It’s rare that class action lawsuits go to trial, but when they do, they usually make the news. That’s definitely been the case with the latest GM
settlement—a near $103 million dollar loss, to be exact. The American carmaker lost its case against GM owners and lessees who argued that an engine flaw caused them major mechanical issues and put their safety at risk. So what does GM have to say about the ordeal?
We can’t help you win a lawsuit. But we can help you save potentially hundreds on your car insurance
policy with help from our app. What do you have to lose? Download today to get started. What’s this latest GM settlement being paid out to victims for?
Automotive News
explains that GM is guilty of not only selling vehicles with a serious engine defect but is guilty of knowing about the defect and selling them anyways. In fact, the jury sided with the victims over the multi-billion dollar company because of the evidence indicating that GM hid the defect instead of taking the time and money required to fix it.
This engine flaw affected 2011-2014 model years, mainly SUVs and trucks. Owners and lessees in California, North Carolina, and Idaho with vehicles containing the company’s Generation IV Vortec 5300 LC9 engine were affected.
Do the GM settlement results explain how they manage to hide the defect from customers?
Though the technical details of how the defect occurred are unavailable, the plaintiff’s (victim’s) lawsuit
centered on the argument that the alleged defect caused the engines to use too much oil and allowed oil to reach parts of the engine where it did not belong, causing damage. The jury also noted that the company was apparently aware of the problem in 2010, and recommended that dealers clean the vehicles' pistons to address the problem—without telling customers what was really going on.
In light of this latest GM settlement, has hidden issues from customers
The GM settlement and the evidence available in the case certainly indicate that GM might have been aware of the defect—as they made design changes to the engine in 2011.
These changes apparently didn’t solve the problem and the company discontinued the engine in 2014.
According to US Auto Law
, GM has also been accused of covering up problems
with its vehicles over the years, from acceleration sensors, to throttle and brake issues, as well. Shop for more affordable GM, Chevy, or Buick insurance using the Jerry app
The GM settlement trial resulted in big money being paid out to victims—and we’re willing to bet you’re paying big money to your insurance company.
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