General Motors (GM) is still waiting to hear their fate on whether or not U.S. bankruptcy Judge Robert Gerber will permit the company to be shielded behind their July 2009 bankruptcy. If the judge fails to rule in their favor, they could face a $2 billion tab.
Thousands of consumers who purchased or leased a General Motors vehicle believe that the value of their vehicle has depreciated, and that GM should be held liable for those vehicles that were built and sold before the company filed for bankruptcy in 2009.
Although the company has set aside as much as $600 million to compensate anyone who was injured or who lost a loved one in a defective vehicle, they do not believe that they should have to pay for diminished value claims.
General Motors asked the federal judge to throw out more than $10 billion in lawsuits for diminished value on Nov. 6. The company claims that their bankruptcy shielded new GM from old GM’s obligations. Judge Gerber will hold a hearing on Jan. 26 and then decide on GM’s duties to car owners in February 2015.
Additionally, Gerber has said that if he determines that he was misled about GM’s knowledge of the defects or decides that the company knew enough to warn consumers, the bankruptcy protection could be no more. If such a decision is made, GM could be subject to even more lawsuits as the auto manufacturer has recalled nearly 10 million cars and trucks for similar ignition issues this year.
If you or someone you love has been injured due to a defective General Motors vehicle, the victim may be entitled to file a product liability claim. Our experienced personal injury attorneys in Cincinnati can help you determine your legal options.