Legal Commentary

The National Law Journal reports on the several class actions that have been brought against Toyota in the wake of the gas pedal problems and recalls.  The lawsuits are consumer class actions that seek damages for economic losses stemming from reduced value of cars subject to this problem.

It looks like the lawsuits are being filed state by state with the expectation that they will then be consolidated as an MDL.  The lead plaintiffs in the lawsuits appear to be persons whose cars actually experienced the gas pedal issues.  Although these plaintiffs have not alleged personal injury, there will be some serious typicality issues given the very broad class definition that the attorneys are seeking.

While the plaintiffs face some challenges in terms of class certification and causation, there is no question that multiple billion dollar lawsuits will pose a major litigation challenge to Toyota going forward. 

What will be interesting to watch is the delicate balance between the remedies that Toyota has already offered, the recalls and other actions by NHTSA, and the machinery of private remedies writ large over a vast number of car owners.