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Posts Tagged ‘GM faulty ignition switch’

GM Settles 200-Plus Ignition Switch Lawsuits

Terms of the deal were not disclosed, but likely to carry over to state filings.

by on Jun.23, 2017

General Motors settled more than 200 lawsuits related to its faulty ignition switches.

After years of attempting to legally maneuver its way out of lawsuits about its defective ignition switches, General Motors agreed to settle more than 200 federal lawsuits, according to a recent court filing.

The filing revealed that the settlement terms are confidential, but the deal could pave the way to resolved hundreds of similar claims at the state court level, lawyers said in the filing, according to Reuters.

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The defective switches could move from the power to the accessory position, causing the vehicle to stall, cutting power to several systems in the vehicle, including the brakes, steering and airbags. The problem, which GM engineers hid for more than a decade, has been tied to 124 deaths and 275 injuries. (more…)

GM Settles Final Two Bellwether Cases

Automaker still has more ignition-related problems to solve.

by on Sep.06, 2016

GM settled the final two of six bellwether cases designed to set the pattern for future settlements related to the maker's faulty ignition switches.

General Motors Co. agreed to settlements in the final two ignition-switch cases slated for trial in a New York federal court this year. Terms of the settlements were not disclosed.

The settlements move GM closer to putting to rest a significant portion the claims that followed the use of a defective ignition switch that GM installed in more than 2.6 million vehicles resulting in 84 separate recalls.

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The cases were the final two among a half dozen “bellwether” trials aimed at setting patterns for a larger group of personal injury and wrongful death suits. GM recalled the vehicles with faulty ignition switches in early 2014 after it was proven that jostling the switches could turn off engines and safety features including power steering, power brakes and airbags, creating a substantial hazard for drivers and passengers. (more…)

GM’s Fourth Bellwether Case Dismissed

Automaker comes out ahead in three of four cases.

by on Apr.11, 2016

GM won the fourth of six bellwether cases designed to set the pattern for future settlements related to the maker's faulty ignition switches.

In quick succession, General Motors has avoided major damage in four of six injury lawsuits that were expected to dominate the calendar in 2016.

GM confirmed that plaintiffs’ lawyers suing over a faulty ignition switch design linked to nearly 400 injuries and deAdd an Imageaths dismissed what was scheduled to be the fourth in a series of six test trials over the defect, according to Reuters.

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The dismissal followed a settlement in what was to be the third lawsuit to go to trial and followed a win for the automaker a week ago in the first of the so-called bellwether trials to reach a verdict. Terms of the settlement in what was to be the third bellwether case were not disclosed. (more…)

GM Wins Second Ignition Switch Lawsuit

Verdict could give automaker upper hand in settling remains suits.

by on Mar.30, 2016

General Motors won a second lawsuit in as many months over the role its faulty ignition switches played in an accident.

A jury has ruled that a defective General Motors ignition switch was not to blame for the 2014 crash of a vehicle in New Orleans. The second verdict to favor the automaker in a series of cases being heard in a federal courtroom in New York City, it could improve GM’s position as it looks to settle hundreds of other ignition switch cases.

The first trial was unexpectedly halted when evidence was presented showing the plaintiff lied about his crash and subsequent medical injuries. But four other so-called bellwether cases are yet to be heard by the court.

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“The jurors studied the merits of the case and saw the truth: This was a very minor accident that had absolutely nothing to do with the car’s ignition switch,” said GM, in a statement referring to the 2014 crash of a 2007 Saturn Sky. (more…)

GM Fund Denies 91 Percent of Ignition Recall Claims

Automaker faces hundreds of wrongful death lawsuits.

by on Aug.25, 2015

GM's compensation fund for victims of its faulty ignition switch denied 91% of the claims filed.

The team handling the fund established by General Motors completed processing the more than 4,300 claims submitted, denying 91% of them.

GM recalled nearly 2.6 million small cars last year due to a faulty ignition switch. The switch allowed the ignition to move from the “on” to the “accessories” position, cutting the power to the car’s power steering and airbag.

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Led by Kenneth Feinberg, the attorney who oversaw similar funds for BP, 9/11 victims and other events, the fund approved 399 of the 4,343 claims filed and rejected 3,944. (more…)

GM Ignition Switch Related Deaths Rises to 42

Feinberg approves four more fatalities for settlements.

by on Dec.17, 2014

Kenneth Feinberg has approved 42 claims for death benefits from the GM victims compensation fund.

