Gibbs Law Group Announces Nationwide Settlement in General Motors/Dex-Cool Class Action Lawsuit (NYSE:GM)
March 26, 2008
SAN FRANCISCO–(BUSINESS WIRE)–Gibbs Law Group LLP (www.GirardGibbs.com) announces that a nationwide class action settlement involving General Motors’ Dex-Cool engine coolant was granted preliminary approval last week by Judge Robert Freedman of the Alameda County, California Superior Court. The lawsuits were filed on behalf of owners of General Motors vehicles, which were factory-filled with “Dex-Cool” coolant. The lawsuits alleged that Dex-Cool coolant caused damage to certain vehicles’ engines, and that in certain other vehicles, Dex-Cool formed a rusty sludge, which clogged the vehicles’ cooling systems, causing them to overheat. According to the complaints, Dex-Cool failed to protect the vehicle engines and cooling systems as was represented by the manufacturer.
GM asserted that Dex-Cool protected engines for a longer period than traditional coolants, caused less wear on certain engine parts than traditional coolants, and provided environmental benefits. GM also argued that the alleged problems with the vehicles’ engines or cooling systems were caused by the owners’ failure to follow the manufacturer’s maintenance instructions for their vehicles and other outside factors.
Under the proposed settlement, current and former owners and lessees of certain 1995-2004 model year GM vehicles with 3.1-liter, 3.4-liter, 3.8-liter or 4.3-liter engines will be eligible to receive reimbursement for Dex-Cool related engine repairs that occurred within 7 years or 150,000 miles (whichever is earlier) of original vehicle purchase; these repairs include intake manifold gasket replacements, cooling system flushes, and heater core repairs.
Vehicle owners or lessees who paid for a qualifying repair will be entitled to cash reimbursement from GM of up to $400 per repair made within the first five years of the vehicle’s life, up to $100 per repair made in the sixth year, and up to $50 per repair made in the seventh year. Those who paid for multiple covered repairs may be eligible to receive multiple cash reimbursements. In addition, those vehicle owners or lessees who had more expensive repairs as a result of internal coolant leaks, will be entitled to cash reimbursement from GM of up to $800.
“The settlement is the result of a lot of hard work over a 5-year period in what was a vigorously contested series of class action lawsuits,” said Eric Gibbs of San Francisco-based Gibbs Law Group LLP (www.GirardGibbs.com), co-lead counsel for plaintiffs. “In the end, we believe the settlement is good for the class members, and we think it was appropriate for GM to ultimately agree to provide compensation to its customers,” said Jack Brady, co-lead plaintiffs’ counsel and shareholder at Shughart Thomson & Kilroy, headquartered in Kansas City, Missouri.
To make a claim, or to find out more information about the settlement, visit www.dexcoolsettlement.com or www.GirardGibbs.com.
Gibbs Law Group LLP (www.girardgibbs.com) is one of the nation’s leading firms in prosecuting class actions and other lawsuits involving consumer fraud. For more information, please visit our website www.girardgibbs.com.
Gibbs Law Group LLP
Eric Gibbs, 415-981-4800