General Motors Settles $150 Million Class Action Over Defective Engines

A prominent US car manufacturer has agreed to a $150 million class action settlement to address claims that certain vehicles were sold with defective engines. The settlement, facilitated through an updated portal, aims to compensate affected owners and lessees for issues related to excessive oil consumption in vehicles equipped with LC9 engines. The payout will specifically benefit customers in California, Idaho, and North Carolina.

The lawsuit alleges that General Motors was aware of a defect caused by excessively worn piston rings, leading to a range of problems including excessive oil consumption, spark plug fouling, rough idling, rough acceleration, check engine light activation, engine shutdown commands, oil loss, and potentially permanent engine damage or shutdown. Despite the settlement, General Motors has denied any wrongdoing or liability, maintaining that the vehicles in question are not defective.

The lawsuit targets specific models from 2011 to 2014, including the Chevrolet Avalanche, Chevrolet Silverado, Chevrolet Suburban, Chevrolet Tahoe, GMC Sierra, GMC Yukon, and GMC Yukon XL. Eligible owners or lessees may automatically receive a pro rata payment estimated at a minimum of $2,149. North Carolina class members must submit an Identification Form to confirm eligibility, while others generally need not file a claim unless notified.

This settlement underscores the ongoing challenges faced by automakers in ensuring the reliability and performance of their vehicles. The compensation provided to affected customers aims to address the financial and operational inconveniences caused by the defective engines. The settlement also highlights the importance of consumer protection and the legal recourse available to customers who experience issues with their vehicles.