A recent class-action lawsuit against Kia alleges that the company concealed a serious engine oil defect, which will require costly repairs and will decrease the intrinsic resale value of a vehicle. Despite numerous complaints to the National Highway Traffic Safety Administration (NHTSA), the automaker has not remedied the problem or reimburse customers who have already paid for the repairs. The lawsuit cites 19 complaints filed by affected owners with the NHTSA.
The alleged defect involved a gasoline direct injection (GDI) engine.
This engine malfunction prevents oil from flowing properly to engine parts, causing the engines to seize and eventually fail. This can result in severe engine failure or even a fire. In May 2017, the National Highway Traffic Safety Administration opened an investigation into the carmakers’ handling of the 1.6 million vehicle recall. This settlement resolved the lawsuits against the carmaker and a settlement.
The Hyundai and Kia vehicles are being recalled. These manufacturers knew about the defect for years but did nothing to fix it. As a result, the 1.6 million cars in question were recalled and the resulting injuries were severe enough to lead to a lawsuit. However, the recalls did not stop at Kia or Hyundai. The federal government is currently investigating the companies. The class-action suits are meant to hold them accountable for their misrepresentations and deceit.
The Hyundai and Kia class action lawsuit has been put in jeopardy after a federal judge approved a settlement in another class-action lawsuit involving the same carmakers.
This decision is a significant victory for consumers who suffer due to defective vehicles. The Korean automaker faces a multi-billion dollar legal liability and the largest civil penalty ever imposed on an automaker. As a result of the agreement, the plaintiffs’ attorneys have now been able to file a motion for declaratory judgment, which will compel the company to settle.
The lawsuits against Kia and Hyundai have a similar claim. In addition, the company must make certain cash payments to compensate owners. The U.S. District Court in San Francisco has conditionally approved the $758 million settlement. The final fairness hearing will be held on November 13th, 2020. If the plaintiffs win, they may receive an additional $890 million. The case is pending in the Central District of California.
The judge ruled that both Hyundai and Kia were negligent in selling vehicles with faulty engine oil.
While the court found that the two companies were negligent, the judge dismissed the lawsuits because the complaints were too general and too late to support a prior knowledge of the defect. The automakers argue that the defects were known to the automakers when they recalled the cars. They also argue that the plaintiffs were not privy to the defects.
The Hyundai and Kia have a class-action lawsuit involving a faulty engine oil. The plaintiffs in the case are suing the automaker for damages. The suit argues that the carmaker is responsible for the accident and should be compensated. The company has agreed to a settlement because it will be more cost-effective to pursue a class-action lawsuit than to fight a single case. If the class action is successful, the plaintiffs may win in court, but the suit will ultimately be decided by the jury.
The lawsuit alleges a breach of the implied and expressed warranties of new cars.
The case also cites the Song-Beverly Consumer Warranty Act and unfair competition laws. This class action lawsuit comes a day after a report by the Center for Auto Safety, which collected 3,000 reports of engine fires. The Center for Auto Safety filed a petition with the NHTSA, which has yet to respond. Since the lawsuit was filed, the companies have recalled over 600,000 cars and paid $210 million in settlements.
Besides the lawsuits filed against these companies, the lawsuit also claims that Hyundai and Kia were negligent in concealing a safety defect. The carmakers allegedly failed to take steps to fix the problem, which has led to a series of faulty engines. In a related lawsuit, a plaintiff claims that his or her Kia or Hyundai vehicle has experienced an engine fire and is unaware of it. These issues are not just limited to the engine but can occur in other parts of the car.