1968 Pontiac Gto on 2040-cars

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GM isn't liable for punitive damages in ignition switch cases

NEW YORK — A federal appeals court said General Motors is not liable for punitive damages over accidents that occurred after its 2009 bankruptcy and involved vehicles it produced earlier, including vehicles with faulty ignition switches. The 2nd U.S. Circuit Court of Appeals in Manhattan said on Tuesday that the automaker did not agree to contractually assume liability for punitive damages as part of its federally-backed Chapter 11 reorganization. GM filed for bankruptcy in June 2009, and its best assets were transferred to a new Detroit-based company with the same name. The other assets and many liabilities stayed with "Old GM," which is also known as Motors Liquidation Co. Tuesday's 3-0 decision may help GM reduce its ultimate exposure in nationwide litigation over defective ignition switches in several Chevrolet, Pontiac and Saturn models. It is also a defeat for drivers involved in post-bankruptcy accidents, including those who collided with older GM vehicles driven by others, as well as their law firms. The ignition switch defect could cause engine stalls and keep airbags from deploying, and has been linked to 124 deaths. A lawyer for the drivers and their law firms did not immediately respond to requests for comment. GM had no comment. Circuit Judge Dennis Jacobs said GM's agreement to acquire assets "free and clear" of most liabilities excused it from punitive damages claims for Old GM's conduct. He also noted that the judge who oversaw the bankruptcy concluded that the new company could not be liable for claims that the "deeply insolvent" Old GM would never have paid. The decision upheld a May 2018 ruling by U.S. District Judge Jesse Furman in Manhattan, who oversees the ignition switch litigation. Drivers have sought a variety of damages in that litigation, including for declining resale values. GM has recalled more than 2.6 million vehicles since 2014 over ignition switch problems. It has also paid more than $2.6 billion in related penalties and settlements, including $900 million to settle a U.S. Department of Justice criminal case. The case is In re: Motors Liquidation Co, 2nd U.S. Circuit Court of Appeals, No. 18-1940. Government/Legal Chevrolet Pontiac Saturn Safety gm ignition switch

GM recalling 778,000 Cobalts and G5s, six deaths reported

General Motors has announced that it will be recalling 778,562 compact cars after six people were killed in accidents, partially due to the airbags' failure to deploy. An issue with the ignition switch is causing the airbag issues, as well as causing the engine and other components to shut off without warning. The recall covers the 2005 to 2007 model year Chevrolet Cobalt and 2007 Pontiac G5. (Note that the Cobalt pictured above is a 2009 model.)
According to a report from Automotive News, a number of factors can cause the ignition to switch out of the run position, including weights on the key ring, rough or bumpy roads or other "jarring" events. Any of these situations could lead to some vehicle components not functioning properly.
There have been five fatal front-impact crashes that took the lives of six people, although as a GM spokesman noted, all five of the crashes happened off road and at high speed. In each of these cases, though, the lack of airbags wasn't the only lethal factor - alcohol and failure to wear a seat belt also played a role. Outside of the fatal accidents, there have been 17 other crashes where airbags didn't deploy. It's unclear if any of these crashes were caused by the engine shutting off.

Junkyard Gem: 1984 Pontiac Fiero with supercharged 3800 V6 swap

Like the Corvair, the Vega, and the Citation, the Pontiac Fiero was a very innovative machine that ended up causing General Motors more headaches than happiness, and Fiero aficionados and naysayers continue to beat each other with tire irons (figuratively speaking, I hope) to this day. The General has often proved willing to take the occasional big gamble and huge GM successes in engineering prowess (including the first overhead-valve V8 engine for the masses and the first real-world-usable true automatic transmission) and marketing brilliance (e.g., the Pontiac GTO and related John DeLorean home runs) meant that the idea of a mid-engined sporty economy car (or economical sports car) got a shot from the suits on the 14th floor. Sadly, the Fiero ended up being the marketplace victim of too many issues to get into here, and The General pulled the plug immediately after the 1988-model-year suspension redesign that made the Fiero the sports car it should have been all along. But what if the plastic Pontiac had never suffered from the misery of the gnashy, pokey Iron Duke engine and had been built from the start with a screaming supercharged V6 making way better than 200 horsepower? The final owner of today's Junkyard Gem sought to make that very Fiero, by dropping in one of the many supercharged 3.8-liter V6s installed in 1990s and 2000s GM factory hot rods. The first Fieros came out in 1983 for model year 1984, and the only engine available that year was the Iron Duke 2.5-liter four-cylinder, which generated its 92 horsepower with the full-throated song of a Soviet tractor stuck in the freezing mud of a Polish sugar-beet field. The 2M4 badging stood for "two seats, mid-engine, four cylinders," just as the numbers in the Oldsmobile 4-4-2 once represented "four carburetor barrels, four-speed manual transmission, dual exhaust." This car is a top-trim-level SE model, which listed for $9,599 (about $24,200 today). The no-frills Fiero cost just $7,999 that year, making these cars far cheaper than the only other reasonably affordable new mid-engined car Americans could buy at that time: the $13,990 Bertone (aka Fiat) X1/9. The Toyota MR2 appeared in North America as a 1985 model with a base price of $10,999 and promptly siphoned off the car-buying cash from a bunch of potential Fiero shoppers.