fully function well thereafter. When Camping World refused to rescind the Waleses’ purchase agreement, the Waleses filed suit in federal district court against Camping World, BOA, and Keystone, seeking rescission of the sale and collateral costs exceeding $100,000, including finance charges, insurance premiums, maintenance and repair costs, and attorney’s fees. BOA filed a motion to dismiss itself from being a named defendant in the complaint.

Rule of Law

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Issue

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Holding and Reasoning (Lemelle, J.)

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  • A "yes" or "no" answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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