Steven Cohen  |  January 29, 2020

Category: Auto News

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FordThe plaintiffs in a class action lawsuit against Ford have asked a federal judge in California to approve a $77 million settlement resolving claims of defective transmissions in some Ford vehicles, stating that class members have already received more than $47 million through an arbitration program.

In their renewed motion for preliminary approval of the settlement, the plaintiffs state that Class Members may be rewarded a cash payment of up to $25,000 or more for returning a vehicle that they could have been driving for many years.

In addition, the plaintiffs state that, in some cases, the Class Members may not need to be in possession of their vehicles to receive the cash payment.

And unlike consumers pursuing individual lemon law cases, who have waited several years for a jury trial, Class Members with valid lemon law claims can obtain complete relief within 3 months after first providing notice to Ford, through a speedy process paid for by Ford,” the motion claims.

The original Ford class action lawsuit was filed by Omar Vargas in September 2012, who claimed that the transmission in the Ford vehicles caused them to slip, buck, jerk, and suddenly accelerate. In addition, Vargas claimed that the transmissions caused delayed acceleration and delays in downshifts.

The class action lawsuit claimed that Ford violated consumer protection laws, breach of express warranty, and breach of implied warranty under the Song-Beverly Consumer Warranty Act.

A settlement in the case was made in October 2017, but that settlement was appealed in February 2018 by objectors who complained that that the deal was not large enough. Those objections have now been withdrawn, according to the motion for preliminary approval.

If the judge approves this round of settlement motions, it would put to rest all claims that the Class Members have had for the defective Powershift transmissions in the 2011 to 2016 Ford Fiesta and 2012 to 2016 Ford Focus models.

“The proposed Settlement is the culmination of lengthy discussions between the Parties, consultation with their experts, comprehensive discovery, and thorough analysis of the pertinent facts and law at issue,” states the motion for preliminary approval of the Ford class action lawsuit.

This new settlement would also include a guarantee by Ford that they would pay a minimum of $30 million for the cash portion of the settlement and a $20 payment to Class Members who claimed that they have been “turned away” from obtaining a transmission repair, among other stipulations.

Under the deal, Class Members who visited their Ford dealers three or more times for service repairs can receive up to $2,325 or a certificate toward the purchase of a new Ford, the motion states. Ford has also agreed to pay up to $8.8 million in attorneys’ fees.

“Due to the settlement’s consumer-friendly rules and speed of resolution, most class Members would do better under the arbitration program rather than in court and Ford has already paid $47.4 million to class members for claims proceeding under the settlement’s repurchase remedy,” states the motion for preliminary approval of the settlement.

Do you own a Ford that is part of this settlement? Leave a message in the comments section below.

The plaintiffs are represented by Ryan H. Wu of Capstone Law APC, Russell D. Paul of Berger & Montague PC and Thomas A. Zimmerman of Zimmerman Law Offices PC.

The Ford Transmission Class Action Lawsuit is Vargas, et al. v. Ford Motor Co., Case No. 2:12-cv-08388, in the U.S. District Court for the Central District of California.

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389 thoughts on$77M Ford Class Action Settlement Approval Requested

  1. Jennifer Moyer says:

    I am taking my 14 Ford Focus to the dealership again tomorrow, for the clutch that was already repaired once. I am taking it in as well, due to the fuel tank recall. My first Ford car, and I am so disappointed.

  2. Theresa Perkinson says:

    Just bought my 2016 Ford Fiesta in November 2019 and has been in the shop 2 times all ready for smaller repairs, but a lot of them. With what I’m reading about these other cars, I sure hope I don’t have problems with the transmission, because I drive it about 200 miles a day and need it to take my husband to work. He is the only one working. So with only one income I can’t have a car breaking down all the time. Please put me on the list if at all possible. Thanks.

  3. Linda of Michigan says:

    I no longer own my 2016 Ford Focus that also falls under everything noted in the class action lawsuit, am I still able to get involved in the lawsuit.

  4. Sharon Parker says:

    I have a 2015 Ford focus and live in north carolina. Had my clutch replaced 3 times in 4 years. But am not eligible for class action against ford, why?

  5. Carla Dixon says:

    I purchased a 2014 Ford Focus in 2016. I’ve had 4 repairs on the transmission since the first year of purchase. I paid $1900 out of pocket in 2018 to have the trans clutches replaced because I was told the car was no longer under warranty. 4 mths later, the trans is stalling again. Filed for arbitration and was qualified. I was offered a check or I could have Ford pay for trans repairs. I chose to have Ford pay for the repairs. Worst decision ever. 8 mths later, my car was back at the dealer due to trans issues again. I filed for arbitration again and was qualified. I took my car to 2 different Ford Dealers and AAMCO and they all said the trans needs to be replaced. Being that I’ve had so many repairs done on the trans, I decided to receive a check from Ford instead of allowing them to pay for the repairs. I was offered a $3,000 check. I accepted the offer last week, but due to all of the problems I’ve had with my Ford Focus….pain and suffering….being inconvenienced….I should be given a higher amount. Having a Ford vehicle has been so stressful. Almost 4 years of transmission issues. Smh Its ridiculous.

  6. cynthia martinell says:

    we have a 2013 Ford Focus, has been in the ford shop for “clutch replacement” 12 x. it is in there now and getting a whole new one again. this car model/make was prototype they tell me for its transmission. supposed to act like a stick but it is an automatic (for the gas conserving). didn’t work. they extended my warranty for up to 100,00 or until June whichever comes first. is this what you are referring to? Cynthia Martinelli (910) 742 6553, 120 red bird lane, hampstead, NC 28443

  7. Dustine Traver says:

    We had a 2018 Mustang and had to have the transmission completed replaced a month or 2 after buying it. Do we qualify for compensation. Had it to the dealer after that too.

    1. Dara Doss says:

      I too have had a 2016 ford fiesta & white ford fiesta…i remember my car would overheating & I had to take it to get fix also there was a time when it would just cut off like why…please don’t hesitate to reach out to me…really luv my cars.

  8. Deloris Morgan says:

    Add me. I had to replace my transmission in my ford Taurus shortly after buying it !!!

  9. Heather Timone says:

    I own a 2013 Ford Focus. Here is what I have thus far dealt with… The repairs I had to pay out-of-pocket the past few years for this vehicle, which include transmission repair, transmission replacement, replacement of all locks, brake line repair, and engine wiring splice repair, have put me into a deep debt; yet I still continue to have problems with the failed power steering, radio, hatchback lock, and possibly the purge valve. These repairs seem futile and useless, as the car keeps completely failing at an alarming rate. After the power steering went out while I was on the freeway, I have decided that this car is no longer safe for my family, nor the public. I used to firmly believe that Ford was a great company that cared about the safety of its customers, but with the numerous harrowing situations this faulty car has put me in, I’m doubting it more every day. This car has less than 85,000 miles on it and I am purely appalled at the amount of problems I have had. This is unreasonable and unacceptable for a car that has less than 85,000 miles on it. Ultimately, I am interested in having a safe and reliable car to transport me and my child. I am taking my car in today to have the power steering fixed. Sounds like it will be another $1500.00 to $2500.00. :(

  10. ami campbell says:

    2015 Ford Focus. I have 4900 miles on this car, Unable to drive it, Its been to the shop twice for repairs. Yes, mileage is correct.

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