Mercedes-Benz Lease Trust 2024-B Reports Servicing Compliance, Trustee Faces RMBS Lawsuits

TL;DR

**Mercedes-Benz Auto Lease Trust 2024-B is operationally sound, but keep an eye on U.S. Bank's mounting legal woes, which could cast a shadow on its role as Indenture Trustee.**

AI Summary

The Mercedes-Benz Auto Lease Trust 2024-B's 10-K filing for the fiscal year ended December 31, 2025, primarily details its compliance with servicing criteria and legal disclosures, rather than traditional financial performance metrics like revenue or net income, as it is an asset-backed securities issuer. Mercedes-Benz Financial Services USA LLC, acting as Servicer, and U.S. Bank Trust Company, National Association, as Indenture Trustee, both reported no material instances of noncompliance with applicable servicing criteria, as evidenced by their respective Reports on Assessment (Exhibits 33.1 and 33.2) and Attestation Reports (Exhibits 34.1 and 34.2). The filing explicitly states that items such as Business, Risk Factors, Properties, Legal Proceedings, and Management's Discussion and Analysis of Financial Condition and Results of Operations have been omitted in accordance with General Instruction J(1) to Form 10-K. However, the Indenture Trustee, U.S. Bank National Association, disclosed ongoing material legal proceedings related to its role as trustee for certain residential mortgage-backed securities (RMBS) trusts and student loan-backed Delaware statutory trusts (DSTs), including the NCMSLT Action filed on March 9, 2018, which alleges failures to enforce repurchase obligations and notify securityholders of defaults. These legal challenges, while not directly against the Mercedes-Benz Auto Lease Trust 2024-B, highlight potential operational risks for a key servicing participant.

Why It Matters

This filing is crucial for investors in Mercedes-Benz Auto Lease Trust 2024-B's Asset Backed Notes because it confirms the operational health and compliance of the servicing entities, Mercedes-Benz Financial Services USA LLC and U.S. Bank Trust Company, National Association. The absence of material noncompliance in servicing criteria provides assurance regarding the management of the underlying lease assets. However, the disclosed legal challenges against U.S. Bank National Association, a key Indenture Trustee, in unrelated RMBS and student loan trusts, introduce a competitive context and potential reputational or operational risk for the broader financial market, even if not directly impacting this specific trust's assets. Investors should monitor these legal proceedings as they could indirectly affect the trustee's capacity or standing.

Risk Assessment

Risk Level: medium — The risk level is medium due to the significant legal proceedings disclosed by U.S. Bank National Association, the Indenture Trustee. While these lawsuits (e.g., the NCMSLT Action filed March 9, 2018) are not directly against Mercedes-Benz Auto Lease Trust 2024-B, they involve allegations of trustee failures in other asset-backed securities, which could impact U.S. Bank's operational capacity or reputation, potentially affecting its ability to fulfill its duties for this trust.

Analyst Insight

Investors should maintain their positions in Mercedes-Benz Auto Lease Trust 2024-B's notes given the clean servicing compliance reports. However, they should closely monitor developments in the legal proceedings against U.S. Bank National Association, the Indenture Trustee, as any adverse outcomes could indirectly affect the trust's administrative stability.

Key Numbers

• 0 — Material instances of noncompliance (Reported by Servicer and Indenture Trustee for servicing criteria as of December 31, 2025)
• 2024-B — Trust Series (Identifies the specific Mercedes-Benz Auto Lease Trust)
• 2026-03-31 — Filing Date (Date the 10-K was filed with the SEC)
• 333-265682-04 — Commission File Number of Issuing Entity (Unique identifier for the Mercedes-Benz Auto Lease Trust 2024-B)
• 0002033250 — Central Index Key (CIK) of Issuing Entity (Unique identifier for the Mercedes-Benz Auto Lease Trust 2024-B)

