Another Recall: GM to Reveal Compensation Plan

Extending the string of safety issues and problems, GM has announced three more recalls bringing the total to more than 20 million cars and trucks this year. This means that GM broke its own recall record of 10.75 million vehicles in 2004. This month, the company plans to identify those entitled to compensation for the ignition switch recall, and how much each recipient can expect to receive.


The compensation plan is expected to be presented by a consultant who is considered a “compensation expert.” The internationally renowned compensation strategist also helped develop compensation packages for victims of 9/11 and families who lost loved ones in the Virginia Tech shooting.

The most recent recall covers over 474,000 vehicles worldwide. After investigations, the company finally admitted that a transmission transfer can cause the vehicles to shift into neutral on their own. The ignition switch issues have resulted in loss of power as well as roll away vehicles, though GM says that it knows of known crashes or injures. Our Greensboro car accident attorneys are dedicated to providing comprehensive and strategic advocacy to individuals who have been injured in a car accident. We have experienced representing individuals in cases involving complex auto accidents and truck accidents resulting from texting and driving, failed maintenance, drinking and driving, defective auto parts, and general negligence.

GM’s trouble with safety and recalls involving other U.S. manufacturers have caused the auto industry to hit a record in the number of vehicles recalled. U.S. automakers recalled over 32 million vehicles in less than six months. In February, GM began recalling older cars to fix the ignition switches that can turn off engines on their own. The problems extended to over 2.6 million vehicles and GM has admitted that the ignition switch issues resulted in at least 13 deaths. Others say that the death rate could be over 100. The automaker has been under scrutiny since it denied having knowledge of the defect which killed power steering and brakes, resulting in loss of control over the vehicle.

In the event of an accident, victims or their families should consult with an experienced attorney as soon as possible. Despite the immediate reports provided by police and other government entity inspectors, an independent advocate should review the facts of every case to determine the potential cause of the accident and to identify responsible individuals or entities. Involving an independent advocate as soon as possible can also ensure that you protect critical evidence, including black box evidence and witness statements. Individuals who were involved in accident that could be caused by a manufacturer defect may be entitled to significant compensation.

The ignition switch problem seemed like the tip of the iceberg when the manufacturer was forced to launch a massive safety review. GM has also been investigated by Congress, the Department of Justice and the National Highway Traffic and Safety Administration. After GM failed to provide a timely report of safety problems it was fined $35 million. Now, the company’s losses to cover recall costs are nearing $2 billion.

Contact the Carolina injury lawyers at the Lee Law Offices by calling 800-887-1965.

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