Toyota Motors Agrees to $1.1 billion settlement
Toyota will pay $1.1 billion to settle a class-action lawsuit brought by millions of car owners. In the suit, car owners alleged they suffered economic loss from negative publicity associated with reports of sudden unintended acceleration in their Toyota and Lexus vehicles.
This lawsuit is one of the first class action suits of its kind because the class did not pursue personal injury or products liability claims. This settlement agreement will affect 16 million owners of Toyota and Lexus cars. The news of Toyota’s willingness to pay this large settlement on economic claims alone may also be a good predictor of Toyota’s intent to settle any personal injury or products liability claims in the future.
Before joining a class action lawsuit, it is important to consider several factors relating to your participation in the suit. A primary benefit of class action litigation is that it can reduce litigation expenses for the individual. In a class action lawsuit, several people share the costs of litigation. Bringing a class action lawsuit can also be a more efficient use of court resources and can ease proof of a defendant’s liability.
With these benefits in mind, it is also important to consider some of the drawbacks of being a class member. First, a class’s settlement award is divided among all the class members, which often reduces each member’s recovery. It is also common for the defendant to file counterclaims against the class, which can lead to unexpected out-of-pocket expenses for each class member.
If you suffered an injury and have questions about whether or not you should join a class action lawsuit, an experienced personal injury lawyer can help you evaluate your claims. For questions, contact Broussard, David & Moroux at 888-337-2323 (toll-free) or 337-337-2323 (local).