GM Facing Lawsuits

General Motors is in the news and this time it is not for something that is going to benefit the company. In fact, this recent news could tarnish their reputation. The company is maintaining that they are not responsibly for the fault that has been found in many 2007 and 2008 Chevrolet Impalas since that was post bankruptcy time. The lawsuit that is being filed states that due to faulty spindle rods in the rear of the car, most people were finding that their tires were wearing out in about six thousand miles. Which is nothing close to how long tires normally last. 

The lawsuit is seeking to be a class action lawsuit with many people stating that this is breaching their warranty, despite the fact that the problem predated the companies bankruptcy. And furthermore, people are stating that on the police cars that were Impala's, they did fix the rods. Why should the common person be given less service if their warranty mandates this is the main problem that people are pointing out. 

gm

So how is GM stating that they are not responsible? They are mandating that the warranties are held by Old GM, not the New GM that they have reorganized themselves as now. Basically, they are stating that they are a different company and that this is not their responsibility. This is something that GM is not unfamiliar with, as they faced a similar case against OnStar, which did have courts favoring on the side of OnStar. So who is right?

Most people are very surprised to find that GM is acting as this and that they are not honoring warranties and contracts made by the Old GM. After all, most people are pointing out that the company is the same, just reorganized under a different name. It has made many people stop and think before they buy a predated bankruptcy GM if this is the kind of problems that they are going to have to face later down the road.

Related Articles

Leave a Reply