While General Motors’ executives continue to speak confidently of having put the ignition switch recall in the rear-view mirror, casualty claims related to the defective vehicles continue to climb.

Four more deaths have been linked to the ignition defect, raising the total to 42 fatalities, according to a report Monday from the attorney running the compensation fund for victims of crashes attributed to the faulty ignition.

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GM has received a total of 2,326 claims — 251 for deaths, 156 for catastrophic injuries and 1,919 for less-serious injuries that required hospitalization — according to the latest report from Kenneth Feinberg, the New York super lawyer, who was selected by GM to administer the claims settlements. (more…)

Deaths Attributable to GM Ignition Switch Problem Rises

Feinberg approves payment on claims for 19 deaths.

by on Sep.15, 2014

GM victims' fund czar Kenneth Feinberg approved payouts for 19 death claims.

The number of people killed as a result of General Motors’ faulty ignition switch allowing for the deactivation of the airbags in 2.6 million compact vehicles now officially stands at 19.

The problem the ignitions centers on a faulty switch that could inadvertently turn from the “On” position to “Off” or “Accessory” when the vehicle is jostled. In such an instance, the car would stall and its power steering and brakes, as well as its airbag system, would deactivate.

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Prior to now, GM admitted to 13 deaths resulting from the problems. The new number is the result of the findings of Kenneth Feinberg, the attorney overseeing the independent compensation fund set up by GM, who has approved 31 compensation claims, including 19 deaths. (more…)

Ignition Switch Victim’s Family Re-files Suit Against GM

Suit alleges engineer lied under oath.

by on May.12, 2014

GM CEO Mary Barra's congressional committee testimony may have led to the most recent lawsuit filed against the maker.

The family of perhaps the best-known of the victims General Motors’ faulty ignition switch, Brooke Melton, is refiling its civil liability suit against the automaker – after agreeing to a settlement earlier.

The filing alleges a GM representative lied about his knowledge of the problem. Lance Cooper and Jere Beasley, attorneys for Ken and Beth Melton, parents of Brooke Melton who died behind the wheel of a 2005 Chevy Cobalt, claim that GM CEO Mary Barra’s assertion that one of the engineers involved in the case may have lied under oath gives them the green light to refile their lawsuit. Barra’s claim came during her testimony in congressional hearings in early April.

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“The Meltons would not have settled their case if they had known of the perjury and concealment of critical evidence,” said Cooper, founding partner of the Cooper Firm in Marietta, Ga., in a statement. (more…)

Judge Declines to Order GM to Park Recalled Cars

Automaker working with dealers to fix vehicles.

by on Apr.17, 2014

Family members gather outside the Capitol on Tuesday to mourn victims killed in GM ignition switch crashes. Photo courtesy: Autoblog.com

U.S. District Court Judge Nelva Thomas declined to issue a “park it now” order to General Motors related to the 2.6 million vehicles affected by the company’s ignition switch recall.

“We are pleased that the Court denied the motion for preliminary injunction filed in the Silvas case,” GM spokesman Greg Martin said.

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The six-page ruling is the result of an effort by Texas attorney Bob Hilliard representing several families in Texas. Hilliard asked for the emergency injunction on April 4 because he feels the vehicles pose a significant safety threat. (more…)

GM-Delphi’s Tumultuous History Plays Role in Switch Problem

Cutting costs at expense of quality common impacted ignition.

by on Apr.03, 2014

GM CEO Mary Barra told a Senate subcommittee yesterday that in the past that GM's focus was wrongly on cost instead of customers. The relationship between GM and Delphi was a prime example.

Lawyers and Congressmen looking for the answer to why General Motors decided not to fix the ignition switch that has now been implicated in at least 13 deaths may want to look more closely at the tangled history of GM’s spinoff of the Delphi Corp., the supplier of the defective switch.

In her congressional testimony, GM CEO Mary Barra said the company’s old culture emphasized cost cutting and cost containment over customer service and promised that was now changing.

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The critical Delphi-GM relationship was at epicenter of the cost-containment strategy pursued by GM’s senior management after the company ran into financial difficulties, which led to the removal of then-Chairman Robert Stempel. The physical separation of Delphi and GM was being carried out even as the switch was being designed for cars then on GM’s drawing board. (more…)