facebook
twitter
search
search

Toyota agrees to billion-dollar settlement

Dec. 26, 2012 at 9:09 PM

NEW YORK, Dec. 26 (UPI) -- Japanese auto giant Toyota Motors has announced a settlement of $1.1 billion in a class-action lawsuit over sudden-acceleration problems in some of its cars.

The company agreed to set up two $250 million funds, CNN reported.

One would be used to compensate Toyota owners who sold their cars between Sept. 1, 2009, and Dec. 31, 2010, compensating them for the loss in resale value of Toyota cars. The other would go to Toyota owners with cars not eligible for brake-override systems.

The balance of the money would be used for a 10-year customer care plan.

Toyota's reputation for quality took a heavy hit with reports of unintended sudden acceleration. Problems have continued with more than 10 million vehicles around the world recalled this year.

The company still faces lawsuits over injuries and deaths from crashes blamed on sudden acceleration.

Latest Headlines
Top Stories
Hyon Yong Chol disparaged Kim Jong Un prior to execution, analyst says
Officials debate 'when to suspend' search for missing Florida boys
Jon Stewart, Obama held secret meetings at White House
In Khamenei Tweet, man resembling Obama holds gun to head
Napa Valley fire reignites, hundreds more evacuated