Mexican Media Brands
GM Will Pay $120 Million to Settle State Ignition-Switch Claims
General Motors Co. has agreed to pay $120 million to settle claims by state attorneys general that GM knew about defects in 2.6 million of its ignition switches but concealed the problem for years, thereby violating state consumer protection laws.
#legal
Share
General Motors Co. has agreed to pay $120 million to settle claims by state attorneys general that GM knew about defects in 2.6 million of its ignition switches but concealed the problem for years, thereby violating state consumer protection laws.
The switches have been blamed for 124 deaths and 275 major injuries. GM previously paid some $2.5 billion in penalties and settlements relating to the flawed devices.
The switches can easily be jogged out of the “run” position, thereby shutting off the engine and disabling the vehicle’s power steering, power brakes and airbag system.
The settlement resolves lawsuits by 49 states and the District of Columbia. The agreement stipulates that GM dealers cannot sell so-called “certified” used cars until the vehicles have had all outstanding recall work completed.
RELATED CONTENT
-
Tesla’s Autopilot Feature Deemed Partly to Blame in Fatal Crash
The U.S. National Transportation Safety Board has concluded that Tesla Inc.’s semi-autonomous Autopilot feature was partly to blame for a crash 15 months ago that killed one of the carmaker’s customers.
-
U.S. Justice Dept. Asks VW to Delay Diesel Cheating Report
The U.S. Dept. of Justice has asked Volkswagen AG not to release findings of an independent probe into the German carmaker's diesel emission cheating scandal.
-
Tesla Faces Second Autopilot Fatality Lawsuit
Tesla Inc. has been sued for the second time in three months by families of drivers killed in crashes while using the company’s Autopilot semi-self-driving feature.