Key Players & Entities

• Mercedes-Benz Auto Lease Trust 2024-B (company) — Issuing Entity
• Mercedes-Benz Financial Services USA LLC (company) — Sponsor, Servicer, Administrator, Titling Trust Administrator
• U.S. Bank Trust Company, National Association (company) — Indenture Trustee
• Wilmington Trust, National Association (company) — Owner Trustee
• Mercedes-Benz Trust Leasing LLC (company) — Depositor
• Collateral Title Co. (company) — Collateral Agent
• Christian Rottenkolber (person) — Vice President and Chief Financial Officer of Mercedes-Benz Financial Services USA LLC
• Delaware Court of Chancery (regulator) — Court handling NCMSLT Action
• March 9, 2018 (date) — Date NCMSLT Action lawsuit was filed
• December 31, 2025 (date) — Fiscal year end for the 10-K report

FAQ

Risk Factors

• Indenture Trustee Legal Proceedings [medium — legal]: U.S. Bank National Association, as Indenture Trustee, is involved in ongoing material legal proceedings related to its role as trustee for other RMBS and DST trusts. The NCMSLT Action, filed March 9, 2018, alleges failures to enforce repurchase obligations and notify securityholders of defaults. While not directly against the 2024-B trust, these proceedings could indicate operational risks for a key servicing participant.
• Servicing Compliance [low — operational]: The Servicer and Indenture Trustee reported no material instances of noncompliance with applicable servicing criteria as of December 31, 2025. This indicates a strong adherence to operational standards for managing the trust's assets.

Industry Context

The auto finance industry, particularly securitization trusts like Mercedes-Benz Auto Lease Trust 2024-B, operates within a highly regulated environment. The performance of these trusts is directly tied to the credit quality of the underlying auto leases and the efficiency of the servicing operations. Trends in vehicle sales, interest rates, and consumer creditworthiness significantly impact the value and performance of the securitized assets.

Regulatory Implications

While the 2024-B trust itself reported no noncompliance with servicing criteria, the legal proceedings involving its Indenture Trustee, U.S. Bank, highlight potential systemic risks within the broader ABS market. Regulatory scrutiny on trustee responsibilities and disclosure practices remains a key consideration for investors in structured finance products.

What Investors Should Do

1. Monitor Indenture Trustee Legal Proceedings
2. Review Servicing Reports Annually

Key Dates

• 2025-12-31: Fiscal Year End — This date marks the end of the reporting period for the servicing criteria assessment.
• 2026-03-31: 10-K Filing Date — This is the date the annual report was filed with the SEC, providing the latest available information.

Glossary

Servicing Criteria

A set of standards and guidelines that govern the administration and management of asset-backed securities, including aspects like payment processing, record-keeping, and compliance. (The filing focuses on the compliance of the Servicer and Indenture Trustee with these criteria, which is crucial for the smooth operation of the trust.)

Indenture Trustee

A financial institution appointed to act on behalf of the bondholders in an indenture, ensuring the issuer complies with the terms of the indenture agreement. (U.S. Bank Trust Company, National Association, serves this role for the 2024-B trust, and its own legal proceedings are noted as a potential risk.)

Asset-Backed Securities (ABS) Issuer

An entity that issues securities backed by a pool of assets, such as auto loans, credit card receivables, or mortgages. (Mercedes-Benz Auto Lease Trust 2024-B is an ABS issuer, meaning its financial reporting focuses on the performance and servicing of the underlying auto leases.)

General Instruction J(1) to Form 10-K

A specific instruction within the SEC's Form 10-K requirements that allows certain types of entities, like ABS issuers, to omit sections not relevant to their operations, such as detailed business descriptions or MD&A. (This instruction explains why traditional financial performance sections are omitted from the 2024-B trust's 10-K.)

Year-Over-Year Comparison

As this filing pertains to the Mercedes-Benz Auto Lease Trust 2024-B, a specific securitization trust, a direct year-over-year comparison of traditional financial metrics like revenue or net income is not applicable. The focus remains on the servicing criteria compliance, which was reported as having zero material instances of noncompliance for the period ending December 31, 2025. The filing omits standard business and financial performance sections as per General Instruction J(1), making a comparative analysis of operational performance against prior periods challenging without access to previous specific trust filings.

