Frequently Asked Questions About the Honda Odometer Class Action Settlement

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1 Frequently Asked Questions About the Honda Odometer Class Action Settlement The Proposed Honda Odometer Class Action Settlement ( Proposed Settlement ) resolves two lawsuits currently pending in the United States District Court for the Eastern District of Texas, Karen Vaughn, Individually & on Behalf of All Others Similarly Situated v. American Honda Motor Co., Inc. & Honda Motor Co., Ltd., Case No. 2-04CV-142 (TJW) and Sharon McQuiston, Individually & On Behalf of All Others Similarly Situated v. American Honda Motor Co., Inc. and Honda Motor Co., Ltd., Case No.: 2-06CV-253 (TJW). These questions and answers explain in more detail how the Proposed Settlement works. 1. What is a class action lawsuit? A class action is a lawsuit brought by one or more plaintiffs on behalf of a group of individuals making the same or similar claims against a company or another individual. 2. What are the Honda Odometer Class Action lawsuits about? Both lawsuits involve Honda and Acura automobiles purchased between April 13, 2002 and November 7, Plaintiffs generally allege in the lawsuits that the odometers on those vehicles overstate mileage, which Honda denies. The Court has not resolved the merits of any of the claims or defenses in the lawsuits. 3. Why are these lawsuits being settled? The parties are settling these lawsuits because they believe that the Proposed Settlement is fair, reasonable, and adequate and is in the best interest of Settlement Class Members and each of the defendants, and that a settlement is the most efficient and cost-effective way to resolve their disputes. 4. Why is this called a Proposed Class Action Settlement? The Settlement is Proposed at this point because it has been preliminarily approved by the Court and will be the subject of a later Court hearing called a Fairness Hearing, which is currently scheduled for 9 a.m. on May 30, At that hearing, the Court will make a final decision as to whether the Settlement is fair, reasonable and adequate to Settlement Class Members, and whether the Settlement should be approved. Any payment or other relief to eligible Settlement Class Members will not be provided until after the Court s final approval of the Proposed Settlement. 5. Who is a Settlement Class Member? You are a Settlement Class Member if, between April 13, 2002 and November 7, 2006, you purchased or leased in the United States (including the District of Columbia, Puerto Rico, and the U.S. Virgin Islands) a model year 2002 through 2006 Honda or Acura automobile, or a

2 model year 2007 Honda Fit. These automobiles are identified in this document as Class Vehicles. 6. What is offered under the Proposed Settlement? The Proposed Settlement provides a number of benefits for Settlement Class Members: A. If you purchased a vehicle during the Class period you will receive a Warranty Extension. Honda will extend the mileage-based coverage periods of all Warranties or Honda Care or Acura Care Service Contracts by 5%. For example, a 3 year/36,000 mile new vehicle limited warranty will be extended to 3 years/37,800 miles. B. If you already paid for a repair that would have been covered by a Warranty or a Honda Care or Acura Care Service Contracts as extended in the Settlement, you can file a claim for reimbursement. A claim form that describes the materials to be submitted is available on this website, or by visiting Class Counsel s website at C. If you leased a new Class Vehicle during the Class period, Honda will increase by 5% the mileage allowances for your lease. For example, if a Settlement Class Member has a three-year lease for a Class Vehicle that permits up to 36,000 miles of driving without any charge for excess mileage, the allowed mileage will be increased to 37,800. This extension will be applied automatically for all active leases obtained through American Honda Finance Company. If you leased from a company other than American Honda Finance Company, you may apply for reimbursement for any excess mileage charges you pay at your lease s termination. D. If you already paid for excess miles, and are entitled to a refund under the Proposed Settlement, you will receive an automatic refund if you leased through American Honda Finance Company, so long as American Honda Finance has your current mailing address. If you leased through any other leasing company, you can file a claim for reimbursement if you pay excess mileage charges at your lease s termination. A claim form that describes the materials to be submitted is available on the website, or by visiting Class Counsel s website at 7. How do I participate in the Proposed Settlement? If the Settlement is approved at the Fairness Hearing, all Settlement Class Members with active Warranties or Honda Care or Acura Care Service Contracts will automatically receive the Warranty Extension described above. In addition, Honda has agreed to attempt to identify any Settlement Class Members who leased a Class Vehicle through American Honda Finance and paid excess mileage charges. Any such Settlement Class Member will be automatically sent a reimbursement under the formula described in No. 6C above. If you believe you are entitled to a refund but do not receive one within eight weeks of the Fairness Hearing, you should contact Honda to submit a claim. 2

