It just keeps getting worse for the automaker.
There’s no need to remind everyone about General Motor’s current legal troubles. Let’s just say ignition switches aren’t its specialty. Anyway, there are still plenty of GM cars out there that remain unaffected by that major recall. However, one consumer rights law firm in California has just filed a class action lawsuit against GM for potentially more than $10 billion. It claims that because of the 20 million recalled cars (not all because of a faulty ignition switch), the resale value of GM cars has been hurt.
The firm’s suit, which seeks to include people who bought GM vehicles between July 10, 2009 and April 1, 2014, alleges misrepresentation, concealment and non-disclosure of “piecemeal” safety defects. It seeks compensation based on GM’s damaged brand perception. At the moment, the suit hasn’t been certified, but it could end up representing as many as 15 million GM owners. The suit also states that the firm has measured decreased value from $500 to more than $2,600 a vehicle. GM has yet to comment.