General Motors Defective Vehicle Lawsuits Explained

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General Motors faces many lawsuits over faulty cars. Thousands of owners have reported issues with GM vehicles. This article explains the main legal actions against GM and how they affect car owners.

Read on to learn your rights.

Key Takeaways

  • GM faces multiple lawsuits over defective vehicles, including faulty transmissions in 800,000 cars (2015-2019 models), paint defects in SUVs (2015-2020 models), and improper sharing of driver data.
  • A major class action lawsuit involves 8L45 and 8L90 eight-speed transmissions in Cadillac, Chevrolet, and GMC vehicles, causing shaking, shuddering, and unsafe driving conditions.
  • GM has reached settlements for various issues, including a $50 million deal for faulty CP4 fuel pumps and a $150 million settlement for defective Chevrolet Bolt batteries (2017-2022 models).
  • Breach of warranty lawsuits filed in February 2024 claim GM failed to honor warranties, causing financial losses to consumers due to repairs and decreased vehicle value.
  • The 2009 GM bankruptcy agreement was modified to protect consumer rights, allowing car owners to seek compensation for injuries caused by defective vehicles.

Overview of GM Defective Vehicle Lawsuits

A deserted GM manufacturing plant with abandoned, damaged vehicles.

General Motors faces a storm of legal troubles due to defective vehicles. Multiple class action lawsuits and settlements plague the company as of July 19, 2024. These legal battles stem from various issues, including faulty paint, improper data handling, defective batteries, and problematic fuel pumps in certain models.

GM’s most notorious case involved a 2014 recall of over 2.6 million vehicles. This recall addressed a deadly ignition switch defect in models from 2003 to 2007, such as the Chevrolet Cobalt and Saturn Ion.

GM’s delayed recall of the ignition switch issue for nearly 11 years highlights the gravity of their product liability concerns.

GM’s legal woes extend beyond the ignition switch scandal. The company now grapples with claims of paint defects, data privacy violations, and other safety issues. These lawsuits aim to hold GM accountable for alleged product flaws and consumer rights violations.

The next section will delve into the specific class action lawsuits regarding faulty transmissions in GM vehicles.

Class Action Lawsuits on Faulty Transmissions

Moving from the broad overview of GM’s legal troubles, we now focus on a major issue: faulty transmissions. The 6th U.S. Circuit Court of Appeals has ordered General Motors to face a class action lawsuit.

This lawsuit involves 8L45 and 8L90 eight-speed transmissions in about 800,000 vehicles. The affected models include popular brands like Cadillac, Chevrolet, and GMC, spanning years 2015 to 2019.

Owners report serious problems with these transmissions. Cars shake and shudder in higher gears, while lower gears cause hesitation and lurching. These issues make driving unsafe and uncomfortable.

GM’s response was to tell dealers these problems were “normal.” But Judge Karen Nelson Moore rejected GM’s arguments, allowing the case to move forward. This lawsuit aims to hold GM accountable for these widespread transmission defects.

As a mechanic, I’ve seen firsthand how these faulty transmissions can impact a car’s performance and safety.

Claims of Defective Paint

Moving from transmission issues, GM faces another challenge with paint defects. Owners of certain GM vehicles claim their cars have faulty paint that cracks, clouds, and peels off.

This problem affects models like the 2015-2020 Chevrolet Tahoe, Suburban, GMC Yukon, and Cadillac Escalade. Owners say GM should have known about this issue before selling these cars.

One owner’s 2017 Chevy Tahoe LT showed visible paint problems by 2022. Fixing these paint defects costs over $10,000, which is a huge expense for car owners. The bad paint also lowers the car’s resale value.

Owners argue that GM should pay for these repairs and compensate them for the reduced value of their vehicles.

Improper Collection and Sharing of Driver Data

GM faces serious claims about misusing driver data. In June 2024, lawsuits against GM, OnStar, LexisNexis, and Verisk Analytics were combined in a Georgia federal court. These suits claim GM shared driver info without permission, leading to higher insurance costs.

The issue came to light after a congressional inquiry and Senator Ed Markey’s probe into car makers’ data practices. Texas Attorney General Ken Paxton also sued GM for unfair business methods.

Data privacy is not a luxury; it’s a fundamental right that must be protected in the digital age.

GM allegedly gathered detailed driving data from 2015 and newer models. They then sold this info to firms that created “Driving Scores” for GM customers. This practice raises concerns about privacy invasion and consent violation.

It shows how companies might use consumer data in ways that harm rather than help their customers. The case highlights the need for stronger data protection laws and more transparent business practices in the auto industry.

Supplementary Information on GM Lawsuits

GM lawsuits have led to major settlements and warranty changes. These legal actions have greatly impacted consumers and the auto industry.

Settlements Reached by GM

General Motors has reached several settlements in recent years. These agreements address various vehicle defects and aim to compensate affected customers.

  1. CP4 Fuel Pump Settlement: GM announced a $50 million preliminary settlement for defective CP4 fuel pumps. This deal covers repairs for diesel trucks with faulty Bosch-made pumps.
  2. Chevrolet Bolt Battery Settlement: In May 2024, GM and LG agreed to pay $150 million for defective batteries. This settlement applies to over 100,000 Chevrolet Bolt vehicles from 2017 to 2022 models.
  3. Post-Bankruptcy Legal Responsibility: After its 2009 bankruptcy, GM agreed to take on legal responsibility for injuries from vehicle defects. This move shows GM’s commitment to customer safety and accountability.
  4. Ignition Switch Settlement: In 2014, GM settled claims related to lost vehicle value due to faulty ignition switches. This issue sparked a major recall and led to significant compensation for affected owners.
  5. Ongoing Commitment: GM continues to address vehicle defects through recalls and settlements. These actions help maintain customer trust and fulfill legal obligations to vehicle owners.

Breach of Warranty Lawsuits

GM faces legal challenges beyond settlements. Breach of warranty lawsuits have emerged as a significant issue for the automaker.

  1. Recent legal action: On February 2, 2024, a Los Angeles law firm filed twelve lawsuits against GM for breach-of-warranty claims.
  2. Affected vehicles: The lawsuits involve various Chevrolet and GM models, pointing to widespread concerns across the product line.
  3. Consumer allegations: Plaintiffs claim financial injury due to defective vehicles, stating they would not have bought the cars if they knew about the issues.
  4. Legal basis: These lawsuits focus on GM’s failure to honor warranties, which are meant to protect consumers from faulty products.
  5. Financial impact: Consumers report monetary losses from repairs, decreased vehicle value, and other costs linked to defects.
  6. Consumer protection: These lawsuits aim to hold GM accountable for alleged misrepresentation and consumer fraud.
  7. Product defects: Claims range from transmission problems to paint issues, highlighting various vehicle malfunctions.
  8. Automotive safety: Some lawsuits may involve safety concerns, raising questions about GM’s commitment to driver protection.
  9. Contract breach: Plaintiffs argue that GM failed to fulfill its contractual obligations outlined in vehicle warranties.
  10. Consumer awareness: These lawsuits bring attention to potential issues with GM vehicles, helping inform future buyers.

Impact on Consumers

Breach of warranty lawsuits often lead to broader impacts on consumers. GM’s defective vehicle issues have affected many car owners across the United States. These problems have caused safety risks, financial losses, and inconvenience for consumers.

Car owners have faced unexpected repair costs, decreased vehicle value, and potential dangers from faulty parts.

The 2009 GM bankruptcy agreement initially threatened consumer rights. However, consumer advocacy groups and state attorneys general fought for change. Their efforts led to a new deal that protected consumer liability claims.

This agreement, backed by the Obama Administration, allowed GM to stay accountable for vehicle defects. As a result, consumers kept their right to seek compensation for injuries caused by GM’s faulty vehicles.

Conclusion

GM faces major legal challenges over defective vehicles. Lawsuits cover issues from faulty transmissions to improper data sharing. These cases impact thousands of car owners across the country.

Consumers should stay informed about recalls and legal actions. GM must address these problems to regain customer trust and ensure vehicle safety.

For more insights on legal protections, explore how oil field accident attorneys safeguard worker safety.

FAQs

1. What are the main issues in General Motors defective vehicle lawsuits?

General Motors faces legal action for various vehicle defects. These include faulty ignition switches, defective airbags, and problematic transmissions. Plaintiffs claim these defects caused accidents, injuries, and deaths. The lawsuits seek compensation for damages and hold GM accountable for alleged negligence.

2. How can I determine if my GM vehicle is part of a recall?

Check your vehicle’s identification number (VIN) on GM’s official recall website. Enter the VIN to see if your car is subject to any active recalls. You can also contact your local GM dealer for information. Stay informed about recalls to ensure your vehicle’s safety and performance.

3. What compensation might be available in a GM defective vehicle lawsuit?

Compensation varies based on the specific case. Potential damages include medical expenses, lost wages, pain and suffering, and vehicle repair or replacement costs. In some instances, punitive damages may be awarded. Consult a qualified attorney to understand your rights and potential compensation in a GM defective vehicle lawsuit.

4. How long do I have to file a lawsuit against General Motors for a defective vehicle?

The time limit to file a lawsuit, known as the statute of limitations, varies by state. Generally, you have between two to four years from the date of injury or discovery of the defect. Act promptly to protect your legal rights. Seek legal advice as soon as possible to ensure you meet all necessary deadlines for filing a claim.

References

  1. https://www.tandfonline.com/doi/full/10.1080/23311983.2015.1134030
  2. https://topclassactions.com/lawsuit-settlements/lawsuit-news/general-motors-class-action-lawsuit-and-settlement-news/gm-must-face-defective-transmission-class-action/ (2024-09-12)
  3. https://gmauthority.com/blog/2024/07/gm-hit-with-class-action-lawsuit-for-defective-paint-on-large-suvs/ (2024-07-25)
  4. https://shublawyers.com/current-investigations/general-motors-vehicles-coated-with-defective-paint-can-cause-cracks/
  5. https://www.texasattorneygeneral.gov/news/releases/attorney-general-ken-paxton-sues-general-motors-unlawfully-collecting-drivers-private-data-and (2024-08-13)
  6. https://www.propertycasualty360.com/2024/05/30/a-lot-of-outrage-privacy-suits-allege-gm-steers-driver-data-to-insurers-414-254480/?slreturn=20240606140443 (2024-05-30)
  7. https://www.reuters.com/article/business/gm-reaches-settlement-over-lost-vehicle-value-from-defective-ignition-switches-idUSKBN21E3LF/ (2020-03-28)
  8. https://topclassactions.com/lawsuit-settlements/lawsuit-news/general-motors-class-action-lawsuit-and-settlement-news/gm-faces-recent-class-actions-settlements/ (2024-07-19)
  9. https://www.law.com/therecorder/2024/02/02/general-motors-accused-of-breaching-warranty-failing-to-repair-vehicles/
  10. https://nclnet.org/gm_liability_for_vehicle_defects_a_win_for_consumers/

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