Ford Wants Defective Power Steering Class Action Claim Tossed

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Last week, Ford Motor Co. asked a federal judge in California to dismiss an implied warranty claim in a proposed class action suit against the car manufacturer over faulty power steering claims in certain models of Focus and Fusion vehicles. Ford stated that the claim was already dropped previously and could not be added back as part of the current lawsuit.

Plaintiff Jaime Goodman originally filed the lawsuit against Ford in 2014 and filed her third amended complaint a few weeks ago. The class action alleged that the power steering in certain Ford Fusion and Ford Focus models was prone to failure due to fluid leaking in the system and electrical contacts that were misaligned. The plaintiffs claim the problem surfaced after Ford changed their system from one using hydraulics to a new system using electronic controls.

However, Ford argues that the plaintiffs are trying to resurrect old claims. “Plaintiffs waived their warranty claims … when they failed to replead those claims in the second amended complaint. The court made clear that its dismissal was without prejudice and with leave to amend, but plaintiffs elected not to reassert these claims,” the car manufacturer states.

Ford filed a motion to dismiss the complaint in December 2014, citing concerns over the economic loss doctrine. Plaintiffs fought back against the motion and asked the judge to keep the claims alive.

California-based U.S. District Judge Lucy Koh initially dismissed the lawsuit against Ford in February 2015 allowing the plaintiffs to amend their complaint. Koh ended up dismissing the complaint two more times, again allowing the plaintiffs leave to amend.

Just last month, Judge Koh said that Ford’s recall of certain car models does not provide plaintiffs with adequate relief and allowed the case to proceed.

The plaintiffs allege that the power steering is a safety issue and that Ford has concealed the defect.

“Ford has actively portrayed [electronic power-assisted steering] as a reliable and beneficial product, masking its flaws … It has been aware that the EPAS system installed in the defective vehicles is prone to sudden, premature failure since as early as 2010,” the plaintiffs claim.

Judge Koh said if the drivers succeed in winning the case, Ford may still owe the drivers money whether or not they met the reimbursement deadline in December connected to the recall. She said the recall fails to compensate for all the losses in market value for the vehicles.

“Both of these points lead towards the same conclusion: The relief that California plaintiffs seek and the relief that Ford has provided under the recall are not one and the same,” Judge Koh said.

In her ruling, Judge Koh found that the recall may not have been implemented efficiently and effectively, saying that Ford refused to replace Goodman’s power steering system in her 2011 Fusion at least twice before finally replacing it on her fourth visit to the dealership.

The plaintiffs are represented by Roland Tellis and Mark Pifko o fBaron & Budd PC, Adam J. Levitt, John E. Tangren and Mary S. Thomas of Grant & Eisenhofer PA and Niall A. Paul and Nathan B. Atkinson of Spilman Thomas & Battle PLLC.

The Ford Power Steering Defect Class Action Lawsuit is Philips, et al. v. Ford Motor Co., Case No. 14-cv-02989, in U.S. District for the Northern District of California.

UPDATE: On May 3, 2016, a federal judge denied Ford Motor Co.’s request to dismiss implied warranty claims from a consumer class action lawsuit alleging the power steering system in some Ford cars is prone to failure.

UPDATE 2: On Sept. 19, 2016, Ford opposed class certification by arguing the plaintiffs’ claims don’t raise issues common to the proposed Class.

UPDATE 3: On Dec. 22, 2016, a California federal judge denied a motion for Class certification in a class action lawsuit filed by three Ford drivers who allege certain Ford Focus and Fusion vehicles are affected by a power steering defect.

UPDATE 4: On Jan. 10, 2017, Ford Motor Company asked the court to grant summary judgement in a class action lawsuit brought by California drivers who say the automaker concealed certain power steering defects in Fusion and Focus cars.