GM Ignition Switch Recall Lawsuits Total $10B

GM Ignition Switch Recall Lawsuits Total $10B

It appears that General Motors has a rough road ahead of itself as a result of the massive ignition switch recall.

The American automaker is now facing at least 79 lawsuits by vehicle owners, demanding as much as $10 billion for the lost value of their old cars due to the defects that led to a recall of 2.59 million cars. In a recent U.S. Bankruptcy Court filing, GM said it has been sued in 20 additional class-action lawsuits related to the ignition switch recall since April 30.

SEE ALSO: GM Fined $35M for Dawdling on Ignition Switch Recall

Previously, the company asked a judge to rule that GM isn’t liable for damage claims resulting from the company’s actions prior to its bankruptcy in 2009. Several of the lawsuits however are stating that pre-bankruptcy GM promoted the vehicles as being safe and reliable. The lawsuits are alleging that the automaker has successor liability and that “new GM” bought and operated as “old GM” as a continuing business.

The massive ignition switch recall affects the Chevrolet Cobalt, HHR, Saturn Sky and Aura models, the Pontiac G6 and Solstice.

[Source: Detroit News]

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