Ford Motor Credit Company v. Milhollin

PETITIONER: Ford Motor Credit Company
RESPONDENT: Milhollin
LOCATION: U.S. District Court for the Western District of Texas, San Antonio Division

DOCKET NO.: 78-1487
DECIDED BY: Burger Court (1975-1981)
LOWER COURT: United States Court of Appeals for the Ninth Circuit

CITATION: 444 US 555 (1980)
ARGUED: Dec 04, 1979
DECIDED: Feb 20, 1980

ADVOCATES:
Richard A. Slottee - on behalf of the Respondents
Stone A. Smith -
Stuart A. Smith - as amicus curiae, supporting Petitioners
William M. Burke - on behalf of the Petitioners

Facts of the case

Question

Media for Ford Motor Credit Company v. Milhollin

Audio Transcription for Oral Argument - December 04, 1979 in Ford Motor Credit Company v. Milhollin

Audio Transcription for Opinion Announcement - February 20, 1980 in Ford Motor Credit Company v. Milhollin

Warren E. Burger:

Mr. Justice -- the judgment and opinion of the Court in Ford Motor Credit Company against Milhollin and a second case, Seatrain Shipbuilding Corporation against Shell Oil Company will be announced by Mr. Justice Brennan.

William J. Brennan, Jr.:

The Ford Motor Credit Company case is here on certiorari from the Ninth Circuit.

The question it presents is whether the petitioner, finance company, violated the Truth in Lending Act and the implementing Federal Reserve Board Regulation Z by failing to disclose on the front page of its standard retail installment contracts that the petitioner retained the right to accelerate payment of the full amount of the debt upon the buyers to fall in the payment of any installment.

The District Court for the District of Oregon held that facial disclosure of this acceleration clause was mandated by the Truth in Lending Act.

The Court of Appeals for the Ninth Circuit affirmed but on another ground.

We reversed.

We hold for reason stated and in an opinion filed today with the clerk that the Truth and Lending Act does not mandate a general rule of disclosure for these acceleration clauses.

Mr. Justice Blackmun joined by the Chief Justice while joining the court opinion has also filed a concurring opinion.