Toyota Settles State Acceleration Claims

Toyota Motor Co. says it has reached an agreement with the attorneys general of 29 U.S. states and the territory of Samoa to resolve complaints about the way the company handled vehicle recalls between 2005 and 2010.

Without admitting wrongdoing, Toyota will pay a combined $29 million to the 30 parties to the settlement.

Under the agreement, the company will set aside about $5 million in additional funding to reimburse customers for such expenses as vehicle towing, cab fares and car rentals. The money will cover costs incurred during Toyota's wave of recalls in 2009-2010 to fix mechanical defects that could cause sudden acceleration.

The attorneys general also won the company's promise to adopt an array of consumer-protection measures, including making safety- and recall-related information more accessible to its customers. Toyota also pledged to continue its rapid-response service teams and its expanded U.S. network of product quality field offices.

The company agreed in December to pay $1.1 billion to settle federal lawsuits filed by owners who say the sudden-acceleration recalls hurt the resale value of their vehicles. Toyota still faces hundreds of personal-injury lawsuits.