On March 28th, General Motors (GM) recalled an additional 971,000 vehicles.
This is in addition to the 1.6 million cars that were already recalled
due to ignition systems issues. This is quickly shaping up to be one of
the biggest cover-ups in U.S. automotive history, and the GM recall has
opened the doors to numerous class action lawsuits across the country.
Specifically, the lawsuits relate to the 2005-2010 Chevrolet Cobalt, 2006-2007
Chevrolet HHR, 2006-2007 Pontiac Solstice, 2005-2007 Pontiac G5, 2003-2007
Saturn Ion, and 2007 Saturn Sky. The possible number of plaintiffs for
the class action lawsuits is expected to reach about 2.6 million. That’s
roughly the number of cars that are supposedly impacted by the defective
The defective ignition system in question can lead to the loss of engine
power and the disabling of power steering, airbags, and even brakes. These
defects have directly lead to at least 13 deaths and numerous other injury
GM officials are in hot water over allegations that they knew about this
defective ignition switch system for nearly a decade and still installed
them and sold them to millions of innocent consumers. In addition, they
took steps to cover up these defects as early as 2006 and failed to disclose
this critical safety information to the public-thus endangering the lives
of everyone on the road. Rather than correcting the ignition defect, GM
officials denied the defects and ignored customer complaints over that decade.
After years of dodging the issue, GM is once again trying to dodge the
responsibility for their ignition defect issues-at least those issues
before 2009. In 2009, GM filed bankruptcy and went through restructuring-making
them a technically new company. This week, GM has filed two motions with
the courts, asking that the “new” GM be protected from the
wrongdoings of the “old” GM. They are relying on their bankruptcy,
bailout, and restructuring to claim protection for any errors that the
company made prior to 2009.
The Justice Department is currently investigating whether GM committed
bankruptcy fraud by hiding the ignition defects in 2009 when they filed