New GM Says ‘Old’ Company’s Bankruptcy Protects From Ignition Switch Suits
April 22, 2014
General Motors hopes to end more than 50 lawsuits filed against the company related to ignition defects, telling a federal bankruptcy judge in a filing this week that liability for such defects are not passed on to the “new” GM under a 2009 bankruptcy court order. Plaintiffs suing the company filed a proposed class action seeking an order saying GM may not use bankruptcy protection as a shield against such litigation. The faulty ignition switches, which GM knew about for a decade before it was publicly revealed, led to at least 13 deaths and a recall of 2.6 million vehicles.
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