GM move to freeze lawsuits may cut customer payouts by billions – Business Standard
After recalling 2.59 million cars with ignition problems linked to 13 deaths, the automaker, founded in 1908, is grappling with its biggest challenges since its bankruptcy.
They range from customer lawsuits to regulators’ probes on why it waited a decade or more to fix the defects. GM said in the April 11 filing in San Francisco that it faces at least 36 lawsuits similar to that filed by Maciel.
“They’re trying to hide behind bankruptcy to keep from fixing the cars the way they should be fixing them,” said Lance Cooper, a Marietta, Georgia-based attorney helping represent the Maciel plaintiffs.