GM agrees to $19 million settlement in lawsuit over brakes
Monday, May 15th 2000, 12:00 am
By: News On 6
DETROIT (AP) -- General Motors Corp. has agreed to a $19 million settlement for a class action lawsuit that alleged the company
installed defective brake parts in sedans built from 1988 to 1993.
The New Jersey lawsuit claimed the rear brakes in the Chevrolet Lumina, Pontiac Grand Prix, Oldsmobile Cutlass Supreme and Buick Regal were prone to corrosion, causing costly brake repairs. The lawsuit was certified as a nationwide class action in November
Under the settlement GM disclosed in federal filings Monday, the company will pay eligible repair bills for owners and lessees of the cars. GM also will notify owners and cover attorneys' fees.
GM said the New Jersey trial court had given a preliminary approval to the plan, and would hold a hearing for final approval.
Calls to GM for further comment were not returned.