- McMillan Shakespeare (MMS) has settled the National Warranty Company class action, pending approval by the Federal Court of Australia
- The class action related to warranties issued for vehicles between July 2013 and May 2015, the majority of this period McMillan did not own the company
- The ASX-200 lister only came to hold the National Warranty Company when it acquired parent company Presidian Holdings in February 2015
- The settlement is without any admission of liability and McMillan has provided a charge of $2 million to its statutory net profit for the 2020 Financial Year to “deal with” the settlement
- MMS shares gained 4.8 per cent today to close at $8.80
McMillan McMillan Shakespeare (MMS) has settled the National Warranty Company class action, pending approval by the Federal Court of Australia.
The ASX-200 lister acquired Presidian Holding and its subsidiary National Warranty Company, operated by Davantage Group, in February 2015.
The class action, filed in August 2018, related to warranties issued between July 1, 2013, and May 28, 2015, for domestic or personal vehicles and sought orders that the warranties are void.
Today’s settlement is without admission of liability and is subject to court approval.
While the McMillan did not disclose the exact amount to be paid, the company has provided a charge of approximately $2 million, plus legal fees, to its statutory net profit for the 2020 Financial Year to “deal with” the settlement.
MMS shares gained 4.8 per cent today to close at $8.80.