Kroupa

Plaintiffs James and Melissa Kroupa (Kroupa) sued an automobile dealer, a lease broker and the ultimate lessor for fraud and violations of consumer protection laws in connection with Kroupa’s lease of a 1991 Ford pickup truck. Kroupa appeals from the judgment entered against them after a bench trial. The judgment included an award of $12,089.01 plus prejudgment interest on lessor’s cross-complaint for breach of the lease, and an award of attorneys’ fees and costs to all defendants totaling $415,969.88.

The appellate issues relate to the sufficiency of the trial court’s statement of intended decision, violations of section 2985.8 of the Vehicle Leasing Act (the Act), violation of the federal Truth in Lending Act, and the amount of the award for attorneys’ fees.

We conclude there was a violation of the Act, and reverse the judgment with remand for a determination of the amount of the respondents’ liability to Kroupa under the Act.

Factual and Procedural Background

On July 14, 1991, Kroupa leased a 1991 Ford pickup from defendant Sunrise Ford. At the time, Kroupa had two vehicles, a 1990 Ford truck on which Kroupa owed almost $18,000, and a 1991 Ford Escort under lease…