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Appeals Court Restores Hyundai-Kia Fuel Economy Payout

A federal appeals court in California has restored a $210 million settlement for owners of Hyundai and Kia cars whose fuel economy ratings were inflated, Reuters reports.
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A federal appeals court in California has restored a $210 million settlement for owners of Hyundai and Kia cars whose fuel economy ratings were inflated, Reuters reports.

The 6-year-old lawsuit stems from an investigation by the Environmental Protection Agency that concluded Hyundai Motor Co. and its Kia Motors affiliate inflated the fuel efficiency of 900,000 vehicles they sold in the U.S. in 2011-2013.

The companies agreed to a $210 million class-action settlement. But the deal was rejected in 2013 by a three-judge panel in California that said the lower court failed to consider whether variations in state laws would change the definition of the group covered by the settlement.

Last summer the court agreed to convene an 11-member panel to review the ruling. The court voted 8-3 to restore the original agreement, ruling that the plaintiffs had enough in common to be treated as a single group.

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