85 GM Lost-Value Lawsuits Go to New York Court

At least 85 lawsuits from people who claim their cars lost value because of General Motors Co.'s ignition switch recall will be heard as a group by a federal court in New York City.

The pretrial proceedings for the cases will be handled by U.S. District Judge Jesse Furman, who also presided over lawsuits related to GM's bankruptcy in 2009. If the cases can't be settled, they will return to their original courts.

GM had requested that the cases be heard in New York near the court that handled the company's bankruptcy. GM has separately asked the latter court's judge, Robert Gerber, to stand by his earlier ruling that the "new" GM is shielded from liabilities incurred by old GM.

Plaintiffs' attorneys have estimated that the average value of the 26 million cars involved in the GM recall have dropped by $500-$1,000.