Hyundai Sonata Engine Defect Class Action Settlement

Hyundai has agreed to settle a class action lawsuit with Sonata owners claiming their engines failed and Hyundai dealers allegedly declined to replace them under warranties.

The affected vehicles include 2011 – 2014 model year Hyundai Sonatas with a Theta II 2.0 liter or 2.4 liter gasoline direct injection engine.

Plaintiffs claimed the vehicles had check-engine light problems, unusual sounds coming from engine compartments, sudden engine seizures and stalling.

They further alleged that dealers frequently didn’t replace the engine, citing the drivers’ alleged failure to regularly change the oil or failing to keep service records.

Under the terms of the Hyundai Sonata engine settlement, Hyundai will reimburse Sonata owners who paid for engine block replacements or repairs within 10 years and 120,000 miles of the vehicle’s original sale or lease, including rental car and towing expenses incurred as a result of the engine failures.

The company will also compensate Sonata owners for loss of resale value if they suffered an engine failure, but sold or traded in their vehicles rather than paying to replace the engine.

For those customers who haven’t experienced engine issues yet, Hyundai will mail them a pamphlet describing the alleged engine defect.

Class Members who wish to be excluded from or object to the terms of the settlement must do so by Nov. 7, 2016.

Who’s Eligible

All owners and lessees of a 2011, 2012, 2013, or 2014 model year Hyundai Sonata with a Theta II 2.0 liter or 2.4 liter gasoline direct injection engine purchased in the United States, excluding the territories, or abroad while on active military duty.

Potential Award

Varies.

The settlement provides the following benefits:

Powertrain Warranty Extension for Class Vehicles: You do not need to submit a Claim Form to receive this extension of the Powertrain Warranty for the engine short block assembly under this settlement.

Reimbursement for past repairs:  Money you spent on certain Class Vehicle repairs will be reimbursed in full, based on the following requirements:

• DATE OF REPAIR
  • The repair must have been within the new extended warranty period (i.e., within 10 years and 120,000 miles of when the vehicle was first sold or leased), and
  • The repair must have been before Nov. 9, 2015 for 2011 and 2012 model year vehicles, or Sept. 28, 2016 for 2013 and 2014 model year vehicles.
• TYPES OF “QUALIFYING REPAIRS”
  • Any repair to the engine short block assembly (which includes the engine block, crankshaft and bearings, connecting rods and bearings, and pistons).
  • Repairs to any other components (such as the long block assembly, battery, or starter) if paperwork shows the work was an attempt to address (i) engine seizure, (ii) engine stalling, (iii) engine noise, or (iv) illumination of the oil lamp. (Repair costs will not be reimbursed if the paperwork reflects that the repairs were plainly unrelated to the short block assembly).
  • Any replacement of an oil filter based on Hyundai TSB No. 12-EM-006 necessitated by an engine short block assembly issue.

Reimbursement for rental cars, towing, etc.:
Money you spent on rental cars, towing services, and similar services will also be reimbursed in full if the expense was reasonably related to obtaining one of the “qualifying repairs” listed above.

Compensation if you sold or traded-in a Class Vehicle: If, before Nov. 9, 2015 for 2011 and 2012 model year vehicles, or Sept. 28, 2016 for 2013 and 2014 model year vehicles, your Class Vehicle (i) experienced an engine seizure, engine stall, engine noise, or illumination of the oil lamp diagnosed as requiring repair of the engine block, and (ii) you sold or traded-in the Class Vehicle without first procuring the recommended repair, you may receive compensation for any effect on fair market value of the Class Vehicle that resulted.

The amount of compensation will be based on the sale or trade-in transaction as a whole (among other considerations). The vehicle’s maintenance history or lack thereof before the repair diagnosis will not be a basis for denying or limiting compensation under this section, however (excepting limited exceptional neglect circumstances).

Proof of Purchase

Depending on the reimbursement you are claiming, the following documents, along with the Vehicle Identification Number (VIN), are required to complete your claim:

Reimbursement for repairs at a Hyundai dealership: Credit card receipt, receipt from the dealership, credit card statement, OR other document showing the amount that you (or a friend or family member) paid for the repair(s). (If you paid in cash and have no receipt, your signature on the Claim Form will constitute your attestation, under penalty of perjury, that you (or a friend or family member) paid for the repair in cash and do not have a receipt or documentation for the payment.)

Reimbursement for repairs at a non-Hyundai facility: Repair invoice or document that shows: (i) the repair type, (ii) the repair date, and (iii) the amount paid (e.g. credit card receipt, credit card statement, or bank statement).

Reimbursement for rental car, towing, or other costs incurred: Receipt or document showing all of the following:

• What was purchased (e.g. a rental car or towing service)
• Date of purchase
• Amount paid (e.g. credit card receipt, credit card statement, or bank statement)
• The date and nature of the corresponding repair (not needed if the repair was performed at a Hyundai dealership)

Reimbursement for a Class Vehicle you sold or traded-in after the vehicle was diagnosed as requiring an engine block repair, but before the repair was performed:
Hyundai will contact you about your request for compensation.

• To potentially qualify for compensation, your vehicle must have experienced an engine seizure, engine stall, engine noise, or illumination of the oil lamp that was diagnosed as requiring repair of the engine, but you sold or traded-in your vehicle before the repair was performed.
• For 2011 and 2012 model year vehicles the sale or trade-in must have occurred before Nov. 9, 2015. For 2013 and 2014 model year vehicles the sale or trade-in must have occurred before Sept. 28, 2016.
• If you have documents that you believe support your request for compensation, such as the repair facility diagnosis and paperwork showing what you received for your vehicle as a trade-in, providing those documents with your Claim Form may assist in the processing of your claim.

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

01/26/2017

Case Name

In re: Hyundai Sonata Engine Litigation, Case No. 5:15-cv-1685-BLF, in the U.S. District Court for the Northern District of California

Final Hearing

12/15/2016

UPDATE: The Hyundai Sonata settlement received final approval from the court on January 31, 2017.  Let Top Class Actions know when you receive a check in the comments section below or on our  Facebook page.

Settlement Website

https://SonataEngineSettlement.HyundaiUSA.com

Claims Administrator

Sonata Class Action Settlement
c/o Claims Administrator
PO Box 20840
Fountain Valley, CA 92728
844-317-9571
Email:  SonataEngineSettlement@HMAUSA.com

Class Counsel

Matthew D. Shelkopf
Joseph G. Sauder
MCCUNEWRIGHT LLP

Eric Gibbs
David Stein
GIBBS LAW GROUP LLP

Defense Counsel

Shon Morgan
Joseph R. Ashby
QUINN EMANUEL URQUHART & SULLIVAN LLP