Wales v. Arizona RV Centers LLC

The Waleses (plaintiffs) bought an RV from Camping World (defendant) with financing assigned to Bank of America (BOA), and the RV suffered significant mechanical defects; they sought rescission of the purchase and sued Camping World, BOA, and the manufacturer, and BOA moved to dismiss the claims against it as the assignee lender.

Whether the Federal Trade Commission's holder-in-due-course rule allows a buyer to bring an affirmative claim against a lender where a substantial breach warrants rescission of a sales agreement.