General Motors Co.’s bid to freeze a lawsuit over faulty ignition switches may compromise public safety, plaintiffs told a judge in California, calling the automaker’s claim that its 2009 bankruptcy shielded it from the old GM’s liabilities “irrelevant” and a “red herring.”
General Motors Co. doesn’t have to tell car owners they should park the 2.59 million vehicles it recalled over faulty ignition switches, a federal judge ruled, rejecting a bid for what would’ve been an unprecedented order.
General Motors Co. said it shouldn’t be forced to tell car owners to park models with faulty ignition switches until they are fixed because they’re safe to drive if government-approved recall instructions are followed.
General Motors Co. was told by a U.S. judge to provide more explanation for why she shouldn’t force it to tell drivers of 2.59 million recalled small cars to “park it” until faulty ignition switches are fixed.
General Motors Co., which recalled more than 2.59 million small cars for faulty ignition switches linked to 13 deaths, was sued in a proposed class action in Manhattan federal court, adding to more than a dozen similar cases filed across the country.