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Hyundai closes the books on fuel economy litigation

Hyundai-Kia ended up with a lot of kimchi on its face in 2012 when it admitted it had mistakenly exaggerated fuel economy estimates on several 2012 and 2013 model-year offerings like the Hyundai Accent, Veloster and Elantra and Kia Soul. Before the admission a lawsuit had been filed by an entity called Consumer Watchdog, afterward there were "approximately 53" lawsuits filed in federal court that were eventually consolidated into one case in a California Central District court.
The companies apologized profusely and gave customers prepaid gas cards that they could refill with funds for as long as they own their vehicle, as well as perks like free car washes and routine maintenance services. The company has just announced that it has reached a preliminary settlement of the case by adding another method of reimbursement, a lump sum payment that would free drivers from having to go back to the dealership to have their mileage verified for debit card refills.
Assuming the preliminary agreement is approved by the judge, customers could choose the lump sum or the cards. The settlement's value could be as much as $210 million, but the exact number depends on which program plaintiffs choose. On average, affected customers will receive $353. Approval could come in "early 2014," after which Hyundai will notify customers. You'll find more particulars on the potential settlement in the press release below.

Hyundai-Kia dealer offers $180k in gift cards to local residents

In many smaller communities, auto dealers are often major players in the local business and political world, and they interact with large portions of the population. Now, Grand West Hyundai and Grand West Kia in Grand Junction, CO, are putting their marketing dollars to work in a way to help the local economy, while also potentially generating some sales at the same time. Over the next six months, the dealers are contacting about 8,000 previous customers and offering them a gift card worth at least $50 to over 100 of the city's shops and restaurants (pictured above), according to Automotive News. All people need to do to receive the certificate is stop by the showrooms. Hopefully, the visitors would check out a new Hyundai or Kia at the same time. "We'd love to sell them a new car, but it is really a customer-appreciation gesture," said Ken Reeher, the dealers' marketing manager, to Automotive News. The two stores already bought about 3,600 cards with $181,000 going into the local economy. Paying people to come to the showroom isn't really new but generally works well. The Colorado dealers expect around half of the people they contact to visit for the gift card, which is still significantly more foot traffic than from traditional mailings. The decision to keep the cards local also means more money goes to small businesses, and the move gains goodwill in the community, too. News Source: Automotive News - sub. req.Image Credit: Aaron Hoffman Marketing/Advertising Hyundai Kia Car Buying Car Dealers colorado

Kia recalls 260k Souls for possible steering failure

Kia will recall 256,459 examples of the 2014-2016 Soul and Soul EV for a steering failure problem. The affected models have production dates between Jan. 18, 2014, and Sept. 30, 2015. According to a chronology (as a PDF) posted by the National Highway Traffic Safety Administration, there are five warranty claims from this issue as of Oct. 29 but no reports of accidents or injuries. On these hatchbacks, the adhesive that secures the steering pinion gear and the steering gear assembly can potentially separate, and if this happens drivers lose control. Dealers will inspect the affected vehicles and replace the pinion plug if necessary. They'll also install a set bolt to further reinforce things. The campaign will begin Dec. 22. RECALL Subject : Steering Gear may Separate Report Receipt Date: NOV 06, 2015 NHTSA Campaign Number: 15V736000 Component(s): STEERING Potential Number of Units Affected: 256,459 All Products Associated with this Recall Vehicle Make Model Model Year(s) KIA SOUL 2014-2016 Details Manufacturer: Kia Motors America SUMMARY: Kia Motors America (Kia) is recalling certain model year 2014-2016 Kia Soul and Soul EV vehicles manufactured January 18, 2014, to September 30, 2015. In the affected vehicles, the adhesive used to secure the steering pinion gear to the steering gear assembly may have insufficient strength, and as a result, the pinion gear may separate from the steering gear assembly. CONSEQUENCE: If the pinion gear separates, there would be a loss of steering which could increase the risk of a crash. REMEDY: Kia will notify owners, and dealers will inspect and, if necessary, replace the pinion plug that secures the pinion gear. Dealers will also install a set bolt for additional reinforcement. These repairs will be performed free of charge. The recall is expected to begin December 22, 2015. Owners may contact Kia customer service at 1-800-333-4542. Kia's number for this recall is SC125. NOTES: Owners may also contact the National Highway Traffic Safety Administration Vehicle Safety Hotline at 1-888-327-4236 (TTY 1-800-424-9153), or go to www.safercar.gov. Related Video: