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 Those objections have now been withdrawn, according to the motion for preliminary approval.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. Enid Yvette James says:

    I recently paid to replace the transmission in my 2014 Ford Escape. Is this vehicle included in the class action suit? It cost me over $6,000 for the repair.

  2. Victoria L App says:

    I own a 2011 Ford Fusion and a 2016 Ford Escape with issues. I would like to know how to join.

  3. Sherry Massey says:

    I need help with the Ford Focus Class Action Lawsuit. I am NOT an attorney and unfortunately the settlement does not provide support for those making claims. I have been offered a settlement of $1500. That amount does not even touch what I owe to the bank for a car that can not be driven. I replaced the engine only to learn that the transmission needed to be replaced. I repeatly complained about the problems during every visit and I was told that these were ALL within standards. In fact, it was never disclosed that the vehicle was originally purchased back from the previous owner for the same reasons that I found with the vehicle. What are my options? Is there any legal representation from the original Class Action attorneys that will help. They were paid millions. I helped them with their case as part of others that complained but I have NOT received any help from them getting what I lost in this purchase. What are my options? Who can I get to help represent me??????? The third party assigned to this case only shuffles the case between agents. Those agents can not provide help with my settlement. So why did I even bother with a class action if I can not be compensated for purchasing a LEMON. I really need help.

  4. christina dunlop says:

    i have a 2016 ford escape still owe payments on transmission started going in gears while driving at one the car launched forward while in reverse and almost went a store front window then when down shifts it stops moving makes noises car had 53000 miles when i purchased it at Fuccillo of nelliston ny it currently has 103000 with extended ford cert wrap warranty who when contacted and given vin was told 3 different occasions that it was covered when i had it towed was told it would be paid for (nope twice it was not ) the mechanic called to follow up the claim and was told it wasn’t covered several calls later to dealership and warranty company no resolution even called ford and disconnected twice still no car lost my job and still owe payments that i cant make now going to lose my credit as well any info to help would be awesome this has been going on since October and could be a major safety this should not be okay

  5. Charla Stewart says:

    I own a 2017 Lincoln MKZ and I just found that this is the issue with my car and I need a new engine. What can I do about it? Thank you.

  6. Carol Merritt says:

    I have a 2011 Ford Fiesta that has a bad transmission. I’d like to be part of this class action lawsuit.

  7. Mickela Vredenburg says:

    I had a 2015 Ford Fusion I bought from Rochester Ford in Rochester, MN. I had problems with it within the first week and had to take it back to them to fix. Essentially, it had a major transmission problem in which I had to leave the vehicle there to “get fixed” while having to go without a vehicle in between time. This was hell being I was a full time college student, a single mom to a toddler, and had a part time job. I missed classes over it, work, as well as appointments for myself and my daughter. After that incident, I had to take it back in for additional problems relating to the transmission, powertrain, and several other things. I only had the car for just over a year but had to bring it into the dealers several times due to the nonstop issues I was having with it. Each time I had to find a rides while they “fixed it”. Multiple times I was driving with my daughter in the car when it would suddenly start to stall out randomly which almost caused car accidents (a couple different times). When I last drove it, my brakes were completely failed. Brake fluid leaked out within an hour the first of three times I filled it. The next two times I filled it, it leaked out within minutes and I had no stop to my vehicle while trying to brake. The dealership tried to cover everything up as well as the loan servicer. I ended up losing that car and several thousands of dollars I paid on it due to all of the problems it was having and the negative effects it had on many areas of my life- with missed work being a huge factor.

  8. Desireee Denise Caesar original says:

    Can you explain all the astrix marks meaning

  9. Miriam Hink says:

    My 2013 one owner Ford Escape XLT with 170,555 miles just started lunging and then the transmission would not pull the car from the light. I have it parked in the back yard now for over 3 months. It is in great shape, but the transmission is out. So, here I sit with a former perfectly great car

  10. Erica says:

    My 2015 paid off escape transmission just crapped out on me in the middle of a street,how can such a newer car break like this?! I still have a 1999 Nissan Altima with og trans and it’s fine. This is disgusting,how can I get fired to fix this they ripped my family off and will cost me my job. I already spent 250 on lyfts!

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