Christina Spicer  |  March 23, 2020

Category: Auto News

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BMW vehicles allegedly have an engine defect which results in low oil levels

UPDATE:

  • This case was dismissed April 15, 2021.

A Colorado federal judge ruled that plaintiffs can proceed with a class action lawsuit over an alleged BMW engine defect which causes low oil levels.

Lead plaintiffs say that a defect in the twin turbocharged N63 engine causes them to use an excessive amount of oil in a class action lawsuit filed against the car maker.

The allegedly defective engines were installed in certain 2013 through 2015 model year BMW vehicles. According to the original complaint, BMW knew of the defect but failed to do anything about it or even warn consumers.

The BMW engine defect class action lawsuit contended with headwinds shortly after it was filed in March 2019, when the car maker asked for the complaint to be dismissed.

In January, U.S. Magistrate Judge Scott T. Varholak sided with plaintiffs in a finding which recommended that the class action continue.

Judge Varholak issued a report and statement indicating that the BMW engine defect is a potential danger because the excessive oil consumption can cause unexpected engine failure, putting vehicle occupants at risk.

In another recent ruling, U.S. District Court Judge Christine M. Arguello agreed with the magistrate judge’s findings, preserving BMW engine defect class action lawsuit claims that the car maker violated Colorado consumer protection laws and is in breach of warranty.

Each of the three plaintiffs, Matthew Ingram, Rachel O’Connor, and David Cruz, claim that they purchased BMWs with the twin turbo charged N63 engines with the alleged defect between 2013 and 2015. They say that they relied on the warranties provided by BMW when deciding to purchase their vehicles.

Specifically, the lead plaintiffs contend that they relied on BMW’s promise to repair or replace defective components in the vehicles during the first four years or 50,000 miles of their ownership. However, after their purchase, they claim that their vehicles exhibited the BMW engine defect – namely excessive consumption of oil.

Further, despite reporting the problem to BMW authorized dealerships, the plaintiffs say they were only told that excessive oil consumption was normal in the vehicles. They claim they were not offered the option for repair or replacement of the defective BMW engine.

In BMW vehicles, low oil levels can allegedly cause engine failure

The magistrate judge’s report pointed out that BMW issued several technical service bulletins over consumer complaints about excessive oil consumption by the N63 engine.

Further, the judge referenced a 2015 study on excessive oil consumption conducted by Consumer Reports included vehicles affected by the alleged BMW engine defect.

Judge Arguello agreed with the magistrate judge’s recommendation regarding the plaintiffs’ claims for breach of warranty and violation of Colorado consumer protection laws.

Additionally, the judge agreed with the finding that it was too early to determine whether a three-year statute of limitation, or deadline, applied to the class action lawsuit claims.

“Although factual development through discovery may show that plaintiffs should have known about the alleged defect when they purchased their vehicles based on, e.g. information that was publicly available at the time, that is not conclusively established by the allegations in the operative complaint,” wrote Judge Arguello in her order.

“Rather, viewed in the light most favorable to plaintiffs, their allegations plausibly suggest that plaintiffs were unaware of the defect and defendant concealed the fact that the engines may have been defective.”

For its part, the car maker has objected to the conclusion that the BMW engine defect class action lawsuit is not barred by the statute of limitations.

BMW contends that the plaintiffs knew or should have known of the defect at the time they purchased their vehicles because of publicly available information about excessive consumption of oil claims. BMW also asserts that the plaintiffs have not sufficiently established that the company concealed the defect from them and other consumers.

Regarding the warranty claims, Judge Arguello likewise agreed with the magistrate judge’s finding to uphold the class action lawsuit at this point in the proceedings. BMW argued that the warranty does not cover the alleged engine defect, because it is a design, rather than manufacturing defect.

“At this point in the instant case, it is unclear what type of defect, if any, resulted in the excessive oil consumption of the N63 engine,” points out Judge Arguello in her order. Later, the order concludes, “Plaintiffs, in the First Amended Complaint, plead sufficient facts to support the claim that the defect was a manufacturing defect covered by the Warranty.”

Similarly, Judge Arguello upheld the magistrate judge’s recommendation regarding the BMW engine defect class action allegations, as well as rejecting the car maker’s argument that the plaintiffs had incorrectly asserted claims on behalf of the proposed Class, otherwise known as misjoinder.

Was your vehicle affected by the alleged BMW engine defect? Tell us what happened in the comment section below!

The plaintiffs are represented by Sergei Lemberg and Vlad Hirnyk of Lemberg Law LLC.

The BMW Engine Defect Class Action Lawsuit is O’Connor, et al. v. BMW of North America, et al., Case No. 1:18-cv-03190, in the U.S. District Court for the District of Colorado.

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81 thoughts onBMW Engine Defect Class Action Preserved in Colo.

  1. Luis Guillen says:

    I own a 2013 750LI with this issue and dealership would not admit any problems, said buy a new car instead… please contact me i want in

  2. John Azzarello says:

    I have the exact same “oil consumption” problem with my 2015 750 LI Twin Turbo BMW. I purchased the vehicle in March 2019 with approximately 20,000 miles as a certified pre-owned vehicle. At the time of my purchase, the car was under BMW manufacturers warranty and the certified pre-owned warranty from the dealer. I bought the vehicle from Ralleye BMW, the largest BMW dealer on the east coast. Within 10 days of purchasing the car, the engine oil signal came on and I was 2 quarts low on oil. The dealer said they likely forgot to check the engine fluids and there should be no further issue. Needless to say, I have been adding 2 quarts of oil on average about once per month or once every 2,000 miles. That means I am losing or burning 1 quart of oil for every 1,000 miles the vehicle is driven. Once the problem became a monthly issue, I was told my my local dealer in Bridgewater, New Jersey to take the car to them every time the car needed oil. The local BMY dealer said they would mark the engine oil level each time they filled it and make a maintenance record of my visits. After about 3 or 4 visits, the local dealer called BMW manufacturing about the issue. The local dealer said BMW manufacturing would send someone to”examine” or “image” the vehicle’s engine to see if there was a defect. The local dealer then said this was done and BMW manufacturing/headquarters said the engine “was within spec” and the oil consumption “was normal.” I then asked for the local dealer to print out the service history of my vehicle to include the time PRIOR TO MY PURCHASE. When I viewed the service history for my vehicle, much to my surprise, I saw the original owner had the vehicle serviced a few times within the first 10,000 to 15,000 miles for the same loss of oil problem. The service technician from Ralleye BMW even noted on the service history that the oil consumption was “beyond or higher than normal.” I made a formal complaint to BMW manufacturing and asked them either to fix the engine, install a new engine or take the car back in exchange for another BMW. BMW manufacturing then “opened an investigation” and called me back 3 days later to say my engine had no defects and the oil consumption was within “acceptable and normal” range. They refused to give me any of the relief I requested and further said that was the final decision of BMW North America and I had no further recourse or level of management to which I could appeal the decision to deny me any remedy. I am attorney practicing primarily white collar criminal defense for approximately 30 years in New Jersey and am a former federal prosecutor and find BMW’s position on oil consumption to be untenable. It doesn’t take a professional BMW mechanic to know that no vehicle should burn or lose 1 quart of oil for every 1,000 miles the car is driven! Where in the vehicle manual or specifications do they warn the purchaser/consumer that you will need to add 2 quarts of oil to the vehicle every 2,000 miles? Why didn’t Ralleye BMW disclose to me when they sold me the vehicle that the prior/original owner had an oil consumption problem that their own service technician deemed “irregular” and noted in the service history the vehicle’s oil consumption appeared “excessive” and “beyond normal limits?”

    I would like to know if I can be a part of your class action lawsuit or do I need to file in New Jersey or because I am a NJ resident or in New York because I purchased the car in New York?

    PLEASE ADVISE AND HELP! Thank you.

  3. Roy says:

    I had a similar situation when I I was driving my 2013 BMW X3 i28 on I-280 freeway southbound around 11am 6/10/2020, all of sudden my car shows battery discharge resulted in lost of power so I quickly maneuvered the vehicle and pulled over on the emergency parking line on the freeway. Now the diagnostic from the mechanic said there was engine defect and I need to replace the engine and battery which will cost over $10,000. Please contact me and I would like to join the group to sue BMW NA for the defect problem.

  4. Griff Belser says:

    I need help. I have a 2013 bmw x5 with massive oil leaks. Having trouble getting answers. If i can get involved in litigation, I want to do so.

  5. Lauren says:

    . I purchased a BMW X3 last year from a certified dealership in Alabama, my first purchase on my own and had the engine replaced last October 2019 through my extended warranty. I went with BMW and had my vehicle serviced there because I believed in the brand and expected to receive excellent customer service. Recently I had service done at Global Imports BMW in Atlanta, I paid out of pocket for a radiator replacement ($1,000)and was sent on my way. The next day within 24 hours my car once again broke down. I had it towed in again after notifying the dealership and was assured I just needed a new battery. After 7 days of no correspondence I received a call stating my entire engine needed to be replaced AGAIN and it would be out of pocket $15k and not covered by my extended warranty or BMW due to the car being overheated by the driver. (Which was due to the work completed by Global Imports). Since then I have had the absolute worst customer service, communication and experience with Global Imports. Since then BMW USA has offered no solution only a small credit towards a brand new bmw.. what kind of company do they represent.

  6. Lorraine Beecher says:

    Help!! I just paid 7000.00 for a new engine that was part of the law suit. 2012 X5

    Is that the normal going price to have to pay??

  7. Laqinda Q Carr says:

    I have a 2011 BMW X6 XDrive50i twin turbo. The oil consumption is out of control. I have to had a quart of oil every 4-7 days. The exhaust from the oil is very strong and sickening to smell. My car has smoke that comes out the tail pipes often.

    I was told it is the valve cover stems and that it would cost $8,000 to fix or I can get a engine replacement which will be about the same amount. I lost my job due to the issues with this car and have had to pay hundreds of dollars for UBER rides to take my sick baby to his Pediatric Gastrointestinal appointments. I do not like this car. I am sick of it and BMWs lack of responsiblity to acknowledge the issue and fix it..

    Please add me to this lawsuit.

  8. Jayme says:

    My BMW 2013 X3, malfunctioned on a 3 hour ride that started with an oil light that came on. After getting it towed to the mechanic, they confirmed malfunction with the engine oil pressure control being “too low” and the engine oil pump pressure too low. The mechanic pulled the oil filter and cut open to find aluminum and copper shavings in the filter. They recommended a complete engine replace. 8k- on 90k miles driven. They recommended that i find out more about BMW’s issues around this make/model and year due to numerous issues with engines.

    1. Debra Johnston says:

      hi how can I get your help please. I have a 2014 116i. 78, klm and have had oil problems leaks and it broke down a few times. Bmw has never found the problem and now I need a new motor. Of course my dealer has told me not to drive it i cannot afford to buy another car and sell mine for scrap. I have had every service every maintenance attended to and looked after my car

  9. Cindy Vian says:

    I have a 2012 X6 50i – the vehicle was purchased at BMW of Dallas and serviced at only 2 BMW service departments to date. From 2013 – to date we have consistently reported to their service department an issue with continue oil consumption. We were always told by the technicians that this was “normal for a performance engine.”

    Our vehicle starting missing so we took it back to the dealership only to be told the engine needs replacing for $12,000 and there are no other options. So now my car is worthless while I still get to continue making payments.

    Anyone want to open a new class action lawsuit? I think we should all go to the media and see if some negative publicity gets their attention.

  10. Clifford Abilhomme says:

    I have a 2011 BMW X5 50i twin turbo and it has the problematic N63 motor. I have to put in between 1 to 2 qrts of oil every 8 to 10 days. I am just now learning about the class action lawsuit. Are dealerships still honoring this settlement?

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