Ford Escape MPG Class Action Lawsuit Can Continue, Judge Rules

A federal judge on Wednesday refused to dismiss a class action lawsuit accusing Ford Motor Co. of falsely advertising the fuel economy of its Ford Escape vehicles, ruling that he disagrees with Ford that the claims are preempted by federal law.

Colorado resident John Gilles alleges in the Ford Escape class action lawsuit that he saw advertisements for a 2013 Ford Escape SE that noted it could get 30 miles per gallon (MPG) during highway driving, but during regular usage he could only achieve 26 MPG at best. Gilles alleges in the class action lawsuit that Ford never indicated that the advertised 30 MPG claim was based on EPA estimates, and therefore “promised more than it delivered.”

The automaker responded by filing a motion to dismiss the Ford Escape class action lawsuit for a variety of reasons, but according to the decision denying the effort, the company’s legal team had not accurately read and responded to the amended complaint. Among the issues Ford’s defense team raised were federal preemption as well as adequately pleading fraud.

On Feb. 12, Judge R. Brooke Jackson noted that by the narrowness of the class action, Gilles avoided issues that would be better handled by the Federal Trade Commission and Environmental Protection Agency, both of which are involved in regulating fuel mileage estimates issued by auto makers in concert with the federal government. The arguments the man makes, however, do satisfy the pleading standards of Colorado’s Consumer Protection Act.

He allegedly relied on three advertisements or sets of statements:

1) The company’s product sheet including 2013 Ford Escape fuel economy numbers;

2) A statement on the dealer website that specified 30 miles per gallon; and

3) A series of web videos produced by the auto maker with similar claims.

The key issue dividing Gilles’ class action lawyers and Ford’s legal team is what authority the EPA and the FTC have. Judge Jackson ruled that while the two agencies governed the stickers placed in vehicle windows regarding Ford Escape fuel economy numbers, the two were not assigned by Congress full control over all statements and standards for mileage estimates.

Further, the “substance of his case is that while Ford might have complied fully with those obligations, Ford simultaneously was representing in print and video advertisements that the vehicle achieves 30 miles per gallon on the highway without mentioning that this number is an EPA estimate or that actual mileage will vary. His complaint is that the numbers were not identified as such, and that he was not cautioned in those advertisements that actual mileage will vary.”

Judge Jackson went on to say that because these were outside the scope of federal statutes, they provide Gilles the opportunity to seek damages on behalf of himself and a nationwide class of all 2013 Ford Escape owners who saw similar drops in fuel economy compared to the advertised numbers.

Ford is currently defending at least 15 class action lawsuits filed by Ford Hybrid owners who allege the company misrepresented the fuel economy of its Ford Fusion and Ford C-Max hybrid cars.

The plaintiffs are represented by class action lawyers Erik G. Fischer and Gordon M. Hadfield of Erik G. Fischer PC.

The Ford Escape Fuel Mileage Class Action Lawsuit is John Gilles v. Ford Motor Co., Case No. 13-cv-00357, U.S. District Court, District of Colorado.