Posted on 04/15/2015 3:38:25 PM PDT by Theoria
General Motors Co will not have to face dozens of lawsuits accusing it of concealing an ignition-switch defect that has been blamed for more than 200 deaths and serious injuries, a U.S. bankruptcy judge ruled on Wednesday.
Plaintiffs in the lawsuits said the company violated their constitutional rights by failing to disclose the defect, while GM had argued it was protected from claims on vehicles pre-dating its 2009 exit from Chapter 11 bankruptcy.
The decision by U.S. Bankruptcy Judge Robert Gerber means GM may avoid potentially billions of dollars in liability, as well as the cost of defending those lawsuits, although claims arising after its bankruptcy will not be affected. The plaintiffs will have to file their claims instead against the financially limited "Old GM," the shell company comprised of bad assets GM shed in bankruptcy.
The claims center on a faulty ignition switch in some older vehicle models that could slip out of position, cutting power to brakes, steering and airbags. Last year GM recalled 2.6 million vehicles with the switch, and later issued a series of additional recalls for other safety issues. The defect was linked to nearly 160 injuries and 84 deaths.
The claims mostly allege loss in vehicle value, as GM has already agreed to compensate most injury and death claimants through a separate fund. However, some personal injury and death claimants who were not compensated through the fund are among those now suing the company.
(Excerpt) Read more at reuters.com ...
The government can try to collect assets from the OLD secret agent man, the old shell of me where all my bad debts and liabilities were left.
Why we listen to government at all anymore. Law is now arbitrary and used as a weapon against enemies. There is no fairness to it and no morality.
Thanks for that.
This is fascism. Corporate cronyism and nepotism too.
This crap company should have been in real, not fake, bankruptcy long ago, but the goober mint had to protect the union thugs and parasites.
I would rather walk than own or drive a GM vehicle, and it’s quite a ways to work.
“... as GM has already agreed to compensate most injury and death claimants through a separate fund. ...”
Seems Government Motors is violating the bankruptcy laws by recognizing and acknowledging some creditors and debts but not others post bankruptcy.
I agree that I will never buy another GM vehicle. I don’t trust them. And there are other good competitors.
Always been a MOPAR guy. Passed them up for a new 2012 explorer. Then, 10 months late, my wife was stopped at a light when she was rear ended. She was OK the car was totaled. I waited till the end of this past year (over a full year) before replacing it. By that time the gummint had been out of Chrysler for quite a while and I had not problem dealing with the Fiat owned company to buy my Ram 1500. GM is still on my list. Waiting for capitalist ownership before I ever consider them for anything new again.
They became a foreign make back when mercedes bought them out.
Btw...know what Fiat stands for?
FIX IT AGAIN TONY!!
Chrysler was foreign owned before Obama took it over. Daimler. The engine and design of this truck is pre daimler. I buy American when I can. I owned two new Mitsubishi manufactured cars in the 1980s when American cars were at their nadir and I was buying inexpensive cars because of my situation at that time.
My sons and I are car guys much to the chagrin of the neighbors. In my yard and garage and tent sheds are currently 2 Aspens, a Volare(same thing) a 67 mustang, a 72 Grand Torino and family owned since new, a 71 cutlass supreme with 6000 original miles. These are NOT out daily drivers (except 1 sons 77 Aspen w/33000 original miles) which is the Ram, an 06 Mustang and my other sons grand marquis
We prefer American cars and most importantly, American designed cars. I prefer All American owned manufacturer cars...but will settle for American-foreign partnership rather than Government Motors
Actually, Daimler had already sold Chrysler to Cerberus Capital Management, a New York based investment firm, in 2007.
but will settle for American-foreign partnership rather than Government Motors
The only UAW built car I'll consider buying is Ford. If I'm going to buy foreign, it won't be UAW built.
Yeah I’m a Ford guy too....got 188k out of my last F-150...but my classic baby is a ‘73 lemans.
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