3 If you have already paid for a repair you believe to be covered by a Warranty as extended under the Settlement, or if you were charged for excess mileage in connection with your lease, you may submit a claim to recover as much of those costs as is covered by the Settlement. Claim Forms will be provided by mail upon request to the Honda Claims Center and are also available for download on the Honda Claims Center website, or from Class Counsel at All Claim Forms must be completed and mailed to the Honda Claims Center within ninety (90) days after the Settlement is finally approved by the Court. 8. If I already paid for a Warranty repair, what information do I need to include with the Claim Form to be reimbursed? Settlement Class Members seeking reimbursement for Warranty Repairs need to submit a Claim Form, and also provide documentation (1) of the date of the repair, (2) of payment for the repair, (3) of mileage at the time of the repair, and (4) that the repair is covered by a Warranty as extended by the Settlement. 9. If I already paid for a lease excess mileage charge, what information do I need to include with the Claim Form to be reimbursed? Settlement Class Members seeking reimbursement for Prior Excess Mileage Charges need to submit a Claim Form, and also provide documentation (1) that you were assessed end-of-lease charges for excess mileage driven; (2) of the amount of such excess mileage charges that you paid, and (3) of the charge per mile over the miles allowed. 10. How and when do I submit my Claim Form? You may submit a Claim Form now or wait until the Proposed Settlement is finally approved. (Once the Proposed Settlement is approved, you will have 180 days in which to submit a claim.) You must submit your Claim Form by mail to the Honda Claim Center along with the required documentation. Please mail your Claim Form to: Honda Claim Center P.O. Box 2902 Torrance, CA How will I know that my Claim Form has been received and will be processed? Once your claim is submitted to the Claims Center, Honda will review your Claim Form and advise you by mail of its receipt and of any missing information required to process your claim. You will also be informed if you do not satisfy the necessary requirements to be a Settlement Class Member. 3

4 12. Do I have to Participate in the Proposed Settlement? You are not required to participate in the Proposed Settlement. If you would like to exclude yourself as a Settlement Class Member, you must file a Request for Exclusion with the Court. If you exclude yourself, you will not receive any of the benefits of the Settlement. The procedure for such filing is outlined on page 6, section 8(b) of the Notice. Please note that all Requests For Exclusion must be filed no later than April 25, Can I comment in favor of or against the Proposed Settlement? Yes. If you would like to comment or object to any portion of the Proposed Settlement, you must file your comment or objection with the Court. The procedure for such filing is outlined on pages 6-7, section 8(c) of the Notice. Please be advised that your written comments must be filed no later than April 25, Will I still have the right to bring an individual lawsuit regarding the accuracy of my odometer if I participate in the Settlement? No. If you do not request exclusion, you will be included in the settlement. If it is approved by the Court, you will receive the benefits of the Proposed Settlement but all of your odometer accuracy claims will be extinguished. You will not be able to bring your own lawsuit. 15. Does filing an objection exclude me from the settlement? No. If you object to the Proposed Settlement, and the Settlement is approved, you will receive the benefits from the Settlement but you will be precluded, as a Settlement Class Member, from bringing your own lawsuit or other action against Honda based upon the issues raised in this lawsuit. 16. Will I have to pay attorneys fees to the lawyers representing the class in the lawsuit and the Proposed Settlement. No. Honda has agreed to pay attorneys fees of the lawyers representing Settlement Class Members; If you elect to hire a lawyer to help you with your claim, you will do so at your own expense. 17. When can I expect to receive my benefit? If the Settlement is approved at the May 30, 2007 Fairness Hearing and there are no appeals, all Settlement Class Members with an active warranty will automatically receive the Warranty Extension as described above as early as July Lessees who have a current lease through American Honda Finance will at that time automatically receive the Extension of Lease Mileage Allowances described above or an automatic reimbursement of excess mileage fees already paid. Settlement Class Members who submit properly completed Claim Forms and are eligible for reimbursement for Otherwise Warranted Repairs or Excess Mileage Charges can expect to have 4

5 their claims processed and receive reimbursements within nine months following the Fairness Hearing (assuming the Settlement is approved by the Court). 18. Do I have to be present at the Fairness Hearing? No. Unless you object to the terms of the Proposed Settlement, or unless you decide to exclude yourself from the Settlement, you will be represented at the Fairness Hearing by Class Counsel approved by the Court. 19. What if I have other questions about the Proposed Settlement or my claim? The claims procedure has been made as easy as possible. If, however, you still have questions about the Proposed Settlement or your claim, you can call the Honda Claims Center at for assistance. The Honda Claims Center has been established for your benefit by both Honda and Class Counsel. Its personnel have been specially trained by these parties to assist you. You can also find helpful information on the Claims Center website at or at class counsel s website at What if I have already received a warranty extension from Honda or Acura for some other reason? The warranty extensions provided by the Proposed Settlement are in addition to any other warranty extensions you may have already received or which you may receive in the future. 21. What if I sell my Class Vehicle? The warranty extensions provided by the Proposed Settlement will be transferable with your car for its lifetime subject to the original terms of the warranty. Remember, Honda Care or Acura Care Service Contracts are only transferable to other individuals. 22. What if I am not satisfied with Honda s decision on my claim? All disputes concerning your claim should be first addressed to the Honda Claims Center. If you cannot resolve your differences with the Honda Claims Center, you may submit it to the Better Business Bureau s Autoline dispute resolution process. All decisions by the BBB Autoline will be final. This process is free to you. 23. Where can I find more information on the Better Business Bureau s AutoLine dispute resolution process? You can see your Honda or Acura owner s manual for more details. Also, you can visit the Better Business Bureau s website at 5

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