A proposed class settlement of economic loss claims by persons who owned or leased certain GM vehicles that were recalled in 2014 has been submitted for approval to the federal district court. The recalls involved the ignition system, key rotation, electronic power steering and/or side airbag wiring. Plaintiffs claim that consumers overpaid when they bought or leased these vehicles. General Motors LLC (“New GM”), the Motors Liquidation Company GUC Trust (“the GUC Trust”), and the Motors Liquidation Company Avoidance Action Trust (“the AAT”) deny these allegations. Plaintiffs, the GUC Trust, New GM and the AAT have agreed to a settlement to avoid the risk and cost of further litigation. [Read more…]
As reported by Law360 (subscription), U.S. District Judge Jesse M. Furman has issued an order granting preliminary approval to a $120 million settlement deal reached by plaintiff drivers with General Motors over vehicles that lost value from faulty ignition switches, finding that the deal is fair and that he will “likely be able to grant final approval.” The immanent settlement was reached after a bankruptcy deal cleared away a large remaining obstacle. [Read more…]
As reported by Law360 (subscription), the trust for General Motors’ unsecured creditors has submitted a new proposal to a New York bankruptcy court containing a revised proposed settlement of the company’s legacy ignition switch lawsuits, under which consumers who claim GM sold them defective vehicles seek class certification for their claims. [Read more…]
As the first GM ignition defect bellwether trial opens early next week, Law360 provides a case overview and analysis of the challenges facing GM. The cases arise in the wake of a now-notorious GM ignition switch defect that can cause car keys to slip from the run to accessory position, causing the vehicle to stall and shutting down its power controls and air bags. The defect affects over 12 million recalled GM vehicles, including multiple Buick, Cadillac, Chevrolet, GMC, Oldsmobile, Pontiac, and Saturn models. (You can view a detailed list on our GM Ignition Injury and Recall case page). [Read more…]
U.S. District Judge Jesse Furman in Manhattan stated that the arguments General Motors Co. presented for dismissal of the automaker’s faulty ignition switch trial “fail as a matter of law.” As a result of Furman’s refusal to dismiss plaintiffs’ allegations, the first case against GM will proceed to trial, set to begin January 11. [Read more…]
In an article examining the landscape of 2016 automotive product liability defect cases,Law360 spoke with Lieff Cabraser partner Elizabeth Cabraser about the General Motors deadly ignition switch defect cases. The defect, which can cause vehicles to lose power and thus prevent airbags from deploying, has allegedly caused hundreds of deaths and injuries and has affected millions of GM autos. [Read more…]
Attorneys Steve Berman, Bob Hilliard and Elizabeth Cabraser, co-lead counsel in the high-profile, class-action lawsuit against General Motors Co (NYSE: GM) today responded to the $900 million fines levied against the automaker and GM’s admission to concealing a defect that it was required by law to report under the Motor Vehicle Safety Act.
In response to reports that the fund created by GM to provide compensation to the families of people who died and persons seriously injured in accidents linked to GM ignition switch defect has approved its 100th settlement offer for a death claim, Elizabeth J. Cabraser of the national plaintiffs’ law firm Lieff Cabraser Heimann & Bernstein, LLP, and Co-Lead Plaintiffs’ Counsel in the GM ignition switch litigation in federal court issued the following statement today: