1999 Chevrolet Lumina on 2040-cars

Auto blog

GM won't pay owners of recalled cars for lost value

Kenneth Feinberg, the man in charge of the General Motors compensation fund dealing with the its widespread ignition switch woes, has issued an informal, two-letter response to the plaintiffs in more than 70 lawsuits seeking redress for lost resale value of their Cobalts: "No." The cases were recently combined into one, but Feinberg told The Detroit News that the fund will deal "only with death and physical injury claims," and that "perceived diminished value" will get no consideration.
ALG, the firm specializing in establishing residual values, determined that Cobalt owners had lost $300 compared to the segment competition and doesn't envision any long-term effects from the recall situation. Feinberg's statement comes in advance of public details on how the compensation fund will work and adheres to GM's long-held position on the matter. The company has already asked a judge to throw out such suits using the pre-bankruptcy defense, even as it stopped using that defense in cases of injury and death.
With plenty of potential gain from the GM suit, however, don't expect the plaintiffs to give up yet. When Toyota was sued for the same reason during the unintended acceleration debacle, it eventually settled the case for between $1 billion and $1.4 billion just to get it over with. Since the 85 law firms involved in the Toyota litigation took home more than $250 million of that total, we shouldn't expect the attorneys to give up on a GM payout, either.

Watch NASCAR racer Jeff Gordon put one over on a used car dealer... sorta

Full Disclosure: in my younger days, I loved nothing more than tormenting passengers with my behind-the-wheel hijinks. Once, after a particularly artful handbrake turn on a two-lane at around 50 miles per hour, I left one backseat occupant crying in their own lap. This isn't necessarily something to be proud of, but it gives you a glimpse into why it is that I find this ad from Pepsi so damn disappointing. The premise is beautiful. Take NASCAR legend Jeff Gordon, give him a disguise and set him loose upon some unsuspecting used car dealer. Hilarity ensues.
Except that this Pepsi Max commercial is so obviously staged, it can't help but feel like some ham-fisted marketing fail. From the strategically placed aftermarket cupholder mounted mid-dash for the hidden camera to the fact that the supposed dealer Camaro is displayed as a 2009 model (Hint: Chevrolet didn't make any), this clip is about as organic as a Twinkie. Still, we would never turn down a chance to watch Gordon thrash on a rental-spec coupe - only problem is, he probably didn't even do the driving himself. Check it out below.

EcoCar3 will convert Camaro to bitchin' eco rides

In the 47-year-history of the Chevrolet Camaro, there have been countless college-age kids spending a ton of time getting under the hood and souping 'em up. Now, General Motors is adding a twist to the concept by donating 16 Camaros for the EcoCar challenge that puts university teams together to wring out better fuel-efficiency out of various vehicles. No word on whether there will be donuts on anyone's lawn, as suggested by 80's punks the Dead Milkmen, but the idea's never a bad one. EcoCar3 will feature 16 teams such as Arizona State, Penn State, Ontario's University of Waterloo and, of course, Detroit's Wayne State University. They'll spend the next four years "[reducing] environmental impact, while maintaining the muscle and performance expected from this iconic American car," as the EcoCar organizers say. The goal is to maintain body design and safety standards while boosting efficiency and lowering emissions, but the actual process is far more complicated than that description suggests. The California Air Resources Board (CARB) and Bosch are among the sponsors of the contest, which is also put on by the US Department of Energy and managed by Argonne National Laboratory. Penn State won Year Two of the three-year EcoCar 2 competition with its E85 plug-in hybrid electric vehicle converted out of a Chevy Malibu. The grand-prize winner of EcoCar2 will be announced in June. Check out the EcoCar3 website and see the announcement video below for more details. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.