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Toyota to Settle Shareholder Lawsuit for $26 Million
Toyota Motor Corp. has agreed to pay $26 million to investors to settle a federal lawsuit in Los Angeles about stock losses blamed on publicity about sudden acceleration of the company's vehicles in 2009-2010.
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Toyota Motor Corp. has agreed to pay $26 million to investors to settle a federal lawsuit in Los Angeles about stock losses blamed on publicity about sudden acceleration of the company's vehicles in 2009-2010. The deal requires court approval.
Plaintiffs in the class-action suit led by Maryland's state pension fund allege that Toyota failed to properly disclose safety defects and swiftly launch recalls to fix them.
The shareholders sought damages of more than $100 million. They note that the company's market capitalization plunged as much as $30 billion during the crisis.
Toyota still faces hundreds of personal injury and wrongful death claims and lawsuits from consumers who contend the defects reduced the value of their vehicles. The first trials in those cases are scheduled for early next year.
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