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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 over 40,000 Chevy, Pontiac and Saturn models over fuel pump woes

The National Highway Traffic Safety Administration has issued a recall for a number of General Motors cars and crossovers bought or currently registered in the hot-climate states of Arkansas, Arizona, California, Nevada, Oklahoma and Texas. As many as 40,859 units consisting of the 2007 Chevrolet Equinox, Pontiac Torrent and Saturn Ion and the 2007-2009 Chevrolet Cobalt (shown) and its Pontiac G5 twin are being recalled for potential fuel leaks.
This recall is being issued due to potentially faulty fuel pump components that can crack and cause gasoline to leak from the return or supply ports and possibly cause a fire. NHTSA has not indicated how many fuel leaks or vehicle fires have been reported. As a fix, GM will replace the fuel pump modules on all affected vehicles free of charge. Since Pontiac and Saturn have been shuttered, owners will be able to go to another GM-brand dealership to have their vehicles repaired.
While the list of affected cars and crossovers varies by state and model year, if you own any of these models and live in Arizona, California, Florida, Nevada, Oklahoma or Texas, be sure to check the official notice below for more details.

GM calling in 56k Saturn Aura sedans over shift cables

General Motors may have made a few mistakes when it came to the whole ignition-switch debacle, and it will likely be dealing with the consequences for some time to come. But you have to hand it to Mary Barra and her team, because they're determined to clean house and avoid the same mistakes. That's why the biggest of the Big Three automakers in Detroit has been issuing recalls left, right and Renaissance Center. Aside from those vehicles fitted with the faulty ignition switches, GM has recalled over 50,000 Cadillac SRXs, another 50 heavy-duty pickups and some 51,000 full-size crossovers. There are bound to be more to come, and now it's issued another 50k-unit recall over faulty shift cables in the transmission.
The recall affects 2007 and 2008 Saturn Auras fitted with the four-speed automatic transmission manufactured between April 24, 2006, and October 31, 2007. The recall doesn't affect models equipped with the six-speed automatic, or for that matter any of the Aura's Epsilon platform-mates like the Chevy Malibu, Pontiac G6, Opel Signum and Vectra, Saab 9-3 or - carrying over from Fiat's aborted partnership with GM - the Fiat Croma, although many of those models used the same 4T40 transmission employed in the Aura.
In the affected vehicles, the shift cable might fracture while in motion, preventing the transmission from shifting into Park or the ignition from switching off, which the National Highway Traffic Safety Administration figures could lead to the car rolling away. Hence the recall of 56,214 units in the United States, owners of which can expect to hear from their dealership in due course to have the necessary components replaced.