Ford
More than three years ago, drivers sued Takata, Ford, and other car makers over faulty airbag parts. Takata inflators were able to explode without much force, spewing metal parts into drivers and passengers. At least 23 people have died worldwide because of this problem. The settlement does not cover personal injury or property damage claims and instead only covers economic issues such as costs related to towing/storing affected vehicles, car rental, and wages lost during the recall process. Ford also agreed to fund a rental-car program and simultaneously start an outreach program to repair the recalls. It is estimated that more than 42 million vehicles were included in the recall. The settlement of $229.1 million is estimated to cover about 6 million vehicles, nowhere near even half of the affected vehicles. Under this deal, each owner is eligible for reimbursement of up to $500 for documented expenses. Court records also indicated that attorneys will receive no more than 25% of the settlement amount.
This Takata airbag recall is the largest in history and is what forced the company to file for bankruptcy in 2017 after consumers and accident victims filed lawsuits. However, Ford is not the only automaker to be hit with a lawsuit. Last year, Toyota Motor Corp.
- https://www.wsj.com/articles/ford-agrees-to-pay-299-1-million-to-resolve-air-bag-lawsuit-1531780925?mod=hp_lista_pos4
- https://www.bloomberg.com/news/articles/2018-07-16/ford-to-pay-299-1-million-to-settle-takata-consumer-lawsuit
- http://www.wilx.com/content/news/Ford-will-pay-nearly-300-million-to-settle-lawsuits-over-Takata-air-bags-488326821.html