NHTSA and GM entered into a consent order on Friday, May 16, 2014, under which GM will pay the statutory maximum civil penalty of $35 million for its failure to comply with the notification requirements of the Safety Act — National Traffic and Motor Vehicle Safety Act of 1966 as amended and recodified, 49 U.S.C. § 30101, et seq. — for its failure to provide timely notice to NHTSA of the safety related defect in the GM ignition switch. During the investigation into GM’s conduct, a 2008 Technical Learning Symposium presentation for GM employees was uncovered that revealed a shocking list of Judgment Words for GM employees to avoid using in reports and presentations. Included on the list are:
Per the terms of the consent order, GM has initiated efforts to improve employee training, and will expressly disavow such statements diluting the safety message.
The civil penalty does not relieve GM from civil liability for injuries caused by the defective ignition switch. GM’s liability for injuries will be governed by state law. According to Baton Rouge, Louisiana auto defect lawyer and Products Liability law professor, Scott Andrews, in Louisiana, the manufacturer-friendly Louisiana Products Liability Act (LPLA), La. R.S. 9:2800.51, et seq., provides the exclusive theories of liability against manufacturers whose products have caused injuries. The Act does not include the word “defect” anywhere within the four corners of the statutes. Rather, in Louisiana, the manufacturer of a product shall be liable to a claimant for damage proximately caused by a characteristic of the product that renders the product unreasonably dangerous when such damage arose from a reasonably anticipated use of the product by the claimant or another person or entity.
If you or a loved one was harmed because of the defective GM ignition switch, contact Baton Rouge, Louisiana auto defect lawyers, Scott Andrews, to schedule a free consultation.
