A long-running lawsuit over the value of the land on which Hyundai’s Montgomery, Alabama plant is located has been settled. The Montgomery Industrial Development Board will pay former landowners $3.45 million to settle their claims. The particulars of the case illustrate the potential hazards faced by advocacy groups when they attempt to incentivize industrial development.
Tesla has fired back against the accusations brought in a lawsuit filed against the company earlier this week by a Wisconsin attorney and self-described “Lemon law King” Vince Megna. Mr. Megna’s client, a physician who took delivery of his Model S in March of last year, alleges that he has had repeated problems with the car’s doors and main fuse and that repeated attempts to remedy the problem have met with no success. He is asking that, after four attempts at resolving the issues, the company re-purchase the car under Wisconsin lemon laws intended to protect buyers if a product is faulty and cannot be repaired by the manufacturer. (Read More…)
Porsche Automobil Holding SE’s supervisory board members and cousins Ferdinand Piech and Wolfgang Porsche are being sued by seven hedge funds that are seeking 1.8 billion euros ($2.4 billion) in compensation over damages they claim to have suffered as a result of the Porsche holding group’s failed 2008 attempt to purchase the Volkswagen Group.
After a court in Braunschweig, Germany, dismissed two investor lawsuits against Porsche SE, it didn’t take the third one either. Instead, it delegated a lawsuit that seeks $2.7 billion in damages to a Hanover-based court that specializes in cartel matters, Reuters says. Finally, a decision after a hedge fund’s heart. (Read More…)
When Spyker sued GM for mucking with Saab’s failed deal with Youngman, and wanted $3 billion for its trouble, TTAC’s resident garage lawyers did not give Spyker big odds.
Yesterday, the suit was thrown out. (Read More…)
Well, we knew this one was inevitable. A compliant filed in Ohio court against Hyundai and Kia due to their overly optimistic fuel economy claims.
A couple of weeks ago the Wall Street Journal published an article about a “little-noticed” lawsuit in U.S. Bankruptcy Court filed by a trust representing “old” GM’s unsecured creditors. Those creditors are challenging a 2009 deal between GM Canada and a group of hedge funds that helped keep GM’s Canadian subsidiary out of its own bankrupcy. It’s a bit surprising to me that the WSJ article itself got very little notice in the automotive world because, if successful, the lawsuit could undo at least part of GM’s restructuring or result in a $1.3 billion price tag for the automaker. In regulatory filings GM has said its possible exposure will be less than that, $918 million, though in theory the bankruptcy court could reopen the entire bankruptcy, which would be much more disruptive to GM than just paying out a billion dollars.
The Audi “Unintended Acceleration” debacle of 1986, which whacked American Audi sales by about 75% within a few years, makes the 1982-86 Audi 5000 an historically significant Junkyard Find. The 60 Minutes piece about the 5000’s allegedly malevolent behavior turned the car’s image from masterpiece of aerodynamic science to bloody-clawed multiple murderer, with predictable effects on resale value for existing cars. This means that the 5000 of the Unintended Acceleration era that managed to stay on the good side of The Crusher until 2012 is a survivor of astonishing tenacity. (Read More…)
That was the first comment from the acolytes of the recently a bit depressed fansite Saabsunited, when it was announced that Victor Muller’s Spyker sued GM for $3 billion over Saab’s bankruptcy.