A Michigan federal judge on Thursday indicated he would give the initial approval to a $50 million settlement to end class claims that General Motors LLC sold trucks with faulty fuel pumps, clearing the way for GM to drop a Sixth Circuit appeal.
General Motors $50M Faulty Fuel Pump Deal Gets OK : Judge’s Approval and Settlement Terms
U.S. District Judge Terrence G. Berg said during a remote hearing Thursday that the class settlement with GM seemed to provide a fair amount of payment to drivers who claim they either overpaid for their allegedly defective vehicles or had to pay out of pocket for repairs.
“Just reviewing the substance of this agreement, it does appear to me that it is fair,” Judge Berg said. “I don’t have any problem in deciding I think it’s appropriate to send this out.”
Preliminary approval for the deal, reached through a six-month negotiation process, also likely staves off GM’s Sixth Circuit appeal to undo the certification of seven state classes of drivers. GM agreed to withdraw its appeal once the judge gave his initial support.
Background of the Case
The case involves customers who purchased certain-year GMC and Chevrolet diesel trucks outfitted with 6.6L V8 Duramax LML engines or LGH engines equipped with a CP4 fuel injection pump from GM-authorized dealerships in California, Florida, Illinois, Iowa, New York, Pennsylvania, and Texas, the seven state subclasses certified in 2023.
