Tag: lawsuit

By on March 11, 2020

General Motors Renaissance Center

Fiat Chrysler wants to see General Motors’ racketeering lawsuit dismissed, but the automaker’s crosstown rival isn’t in a charitable mood.

GM contends that bribery of United Auto Workers officials by FCA over years of contract talks left that automaker sitting pretty, with extra labor costs dumped on its Detroit competitors. While FCA claims GM can’t prove it’s a victim, The General says otherwise. (Read More…)

By on February 28, 2020

German consumer group VZBV has reached an agreement in its class-action lawsuit against Volkswagen over the use of illegal software intended to cheat emissions testing. The settlement amounts to 830 million euros (roughly $912 million USD). While not nearly as sizable as what U.S. customers received in their settlement, it’s what VW believes its European customers deserved. Citing a breakdown in negotiations with VZBV earlier this year, the automaker said it was willing to offer €830 million and wasn’t interested in shelling out any extra for litigation attorneys who allegedly wanted €50 million for handling the case.

The manufacturer seems to have gotten its way, though we doubt VW considers shelling out another billion to handle a five-year-old scandal a major victory. (Read More…)

By on January 22, 2020

A long-standing legal battle pitting Tesla against the state of Michigan has finally been resolved. It was announced Wednesday that the automaker’s 2016 suit against the state, which forbids the direct-sales model employed by Tesla, ended in a settlement a day earlier.

The result? A way for Michigan residents to own and conveniently service a Tesla in the notoriously protectionist state. (Read More…)

By on December 26, 2019

As a terrible year draws to a close, Nissan can’t seem to put its bad luck behind it. In a case of “the hits keep on coming”, the automaker’s vice chief operating officer, Jun Seki, announced his departure from the company less than a month after taking on the position.

Seki, once a candidate for the CEO chair, was tasked with helping turn around the struggling company in the wake of the Carlos Ghosn scandal and concurrent sales plunge. At the same time, an American dealer group is suing Nissan over alleged Ghosn-era financial misdealings.

A merry Christmas it was not. (Read More…)

By on December 7, 2019

Elon Musk + Tesla Model S Circa 2011

Sometimes the little guy wins.

Elon Musk, founder of a rocket ship company and CEO of a rising automobile company/cult, left a federal courtroom on Friday more emboldened than ever to say whatever he wants. A unanimous verdict handed down by the jury declared that calling an unknown British diver “pedo guy” on Twitter did not constitute defamation, thus allowing Musk, who has 30 million followers on the social media platform, to sidestep $190 million in damages. (Read More…)

By on August 13, 2019

All-new 2018 Jeep® Wrangler Sahara

Reports of alarming oscillations transmitted through the steering wheels of various Jeep Wranglers started landing on the NHTSA’s lap last year, years after off-road enthusiasts began complaining of the same issue. A product of a solid front axle, higher speeds, and an unexpected jolt ⁠— like hitting a bump in the road ⁠— the so-called “death wobble” sparked a class-action lawsuit that alleges Jeep’s Wrangler boasts an inherently unsafe axle and suspension design.

Now Fiat Chrysler says it has a solution to the wobble, with notifications headed to owners’ mailboxes from coast to coast. Will the supposed fix serve to pour cold water over the lawsuit? At this point, it doesn’t seem so. (Read More…)

By on July 15, 2019

FCA

Reid Bigland, head of Ram Trucks and the man in charge of sales reporting at FCA, recently filed a whistleblower lawsuit against FCA US LLC for significantly cutting his pay after he talked to the SEC reguarding an investigation into the sales reporting practices of the company. That investigation ultimately led Fiat Chrysler to change the way they report sales and acknowledge that they inaccurately reported them in the past.

In a move that should surprise absolutely no one, FCA filed a countersuit claiming that Bigland isn’t eligible for whistleblower status on the law.  (Read More…)

By on May 8, 2019

2019 Ford Ranger at MAP - Image: Ford

The new Ford Ranger only went on sale in January, but the midsize pickup is already the focus of a class-action lawsuit. The complaint, filed earlier this week, alleges the Blue Oval “deliberately miscalculated and misrepresented factors used in vehicle certification testing in order to report that its vehicles used less fuel and emitted less pollution than they actually did.”

Them’s fightin’ words, especially in the post-Dieselgate era. It also doesn’t help that Ford was forced to lower its fuel economy ratings on six models and dole out compensation to their drivers about five years ago. Is it deja vu all over again? Well, not quite.

(Read More…)

By on March 22, 2019

New Landwind X7, Image: Jiangling Motor

A legal battle waged since 2016 ended with a historic win for Jaguar Land Rover on Friday. In 2015, China’s Jiangling Motor Corporation debuted the Landwind X7, a compact crossover that looked a lot like the Range Rover Evoque. Okay, not “a lot” — the near was damn near identical, but priced well below the Brit. (That’s a refreshed 2018 X7 you see above; the first was even closer to its muse.)

The Evoque’s doppelganger wasn’t a unique phenomenon, either. Chinese copycat vehicles had become a scourge for foreign automakers operating in that market, and, based on past cases, few expected JLR’s lawsuit to get much traction in the Chinese courts. They were wrong. (Read More…)

By on March 19, 2019

Elon Musk + Tesla Model S Circa 2011

There’s no shortage of distractions coming out of Tesla to take the focus away from a smoldering legal battle between the automaker and its favorite foe, the U.S. Securities and Exchange Commission.

The SEC, however, isn’t easily led astray by retail store turmoil and the promise of a crossover with no home. The regulator has stepped up its efforts to see Tesla CEO Elon Musk held in contempt of court for violating an earlier settlement agreement. At the root of the two contempt orders, the latest filed on Monday, is the source of all evil in today’s world: social media.  (Read More…)

By on February 26, 2019

Image: GM

Canada’s autoworker union Unifor brought out the guy from Dune to protest a General Motors plant closure, but UAW went a few steps further. The American auto union hit GM with a lawsuit Tuesday, claiming the company’s decision to shutter three plants violates its 2015 collective bargaining agreement.

However, GM may have an out. (Read More…)

By on January 10, 2019

As we told you yesterday, a settlement in Fiat Chrysler’s diesel quandary could come any day. Today, we’re telling you it could come, well, today.

According to sources who spoke to the New York Times, FCA plans to settle a 2017 Justice Department lawsuit by making a collection of 104,000 trucks and SUVs greener, while adding an average of $2,500 to owners’ wallets. (Read More…)

By on January 7, 2019

A group of Ford owners hoping to cash in on bad nuts did not get their day in court. Instead, their proposed class-action lawsuit was tossed out.

We told you about the 120-count complaint against Ford back in 2017, when the well-known firm Hagens Berman — a veteran of auto litigation — announced the lawsuit. Owners complained about swollen, delaminating lug nuts, stating that this led to out-of-pocket costs, safety concerns, and a reduction in their vehicle’s value. After looking at the case, the judge saw no reason to proceed. (Read More…)

By on October 31, 2018

In the wake of a Dallas County judge’s decision to lower the amount of money awarded to a couple whose children were injured in a 2016 rear-end crash, Toyota Motor Corp. plans to continue fighting to clear its name.

A jury found the automaker at fault back in August, deciding that the seatbacks on the family’s 2002 Lexus ES300 were faulty and that the owners were not warned about the dangers. The family stood to receive $242 million in compensation. Due to monetary caps placed on punitive damages in the state of Texas, the final amount was pared back to $208 million.

Toyota isn’t letting the matter slide into the rear-view. The automaker continues to claim that the car’s seatbacks worked fine — the severity of the impact was to blame. (Read More…)

By on September 28, 2018

Elon Musk

Yesterday’s end-of-day fraud lawsuit filed against Tesla CEO Elon Musk by the Securities and Exchange Commission needn’t have happened, CNBC reports. The CEO and founder turned down a settlement deal that would have seen him pay a “nominal” fine and remove himself as chairman, sources claim. Instead, Musk did what he does best. He went his own way, greatly increasing risk both to himself and his company.

Still, Tesla’s board stands by its man, releasing a statement late Thursday to this effect. According to Bob Lutz, outspoken industry titan, the board should have told Musk to hit the bricks. (Read More…)

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