Hagens Berman: Judge Grants Approval of $1.6 Billion Toyota SUA Settlement
July 19 2013 - 4:15PM
Business Wire
U.S. District Court Judge James Selna of the Central District of
California today issued a final ruling in the Toyota (NYSE:TM)
sudden, unintended acceleration litigation, in which he granted
final approval to a settlement of economic loss claims valued at
$1.6 billion in benefits for class members.
Judge Selna, who has presided over the case since its filing in
2010, commented that many class-action settlements appear to be
appealing on their face but don’t provide sufficient payouts to
consumers. In his comments from the bench, Selna lauded this
settlement, calling it “extraordinary because every single dollar
in the cash fund will go to claimants.”
He also praised the plaintiffs’ counsel, including Hagens
Berman, for “great lawyering” throughout the very complex case.
“There are many reasons we are extraordinarily proud of the
settlement we’ve brought to consumers,” said Steve Berman, co-lead
counsel for the plaintiffs and managing partner of Hagens Berman.
“For example, those who sold their Toyota vehicles at a loss can
receive from $125 up to $10,000 depending on the level of
depreciation, a significant financial recovery.”
The lawsuit alleged that the trade-in value of Toyota vehicles
plummeted after media reports and consumer complaints concerning an
alleged defect that caused the vehicles to suddenly accelerate out
of control.
Several lawsuits were ultimately consolidated in U.S. District
Court in California, and litigation proceeded until a settlement
was reached last December.
In a ruling last month, Judge Selna praised the plaintiffs’
counsel, including Hagens Berman. “Class counsel has consistently
demonstrated extraordinary skill and effort,” he said. “By any
measure, the results achieved by class counsel are
exceptional.”
The settlement includes a number of benefits for class members.
Under its terms, Toyota will install a brake-override system in
vehicles subject to floor mat entrapment recalls. The settlement
also includes the establishment of a $250 million fund from which
to compensate current owners not eligible for a brake-override
system.
Moreover, the settlement establishes a second $250 million fund
to compensate Toyota owners who sold their cars between Sept. 1,
2009, and Dec. 31, 2010, for an alleged reduction in resale
value.
The total value of the settlement package is estimated to be
approximately $1.6 billion.
“This is a great settlement for consumers,” said Berman. “It
includes both safety fixes to make Toyota vehicles safer as well as
monetary relief for owners who saw a reduction in their vehicle’s
value.”
Consumers can learn more about the settlement by visiting
http://www.toyotaelsettlement.com/ or by calling Hagens Berman at
(206) 623-7292.
More information about this case is available at:
http://www.hbsslaw.com/cases-and-investigations/cases/toyota
About Hagens Berman
Seattle-based Hagens Berman Sobol Shapiro LLP represents
consumers, whistleblowers, investors, workers and others in complex
and class-action litigation. The firm has offices in nine cities
and has been named to the National Law Journal’s Plaintiffs’ Hot
List five times. Founded in 1993, HBSS continues to successfully
fight for consumer rights in large, complex litigation against
large corporations. More about the law firm and its successes can
be found at www.hbsslaw.com. Visit the firm’s class-action law blog
at www.classactionlawtoday.com.
Firmani + Associates Inc.Mark Firmani,
206-443-9357mark@firmani.com
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