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Posts Tagged ‘gm ignition switch lawsuit’

Bad Week for Those Suing Takata, GM

Courts side with airbag maker; GM derails $1b settlement over faulty ignition switches.

by on Aug.18, 2017

As many as 18 people are known to have died due to faulty Takata airbag inflators.

Motorists looking for settlements related to two of the biggest safety scandals in recent years were in for some unpleasant surprises this week.

General Motors derailed a deal that could have forced it to provide $1 billion in stock to thousands of plaintiffs suing over the company’s faulty ignition switches which were linked to more than 100 deaths and hundreds of injuries.

The Last Word!

Separately, a Delaware bankruptcy court halted a collection of lawsuits filed against the Japanese auto partsmaker seeking damages related to faulty airbags now linked to as many as 18 deaths and about 180 injuries worldwide – though the suits may continue after a 90-day ordered by Judge Brendan Shannon.


Supreme Court Ignition Switch Ruling Could Be Costly for GM

Court opens the door to new lawsuits.

by on Apr.24, 2017

A replacement for the faulty GM ignition switches.

The U.S. Supreme Court has rejected an appeal from General Motors, a move that means the automaker could be exposed to a spate of new lawsuits stemming out of its cover-up of an ignition switch defect blamed for killing at least 124 people.

The automaker had hoped that it was protected from lawsuits that occurred before its 2009 bankruptcy, a position taken by the court that handled the GM run through Chapter 11. But a 2016 ruling by the New York-based 2nd U.S. Circuit Court of Appeals reversed that position. And, with the Supreme Court refusing to hear the case, GM now could face claims predating its bankruptcy.

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“Hundreds of death and injury cases have been frozen in place for years as GM wrongly tried to hide behind a fake bankruptcy,” Robert Hilliard, a lead counsel for plaintiffs affected by the ignition switch defect, said in a statement. “Now, GM can hide no 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…)

Lawyer Plans to Depose Former GM CEO Wagoner

Attorney wants to interview Wagoner’s successors as part of lawsuit.

by on Jun.03, 2015

Former GM CEO Rick Wagoner will be deposed in September as part of a lawsuit against the automaker.

The net cast by lawyers directing the class-action lawsuits against General Motors related to the faulty ignition switches just got a little wider as they announced former CEO Rick Wagoner will be deposed in September.

Wagoner, who was CEO when the company headed into bankruptcy in 2009, won’t be the only former chief sitting down to testify, if Bob Hilliard, the Texas attorney who is leading one of the class-action personal injury and death lawsuits against GM.

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He also wants to depose Wagoner’s successors: Fritz Henderson, Ed Whitacre and Dan Akerson. They were on the job when the U.S. government owned a significant share of the automaker. Hilliard said he wants to get “every CEO who was there during the active cover up,” according to the Detroit News. (more…)

Court Upholds GM’s Bankruptcy Shield from Death Claims

But judge leaves potential loophole for plaintiffs.

by on Apr.16, 2015

The faulty GM ignition switch could inadvertently move to the Off position, causing a crash.

General Motors has been handed a major victory in its effort to shield itself from lawsuits linked to the defective ignition switches it used in older vehicles.

A federal judge has ruled the “new GM” is not liable for death and injury claims for crashes that occurred prior to the automaker’s emergence from bankruptcy in July 2009 – even in the event of misconduct by the “old GM.” But ruling from the federal bench in New York, Judge Robert Gerber did say owners could seek damages if they prove vehicles equipped with those switches have lost value since GM exited Chapter 11.

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The automaker hailed the news which, it said, “doesn’t establish any liability against GM.” It also noted that the burden will be on plaintiffs to prove any new claims for losses.


Federal Judge Urges Settlement of GM Lawsuits

Most of the cases claim economic losses.

by on Aug.13, 2014

One of the replacement ignition switches.

A federal judge is encouraging attorneys to settle over 100 lawsuits that have been brought against General Motors in cases involving the maker’s defective ignition switches.

The majority of those cases involve economic losses, claims that used GM vehicles have lost value as a result of the maker’s ignition switch recall. But about a dozen of those cases involve personal injury claims, according to the Associated Press. In all, attorneys represent nearly 1,000 individual plaintiffs suing GM.

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U.S. District Judge Jesse M. Furman said he intends “to encourage settlement as much as possible.”  But whether the plaintiffs’ attorneys take the jurist’s advice may depend on what happens in another courtroom.


SEC Launches GM Probe

GM facing expanding list of lawsuits, investigations over handling of defective ignition switch recall.

by on Apr.24, 2014

A replacement GM ignition switch. The maker has notified 1.4 million owners to start scheduling repairs.

The U.S. Securities and Exchange Commission is the latest government agency to be probing the way General Motors handled the recall of 2.6 million vehicles due to an ignition switch defect linked to the deaths of at least 13 people.

The SEC probe came to light through the automaker’s quarterly SEC filing accompanying its annual earnings report. Neither GM nor the SEC would subsequently comment on the investigation.

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The SEC investigation comes on top of separate probes by the U.S. Justice Department, the National Highway Traffic Safety Administration, and committees of both houses of Congress. General Motors is conducting its own internal probe, meanwhile, spearheaded by the former U.S. Attorney who oversaw the government’s scrutiny of the collapse of financial firm Lehman Brothers.