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Fiat Chrysler Hit With $105M in Penalties for Failure to Complete Recalls on Defective Vehicles
Jul29
Posted by The Law Firm of Pajcic & Pajcic in Car Accidents
105 million dollars! That is the new record in fines levied against an automaker for failing to complete safety recalls on defective cars. The penalty against Fiat Chrysler involves 23 separate recalls of more than 11 million vehicles. The National Highway Traffic Safety Administration (NHTSA) imposed the fine in an effort to ramp up efforts to punish automakers that don’t adequately complete recalls and fix dangerous cars.
Fiat Chrysler admitted to violating federal rules requiring timely recalls and the notification of car owners, dealers and regulators. In a statement, the company said it accepts the consequences and has a new resolve to improve handling recalls. Fiat Chrysler vowed to re-establish the trust customers place in the company. Company safety executive Scott Kunselman acknowledged the automaker had made mistakes and missteps in conducting recalls.
As part of the order, Fiat Chrysler must buy back as many as half a million vehicles with defective suspensions that can cause drivers to lose control. Also, owners of more than 1 million Jeeps with rear mounted gas tanks will be given the opportunity to trade in their vehicles at rates above the market value. Those tanks are prone to fires such as the one in Georgia that killed a child. In April, a jury awarded $150 million to the family of a 4-year-old boy killed in a crash and fire involving a Jeep. Just this week a Georgia judge reduced the amount Fiat Chrysler must pay to the family to $40 million. The Decatur County Superior Court Judge also denied the automaker’s motion for a new trial.
Mark Rosekind, who heads up the highway safety administration, told reporters, “Fiat Chrysler’s pattern of poor performance put millions of its customers, and the driving public at risk.” Rosekind went on to say, “We need a proactive safety culture in this country.”
The largest fine before this was $70 million imposed in January against Honda for faulty airbags.
If you want to find out if your car has been recalled you can look it up based on your VIN number at this website.
If you have been injured in an accident involving a recalled vehicle you may be entitled to compensation. An experienced Jacksonville car accident lawyer can help you explore your legal options.
Fiat Chrysler admitted to violating federal rules requiring timely recalls and the notification of car owners, dealers and regulators. In a statement, the company said it accepts the consequences and has a new resolve to improve handling recalls. Fiat Chrysler vowed to re-establish the trust customers place in the company. Company safety executive Scott Kunselman acknowledged the automaker had made mistakes and missteps in conducting recalls.
As part of the order, Fiat Chrysler must buy back as many as half a million vehicles with defective suspensions that can cause drivers to lose control. Also, owners of more than 1 million Jeeps with rear mounted gas tanks will be given the opportunity to trade in their vehicles at rates above the market value. Those tanks are prone to fires such as the one in Georgia that killed a child. In April, a jury awarded $150 million to the family of a 4-year-old boy killed in a crash and fire involving a Jeep. Just this week a Georgia judge reduced the amount Fiat Chrysler must pay to the family to $40 million. The Decatur County Superior Court Judge also denied the automaker’s motion for a new trial.
Mark Rosekind, who heads up the highway safety administration, told reporters, “Fiat Chrysler’s pattern of poor performance put millions of its customers, and the driving public at risk.” Rosekind went on to say, “We need a proactive safety culture in this country.”
The largest fine before this was $70 million imposed in January against Honda for faulty airbags.
If you want to find out if your car has been recalled you can look it up based on your VIN number at this website.
If you have been injured in an accident involving a recalled vehicle you may be entitled to compensation. An experienced Jacksonville car accident lawyer can help you explore your legal options.