GM Saved From 'Park It Now' Order, Looks To Strengthen Liability Protections
The Detroit News reports U.S. District Judge Nelva Gonzales Ramos delivered a six-page ruling in favor of General Motors, saving the automaker from issuing a “park it now” order that would have proved costly both financially and in reputation. Had the order gone forward, it would have set a precedent that not even the National Highway Traffic Safety Administration could attempt in its limited penalty power. The attorney representing the plaintiffs in the lawsuit for the order, Robert Hilliard, may appeal.
In other legal news, GM has filed a request with the U.S. Bankruptcy Court in San Francisco to prevent lawsuits filed against the automaker in recall-related incidents prior to the 2009 exit from bankruptcy, reinforcing the liability protections established during the bankruptcy proceedings. GM is currently facing 41 separate lawsuits from 19 U.S. district courts, which may be consolidated into a single venue by a judicial panel in the early stages. The bankruptcy court in New York will rule on jurisdiction April 25.
Autoblog reports CEO Mary Barra will create a new group within the company to be headed by vice president of global product development Mark Reuss that will work with vice president of global vehicle safety Jeff Boyer in monitoring new products for potential safety concerns. Barra also addressed the suspension of engineers Gary Altman and Ray DeGiorgio during her 2014 NYIAS eve announcement:
Let me be really clear, these are real people with real careers, and I’m personally dedicated to making sure we have true facts of what happened… We agonized over that decision, but we thought that was the right thing for the individuals and right thing for the company at this time.
The Detroit News adds North America president Alan Bately, speaking before analysts and investors at the 2014 New York Auto Summit during the 2014 New York Auto Show Wednesday, proclaimed his employer was focused on safety, citing the Chevrolet Trax’s standard rearview camera as an example. When asked about the recall and whether money would be set aside to handle warranty and liability claims down the road, however, Bately said that until internal investigator Anton Valakus completed his work, GM wouldn’t have any answers to offer.
Meanwhile, the myriad of documents delivered to Congress and the NHTSA this week threw more fuel to the smoldering recall crisis when it was revealed GM and supplier Delphi redesigned an ignition switch on the Cadillac SRX prior to production in February 2006 after test drivers accidentally bumped the ignition out of power in a manner similar to the switch at the heart of the recall, which didn’t see a redesign until April of the same year. GM added that the expanded recall of 2008 – 2011 vehicles affected by the out-of-spec switch would cost the automaker $40 million, and that 109 vehicles not under the recall may have received the defective part, as well.
Finally, Fortune magazine senior editor-in-chief Allan Sloan posits that Barra was thrown under the bus GM built in the 13 years prior to then-CEO Dan Akerson passing the torch to her late last year. He also suggests that instead of the federal government, the media and the general public taking her to task for everything wrong with GM as of late, blame should be laid at the feet of the correct people involved in setting the stage: Rick Wagoner, Ed Whitacre and Akerson.
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- Art Vandelay Dodge should bring this back. They could sell it as the classic classic classic model
- Surferjoe Still have a 2013 RDX, naturally aspirated V6, just can't get behind a 4 banger turbo.Also gloriously absent, ESS, lane departure warnings, etc.
- ToolGuy Is it a genuine Top Hand? Oh, I forgot, I don't care. 🙂
- ToolGuy I did truck things with my truck this past week, twenty-odd miles from home (farther than usual). Recall that the interior bed space of my (modified) truck is 98" x 74". On the ride home yesterday the bed carried a 20 foot extension ladder (10 feet long, flagged 14 inches past the rear bumper), two other ladders, a smallish air compressor, a largish shop vac, three large bins, some materials, some scrap, and a slew of tool cases/bags. It was pretty full, is what I'm saying.The range of the Cybertruck would have been just fine. Nothing I carried had any substantial weight to it, in truck terms. The frunk would have been extremely useful (lock the tool cases there, out of the way of the Bed Stuff, away from prying eyes and grasping fingers -- you say I can charge my cordless tools there? bonus). Stainless steel plus no paint is a plus.Apparently the Cybertruck bed will be 78" long (but over 96" with the tailgate folded down) and 60-65" wide. And then Tesla promises "100 cubic feet of exterior, lockable storage — including the under-bed, frunk and sail pillars." Underbed storage requires the bed to be clear of other stuff, but bottom line everything would have fit, especially when we consider the second row of seats (tools and some materials out of the weather).Some days I was hauling mostly air on one leg of the trip. There were several store runs involved, some for 8-foot stock. One day I bummed a ride in a Roush Mustang. Three separate times other drivers tried to run into my truck (stainless steel panels, yes please). The fuel savings would be large enough for me to notice and to care.TL;DR: This truck would work for me, as a truck. Sample size = 1.
- Ed That has to be a joke.
It seems to me the problem is buying from Government Motors. If that ends, so does the problem. BTW, my wife and I own a 2012 Acura TL, a 2014 Honda CR-V and a 2009 Nissan Frontier. We haven't had a mechanical problem in a very long time.
That Fortune Magazine editor's belief is pure fantasy. Assigning blame to the actual people who were responsible is so 'out there', it's almost un-American!