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General Motors has reportedly reached a settlement deal with consumers who claim that certain Chevrolet Equinox and GMC Terrain SUVs possess defective engines that use too much oil.
The proposed GM class action settlement is worth between $40 million and $45 million, and will cover three related class action lawsuits over the engine oil issue.
Under the terms of the GM class action settlement, General Motors will establish a program to cover the costs of repairing affected SUVs after the warranty has expired, and to reimburse owners who paid out-of-pocket to repair damage allegedly related to the excessive oil consumption problem.
The settlement deal was struck to avoid the continued costs and risks of pursuing further litigation.
According to the drivers’ motion for preliminary settlement approval, “absent a settlement, the final resolution of the litigation through the trial process may require several more months or even years of protected , adversarial litigation and appeals, which will delay relief to the tens of thousands of possible settlement class members.”
The drivers went on to say that the GM class action settlement posed an opportunity for the drivers to receive more compensation than they otherwise would have, because reportedly, GM would attempt to have two of the related class action lawsuits — those filed in California and Illinois — dismissed, which would possibly result in Class Members receiving no compensation.
As part of the proposed GM engine defect class action settlement, General Motors will pay up to $2.5 million in attorney fees and expenses.
The three related suits that the GM oil settlement deal will cover claimed that the affected engines were in certain Chevrolet Equinox and GMC Terrain SUVs.
One suit was filed in September 2018 by Florida residents Ellen Berman and Dayana Guach. They claimed that the SUVs have a defect that causes the engines to consume as much as 1 quart of oil for every 1,000 miles driven. Allegedly, drivers are not notified of this over use, so oil levels can fall dangerously low.
The Florida residents argued that the defect posed a substantial safety risk to drivers, and therefore “the class vehicles do not provide for safe and reliable transportation.”
Other class action lawsuits over the same issue were filed in California in 2017 and in Illinois in April 2018.
In the engine oil class action lawsuit filed in Illinois, drivers argued that the excessive oil use of the engines led to a range of problems, which reportedly included the engines shutting down and losing power unexpectedly.
Additionally, the Illinois drivers argued that the vehicles could stall and start fires unexpectedly.
The majority of claims brought forward by drivers in the California engine oil class action lawsuit were dismissed in June. A judge argued that the drivers had not sufficiently established that their vehicles were affected by a manufacturing defect that was, as the drivers claimed, covered by the vehicle’s warranty.
Top Class Actions will post updates to this class action settlement as they become available. For the latest updates, keep checking TopClassActions.com or sign up for our free newsletter. You can also receive notifications when this article is updated by using your free Top Class Actions account and clicking the “Follow Article” button at the top of the post.
The GM vehicle owners are represented by Rachel Soffin, Gregory F. Coleman, Adam A. Edwards and Mark E. Silvey of Greg Coleman Law PC, Robert Ahdoot of Ahdoot & Wolfson PC, and Daniel K. Bryson and J. Hunter Bryson of Whitfield Bryson & Mason LLP.
The GM Chevrolet Equinox SUV Oil Consumption Defect Class Action Lawsuits are Ellen Berman, et al. v. General Motors LLC, Case No. 2:18-cv-14371, in the U.S. District Court for the Southern District of Florida; Hindsman, et al. v. General Motors LLC, Case No. 3:17-cv-05337, in the U.S. District Court for the Northern District of California; and Sanchez, et al. v. General Motors LLC, Case No. 1:18-cv-02536, in the U.S. District Court for the Northern District of Illinois.
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142 thoughts onGM Oil-Guzzling SUVs Class Action Settlement Valued at $40M
I got a 2012 equinox sitting in the driveway. Still making payments on the POS. Too expensive to drive having to add oil everytime that I fill the tank. How can I join the settlement?
I have 2013 Terrain with oil consumption issues that have never been address by dealer ship, they would always change oil and reset, never said or ask did I have a problem with oil loss, so I stop going to dealership and had oil changed at a local mechanic and ask if there was a leak under the Terrain, mechanic said it was clean under and see no oil any where, oil changes were not lasting and later found out on youtube there was a oil burning problem and was never contacted by GM, call GM and unless it was under warranty nothing they could do, never receive any thing from GM or GM dealership and they knew of this problem,still having to check oil every week or add when needed, drove to Florida after oil change get there no oil.
I have an GMC Terrain 2011.. GMC informed me they are not going to reimburse me for all repairs to vehicle and I do not qualify for oil consumption settlement..when the repair shop I took my vehicle to confirmed oil consumption and engine failure in vehicle please help me!!
I own a 2013 GMC Terrain and I had to replace my engine. I thought the establishment i was getting my oil changes from was ripping me off as I would have to add oil ALL the time. Just received the letter for the lawsuit and I will be adding my name to the list.
I have a 2013 GMC Terrain purchased in November of 2012. I am just now at 80k miles never warned of this issue but my vehicle was making a weird sound so I checked the oil even thought the display said it had over 50% oil life left and my oil changes are always on time expect once. The oil barely registered on my dip stick. If this is a GM problem they knew about they need to fix these engines. They also charge an arm and a leg for a warranty when they know the issues will not start until after the warranty. Not a happy camper, I would like to join in the class action lawsuit if possible. Indiana resident
I noticed this problem in my 2013 Equinox about 2 years ago. I took it to the dealership and they couldn’t find anything wrong with it. Now my warranties are expired and I have to pay out of pocket to get it repaired. It is a major pain in to butt to drive a car and have to worry if you have enough oil and whether your engine is going to lock up and it is not your fault. I had 2 Chevy’s before this and Chevy has lost a customer. I cant wait to get rid of this SUV and my next SUV is going to be a foreign car. Oh, and yes, I want in on the lawsuit and I want to be reimbursed for the money I spent to get the issue GM caused and I had to get fixed.
I also have a 2012 equinox and was not told about the oil ossues.it also cuts back when driving and does not indicate that oil is low…my last oil change I was told they could not even see as ny oil on the dipstick
I havec 2013 GMC Terrain that has the same issues seems to burn more than usual oil between changes…..I check oil n it’s really low n it still has 50% or another 1000 miles till oil change
I have a 2013 equinox and have been having the same issues. I too would want in on this lawsuit.
How do I join in the class action?? Texas resident with 2010 Equinox that has the oil consumption problem with no indication on the oil readout on the panel. Dealer wants to do oil consumption test over 2,000 miles…going back in every 500 for their recording purposes…and have to have it done before April 2020 because our vehicle was put into service in April 2010. Then, they will tear apart the engine…no rental car option…and will fix only what the problem is. Other damage caused by this will be our responsibility to fix. If we have them put it back together without fixing other stuff at your expense, then it will go on carfax report that necessary repairs were not performed. HELP!