BMW Reaches Class Action Settlement Over Cracked Z4 Wheels

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BMW of North America, LLC has agreed to a class action settlement, saying that it will reimburse class members for repairs or will cover the cost of repairs on the alleged cracked alloy wheels on some of its BMW Z4s.

According to the BMW class action settlement agreement, the automaker will reimburse class members for any money they spent to replace cracked wheels and/or damaged tires, as a result of the cracked wheels that occurred within the warranty period. BMW will also replace any cracked wheels and any wheels that become cracked during the warranty period at the company’s own expense.

This BMW cracked wheel class action settlement applies to a nationwide class of individuals who own or leased 2009-2013 model year BMW Z4 vehicles that were made with “V Spoke” Style 296 light alloy wheels and either have vehicles with cracked wheels or have already shouldered the cost to have the cracked wheels repaired.

Lead plaintiff Barry Jekowsky will receive $5,000 as the class representative. The class members’ attorneys will receive $635,000. Any residual money left over after all class members have been paid and repairs completed will go to the Legal Aid Foundation of Los Angeles.

The motion for preliminary approval of the BMW class action settlement was filed Feb. 13 in a California federal court.

The BMW cracked wheels class action lawsuit was filed by Jekowsky on May 10, 2013. He alleged in his class action lawsuit that he had leased a 2011 BMW Z4 that came with a 4-year/50,000 mile warranty, but that after he had put about 19,300 miles on the vehicle, he noticed that there were cracks in one of the wheels in September 2012. He claims he was still well within the warranty period.

Jekowsky took his BMW Z4 to the BMW dealership where he had leased the vehicle, but “BMW refused to allow its authorized dealership to replace the wheel under warranty, and required plaintiff to pay for repairs to the wheel as well as the affected tire,” the BMW class action settlement explains.

Only three months and 4,000 miles later, Jekowsky discovered that he had a second wheel that was cracked. Again, he was forced to pay for the repair. In total, Jekowsky paid $2,090.68 to have two cracked wheels and damaged tires repaired.

However, “Jekowsky was not alone. Together, the available data demonstrate that an inordinate number of Z4s experienced problems related to cracked wheels.”

While, the class action settlement says that “BMW had been involved in similar litigation concerning cracked alloy wheels on other models, but continued to deny liability for z4 vehicles, including the vehicle plaintiff leased.”

Jekowsky had the wheels tested and investigated by a metallurgist, who “verified the problem,” the BMW class action settlement explains.

The BMW cracked wheel class action lawsuit alleged that the Z4s were made with alloy wheels that were defective and that when BMW refused to repair the cracked wheels that it was not honoring its own warranty, which is a violation of California consumer protection laws.

In December 2013, U.S. District Judge Jeffery White refused BMW’s attempt to have the defective wheel class action lawsuit dismissed, although Judge White did toss California’s Unfair Competition Law and the state’s Consumer Legal Remedies Act.

The plaintiffs are represented by Mark A. Chavez of Chavez & Gertler LLP and Bryan Kemnitzer of Kemnitzer Barron & Krieg LLP.

BMW is represented by Eric Y. Kizirian and Michael K. Grimaldi of Lewis Brisbois Bisgaard & Smith LLP.

The BMW Cracked Wheel Class Action Lawsuit is Jekowsky v. BMW of North America LLC, Case No. 3:13-cv-02158, in the U.S. District Court for the Northern District of California.