Tuesday, May 20, 2014

General Motors Expands Vehicle Recall

General Motors almost doubled the number of vehicles subject to recall this week bringing the total to 5 million.  The latest recall is divided into four different actions and involve issues with seat belts, a shifting cable, a fuse box and air bag. 

Although none of latest problems are linked to fatalities, GM could still be subject to possible personal injury lawsuits as product liability claims. 

GM has taken intense criticism because of the manner in which it handled the first recall in 2013.  Federal safety regulators claimed that GM was slow to initiate a recall.  GM and the National Highway Traffic Safety Administration reached a settlement last week that provides for a $35 million penalty.  

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