Filing Documents

• mbalt2024b_10k_32026.htm (10-K) — 113KB
• e311_mbalt2024b.htm (EX-31) — 10KB
• e331_mbenserv22.htm (EX-33) — 60KB
• e332_ubtcintr.htm (EX-33) — 98KB
• e341_mbenserv22.htm (EX-34) — 11KB
• e342_ubtcintr.htm (EX-34) — 9KB
• e351_mbenserv22mbalt2024b.htm (EX-35) — 6KB
• 0001853620-26-000095.txt ( ) — 308KB

Unresolved

Item 1B. Unresolved Staff Comments. Nothing to report. The following Items have been omitted in accordance with General Instruction J(1) to Form 10-K:

Risk

Item 1A. Risk Factors. Item 1C. Cybersecurity.

Legal

Item 3. Legal Proceedings. Item 4. Mine Safety Disclosures. PART II

Other

Item 9B. Other Information. Nothing to report. The following Items have been omitted in accordance with General Instruction J(1) to Form 10-K:

Market

Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.

Management’s

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Quantitative

Item 7A. Quantitative and Qualitative Disclosures About Market Risk.

Changes

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure.

Controls

Item 9A. Controls and Procedures. Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections. PART III The following Items have been omitted in accordance with General Instruction J(1) to Form 10-K:

Directors,

Item 10. Directors, Executive Officers and Corporate Governance.

Executive

Item 11. Executive Compensation.

Certain

Item 13. Certain Relationships and Related Transactions, and Director Independence.

Principal

Item 14. Principal Accountant Fees and Services. 1 PURSUANT TO GENERAL INSTRUCTION J(2) THE FOLLOWING SUBSTITUTE INFORMATION IS BEING PROVIDED IN THIS REPORT ON FORM 10-K:

(b)

Item 1112(b) of Regulation AB. Significant Obligors of Pool Assets – Financial Information. Nothing to report.

(b)(2)

Item 1114(b)(2) of Regulation AB. Credit Enhancement and Other Support, Except for Certain Derivatives Instruments – Financial Information. Nothing to report.

(b)

Item 1115(b) of Regulation AB. Certain Derivatives Instruments – Financial Information. Nothing to report. Item 1117 of Regulation AB. Legal Proceedings. There are no legal proceedings pending, or any proceedings known to be contemplated by governmental authorities, against the Sponsor, the Depositor, U.S. Bank Trust Company, National Association (the “Indenture Trustee”), Wilmington Trust, National Association (the “Owner Trustee”), Mercedes-Benz Vehicle Trust (the “Titling Trust”), Collateral Title Co. (the “Collateral Agent”), the Issuing Entity, or any other party contemplated by Item 1117 of Regulation AB or any property thereof, that are material to holders of the Asset Backed Notes issued by the Issuing Entity (the “Notes”), except to the extent set forth below with respect to the Indenture Trustee. The Indenture Trustee has provided the information contained in the following five paragraphs for purposes of compliance with Regulation AB: U.S. Bank National Association (“U.S. Bank”) and other large financial institutions have been sued in their capacity as trustee or successor trustee for certain residential mortgage backed securities ("RMBS") trusts. The complaints, primarily filed by investors or investor groups against U.S. Bank and similar institutions, allege the trustees caused losses to investors as a result of alleged failures by the sponsors, mortgage loan sellers and servicers to comply with the governing agreements for these RMBS trusts. Plaintiffs generally assert causes of action based upon the trustees’ purported failures to enforce repurchase obligations of mortgage loan sellers for alleged breaches of representations and warranties, notify securityholders of purported events of default allegedly caused by breaches of servicing standards by mortgage loan servicers and abide by a heightened standard of care following alleged events of default.

Exhibits

Item 15. Exhibits and Financial Statement Schedules. (a) The following documents are filed as part of this report (1) Not applicable. (2) Not applicable. (3) See

