Hyundai Agrees To Settle Fuel-Efficiency Lawsuits


  • Hyundai Logo Picture

    Hyundai Logo Picture

    Hyundai Motor Co. has agreed to settle lawsuits from U.S. consumers over misleading fuel-economy claims. | February 27, 2013

Just the Facts:
  • Hyundai Motor Co. has agreed to settle lawsuits from U.S. consumers over misleading fuel economy claims, according to media reports.
  • A settlement amount was not disclosed, but a hearing to discuss the settlement and how to implement it is scheduled for Thursday.
  • Hyundai Motor America told Edmunds that settlement negotiations are confidential and that it had no further comment at this time.

SANTA ANA, California — Hyundai Motor Co. has agreed to settle lawsuits from U.S. consumers over misleading fuel economy claims, according to media reports.

A settlement amount was not disclosed, but a hearing to discuss the settlement and how to implement it is scheduled for Thursday in U.S. District Court here. Hyundai is expected to offer a lump sum option to consumers in place of its reimbursement plan, according to Reuters.

Hagens Berman, a law firm representing some Hyundai and Kia buyers, said in a statement on its Web site that it was seeking a lump sum payment.

"We are seeking to get a lump-sum award, not a payment plan over the life of the vehicle," the firm said.

Last year Hyundai and Kia agreed to compensate owners for added fuel costs after a probe by the Environmental Protection Agency found errors in the mileage ratings of 13 Hyundai and Kia models. Under the plan, customers will receive a debit card that will reimburse them for the difference in fuel economy, plus an extra 15 percent.

Hagens Berman described the reimbursement as "a complex plan requiring owners to visit a dealership to verify mileage."

Hyundai and Kia would not disclose any information about the settlement.

"Settlement negotiations, as you can appreciate, are confidential, so we have no further comment at this time," wrote Jim Trainor, a Hyundai Motor America spokesman, in response to an e-mailed query from Edmunds on Tuesday.

"Our policy is to not comment on pending litigation," wrote Scott McKee, a Kia Motors America spokesman, in response to an e-mailed query from Edmunds on Tuesday. "Kia Motors America's priority is and will remain making things right for our customers, which is why we are offering to compensate all current and former owners of affected vehicles, using MPG ratings adjustments for the full length of their vehicle ownership."

Edmunds says: More details about the settlement and its implications for consumers are expected shortly.

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