Upbound Group’s Acima Leasing Responds to Litigation Filed by NY Attorney General Based on Previously Disclosed Investigation
August 14 2024 - 5:15PM
Business Wire
Acima Leasing (“Acima”), one of the leading providers of
lease-to-own solutions and a business of Upbound Group, Inc.
(NASDAQ: UPBD) (“Upbound” or the “Company”), responded to the
lawsuit filed today by the New York Attorney General’s office
(“NYAG”) against Acima despite Acima’s extensive and continuing
cooperation with the NYAG’s previously disclosed investigation.
Notwithstanding active and ongoing settlement discussions between
the parties, the NYAG suddenly and inexplicably filed its lawsuit
today. Following the NYAG’s precipitous and unwarranted action,
Acima will vigorously defend itself against these allegations, many
of which relate to historical periods prior to Upbound’s
acquisition of Acima and which include the NYAG’s attempt to
recharacterize well-established lease-to-own transactions as
lending transactions contrary to established law. Lease-to-own
transactions are among the most flexible and inclusive shopping
options in the market, serving millions of consumers a year across
the country. Acima looks forward to presenting its case to the
court.
“Acima is committed to serving consumers with transparency and
fairness and to providing consumers and retail partners with
Acima’s best-in-class solutions that improve the quality of
customers’ lives. Many of our customers return to us for repeat
transactions, demonstrating the value, simplicity and importance of
Acima’s lease-to-own solutions,” said Mitchell Fadel, Chief
Executive Officer of Upbound.
Last year, Upbound celebrated its 50th anniversary as a leader
in serving consumers in the LTO industry. Upbound has provided
millions of customers with the opportunity to obtain access to
brand-name, quality products for their homes and families, even if
they have a less than perfect credit score and have been denied for
credit or may otherwise be unable to access these products. In
furtherance of its mission to elevate financial opportunity for
all, Upbound is dedicated to driving innovation and upward momentum
for underserved consumers with a priority on financial inclusion,
empowerment, and putting the needs of consumers at the forefront of
all of its solutions.
About Upbound Group, Inc.
Upbound Group, Inc. (NASDAQ: UPBD) is an omni-channel platform
company committed to elevating financial opportunity for all
through innovative, inclusive, and technology-driven financial
solutions that address the evolving needs and aspirations of
consumers. The Company’s customer-facing operating units include
industry-leading brands such as Rent-A-Center® and Acima® that
facilitate consumer transactions across a wide range of store-based
and digital retail channels, including over 2,300 company branded
retail units across the United States, Mexico and Puerto Rico.
Upbound Group, Inc. is headquartered in Plano, Texas. For
additional information about the Company, please visit our website
Upbound.com.
Forward-Looking Statements
This release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995,
including, among others, statements concerning the NYAG’s lawsuit
against Acima, the potential outcome of the lawsuit and related
matters. Such forward-looking statements are based on particular
assumptions that our management has made in light of its experience
and its perception of expected future developments and other
factors that it believes are appropriate under the circumstances,
and are subject to various risks and uncertainties. Factors that
could cause or contribute to the material and adverse differences
between actual and anticipated results include, but are not limited
to, the inherent risks and uncertainties in the outcome of the
lawsuit filed by the NYAG and other risks detailed from time to
time in the reports filed by us with the SEC, including our most
recently filed Annual Report on Form 10-K, as may be updated by
reports on Form 10-Q or Form 8-K filed thereafter. You are
cautioned not to place undue reliance on forward-looking
statements, which speak only as of the date of this release. Except
as required by law, we are not obligated to and do not undertake
to, publicly release any revisions to these forward-looking
statements to reflect any events or circumstances after the date
hereof or to reflect the occurrence of unanticipated events.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240814745377/en/
Media: FGS Global Kelly Kimberly / Brandon Messina
Upbound@fgsglobal.com
Upbound (NASDAQ:UPBD)
Historical Stock Chart
From Jul 2024 to Aug 2024
Upbound (NASDAQ:UPBD)
Historical Stock Chart
From Aug 2023 to Aug 2024