(b) below

Item 15(b) below. (b) Exhibits Required by Item 601 of Regulation S-K 3 Exhibit Number Description 1.1 Underwriting Agreement, dated September 17, 2024, among Mercedes-Benz Trust Leasing LLC, as Depositor, Mercedes-Benz Financial Services USA LLC, and MUFG Securities Americas Inc., BNP Paribas Securities Corp. and Citigroup Global Markets Inc., as representatives of the several underwriters named therein (included in Exhibit 1.1 to the Form 8-K of the Issuing Entity, as filed with the SEC on September 19, 2024, which is incorporated herein by reference). 3.1 Certificate of Formation of Mercedes-Benz Trust Leasing LLC (included in Exhibit 3.1 to the Registration Statement on Form SF-3 of the Depositor, Nos. 333-265682 and 333-265682-01, as filed with the SEC on June 17, 2022, which is incorporated herein by reference). 3.2 Limited Liability Company Agreement of Mercedes-Benz Leasing LLC (included in Exhibit 3.2 to the Registration Statement on Form S-3 of the Depositor, Nos. 333-178761 and 333-178761-01, as filed with the SEC on December 27, 2011, which is incorporated herein by reference). 3.5 Amended and Restated Trust Agreement of Mercedes-Benz Vehicle Trust, dated as of January 31, 2023, among Mercedes-Benz Trust Holdings LLC, as initial beneficiary, BNY Mellon Trust of Delaware, as trustee, and Mercedes-Benz Financial Services USA LLC, as titling trust administrator (included as Exhibit 3.5 to Post-Effective Amendment No. 1 to the Registration Statement on Form SF-3 of the Depositor, Nos. 333-265682 and 333-265682-01, as filed with the SEC on March 21, 2023, which is incorporated herein by reference). 4.1 Indenture, dated as of September 1, 2024, between the Issuing Entity and U.S. Bank Trust Company, National Association, as Indenture Trustee (included in Exhibit 4.1 to the Form 8-K of the Issuing Entity, as filed with the SEC on September 26, 2024, which is incorporated herein by reference). 4.2 Amended and Restated Trust Agreement, d

SIGNATURES

SIGNATURES Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Mercedes-Benz Auto Lease Trust 2024-B (Issuing Entity) By: Mercedes-Benz Financial Services USA LLC (Servicer) By: /s/ Rottenkolber Name: Christian Rottenkolber Title: Vice President and Chief Financial Officer (senior officer in charge of the servicing function for the Servicer) Dated: March 25, 2026 7 EXHIBIT INDEX Exhibit Number Description 1.1

Underwriting

Underwriting Agreement, dated September 17, 2024, among Mercedes-Benz Trust Leasing LLC, as Depositor, Mercedes-Benz Financial Services USA LLC, and MUFG Securities Americas Inc., BNP Paribas Securities Corp. and Citigroup Global Markets Inc., as representatives of the several underwriters named therein (included in Exhibit 1.1 to the Form 8 K of the Issuing Entity, as filed with the SEC on September 19, 2024, which is incorporated herein by reference). 3.1 Certificate of Formation of Mercedes-Benz Trust Leasing LLC (included in Exhibit 3.2 to the Registration Statement on Form SF-3 of the Depositor, Nos. 333-265682 and 333-265682-01, as filed with the SEC on June 17, 2022, which is incorporated herein by reference). 3.2 Limited Liability Company Agreement of Mercedes-Benz Trust Leasing LLC (included in Exhibit 3.2 to the Registration Statement on Form S-3 of the Depositor, Nos. 333-178761 and 333-178761-01, as filed with the SEC on December 27, 2011, which is incorporated herein by reference). 3.5 Amended and Restated Trust Agreement of Mercedes-Benz Vehicle Trust, dated as of January 31, 2023, among Mercedes-Benz Trust Holdings LLC, as initial beneficiary, BNY Mellon Trust of Delaware, as trustee, and Mercedes-Benz Financial Services USA LLC, as titling trust administrator (included as Exhibit 3.5 to Post-Effective Amendment No. 1 to the Registration Statement on Form SF-3 of the Depositor, Nos. 333-265682 and 333-265682-01, as filed with the SEC on March 21, 2023, which is incorporated herein by reference). 4.1 Indenture, dated as of September 1, 2024, between the Issuing Entity and U.S. Bank Trust Company, National Association, as Indenture Trustee (included in Exhibit 4.1 to the Form 8-K of the Issuing Entity, as filed with the SEC on September 26, 2024, which is incorporated herein by reference). 4.2 Amended and Restated Trust Agreement, dated as of September 1, 2024, among Mercedes-Benz Trust Leasing LLC, as Depositor, and Wilmington Trust, Nat

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