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Federal judge sets date for Toyota litigation hearing

By Bernard Hibbitts (editor) and University of Pittsburgh School of Law students.

[JURIST] US District Judge James Selna on Thursday ordered a May 13 pre-trial conference for the consolidated litigation against Toyota Motor Corporation surrounding the company's auto safety failures. The court found that, "ecause this docket involves both personal injury actions and actions for economic loss, the Court believes a somewhat unique structure is required." Toyota will defend itself in US District Court for the Central District of California against nearly 100 consumer fraud class action and personal injury claims. In addition to civil suits, Toyota faces a Securities and Exchange Commission (SEC) probe into investor disclosures, as well as a criminal investigation by federal prosecutors surrounding "sudden acceleration" in Toyota cars. Last week, the US Judicial Panel on Multidistrict Litigation (MDL) consolidated more than 150 pending lawsuits against Toyota, transferring them to the district court. Earlier this month, the National Highway Traffic Safety Administration (NHTSA) announced that it will seek a record civil penalty of $16.375 million against Toyota for a four-month delay in notifying the agency about a problem with "sticky" gas pedals in various car models. In March, the California Orange County District Attorney (OCDA) filed a consumer protection suit against Toyota, alleging that the company knowingly sold vehicles with acceleration defects. Toyota has been under federal scrutiny since December and has recalled approximately eight million cars.

Full post as published by JURIST - The Paper Chase on April 16, 2010 (boomark / email).