Arab Today, arab today gm to seek us court protection from ignition lawsuits
Last Updated : GMT 05:42:12
Arab Today, arab today
Arab Today, arab today

GM to seek US court protection from ignition lawsuits

Arab Today, arab today

Arab Today, arab today GM to seek US court protection from ignition lawsuits

New York - AFP

General Motors plans to ask a bankruptcy court to rule that it is protected from lawsuits potentially worth billions of dollars arising from faulty ignitions tied to 13 deaths and numerous crashes. In a federal court filing, GM said it plans to ask the New York court which oversaw its 2009 bankruptcy to determine whether it can be sued for liabilities arising from the company's operations pre-bankruptcy. The bankruptcy reorganization, which came after the US government rescued the largest US automaker the previous year, split the company into "Old GM" and "New GM." The company's filing late Tuesday in Corpus Christi, Texas, said that the bankruptcy court's original restructuring plan made clear that liabilities such as the ignition-switch problem remain with Old GM and that third parties cannot sue New GM for them. Ignition-switch lawsuits like one filed in the Texas court relate "to a vehicle designed, manufactured, originally sold, and advertised by Old GM; a potentially defective component part allegedly existing in an automobile sold in 2006, before New GM even existed," the company argued. GM will ask the bankruptcy court for a definitive ruling on the liability of New GM in all ignition cases. The 2009 bankruptcy decision "has already expressly enjoined third parties... from asserting claims against New GM that remained with Old GM," the company said. GM wants the Corpus Christi trial halted at any rate so it can consolidate into one all of the lawsuits arising from the faulty ignitions. It said it expects the bankruptcy court judge to rule it is protected from the suits. But even if the court rules that New GM is partly liable, its decision will "inevitably narrow and fundamentally alter" the nature of the cases, GM said, more reason to halt the Texas proceedings. The case would address GM's liability for the faulty ignitions installed in millions of cars after 2004 that can abruptly switch into "accessory" or "off" position while in drive, especially when the car is jolted. That can turn off its electrical systems, including safety airbags, preventing them from inflating in a collision. GM has said it knows of 31 accidents that can be tied to the ignition problem. The independent Center for Auto Safety says it has tracked 303 accidents in which GM cars were involved and in which the airbags did not inflate, but the link to the ignitions is not clear. GM has recalled 2.4 million cars since February for the problem. But the company is now under investigation from the Justice Department and Congress for not acting much earlier, as documents showed concerns over the ignition design were expressed inside the company as early as 2001. Despite the company's belief that it is protected in the 2009 bankruptcy ruling, earlier this month GM hired victim compensation expert Kenneth Feinberg to study how it should address victims of accidents tied to the faulty ignitions. Feinberg has handled victim compensation agreements for the September 11 attacks, BP oil spill and Boston marathon cases, among others. Amid estimates that the company faces potentially billions of dollars' worth of claims, GM chief executive Mary Barra has said that Feinberg would "explore and evaluate options" for its response.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today gm to seek us court protection from ignition lawsuits Arab Today, arab today gm to seek us court protection from ignition lawsuits

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today gm to seek us court protection from ignition lawsuits Arab Today, arab today gm to seek us court protection from ignition lawsuits

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
View News in Arabic - Business: أخبار الشركات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Mozambique's gas boom dream under threat

GMT 16:29 2017 Monday ,08 May

Mozambique's gas boom dream under threat
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Jaguar displays XF Sportbrake line

GMT 14:36 2017 Monday ,08 May

Jaguar displays XF Sportbrake line
Arab Today, arab today BMW sees forecasts in reach

GMT 09:04 2017 Thursday ,04 May

BMW sees forecasts in reach
Arab Today, arab today Climate science: Bad news gets worse

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday