$50M GM fuel pump settlement gets tentative OK

GM fuel pump settlement overview: 

• Who: General Motors has reached a $50 million settlement with drivers of certain diesel trucks and vans.
• Why: The plaintiffs said their vehicles were fitted with CP4 fuel pumps that came with “catastrophic” complications.
• Where: The GM fuel pump settlement was filed in a Michigan federal court. 

General Motors has reached a preliminary $50 million settlement agreement with drivers who accuse it of selling vehicles with CP4 fuel pumps that are “ticking time bombs.”

The plaintiffs filed a motion indicating their support for the proposed settlement on June 7. The settlement would end class action claims that GM knowingly sold diesel trucks equipped with CP4 high-pressure fuel injection pumps supplied by Bosch. 

Although these fuel injection pumps reportedly saved money for GM, the pumps allegedly resulted in “catastrophic” complications.

The plaintiffs alleges the CP4 fuel pumps are not compatible with American diesel fuel and reportedly “run the pump nearly dry so that it destroys itself, and — ultimately — destroys the fuel injection system and engine altogether.”

Judge: Proposed settlement appears fair

On July 11, a Michigan federal judge indicated he would give his initial approval to the settlement, Law360 reports.

U.S. District Judge Terrence G. Berg said the class settlement with GM seemed to give a fair amount of payment to drivers who say they either overpaid for their allegedly defective vehicles or had to pay out of pocket for repairs. 

“The pump secretly deposits metal shavings and debris throughout the fuel injection system and the engine until it suddenly and catastrophically fails without warning,” the CP4 fuel pump lawsuit argues.

The settlement covers customers who purchased certain-year GMC and Chevrolet diesel trucks that were fitted with 6.6L V8 Duramax LML engines or LGH engines equipped with a CP4 fuel injection pump from GM-authorized dealerships in California, Florida, Illinois, Iowa, New York, Pennsylvania and Texas. 

Under the settlement, GM would pay $50 million to compensate truck owners who paid out of pocket for repairs to their engines due to the alleged defect and former owners who allegedly overpaid for their vehicles. Drivers who had to pay for repairs could see between $6,300 and $12,700, depending on the number of claimants, Law360 reports. 

GM also agreed to provide a 12-month future limited warranty that covers 50% of the cost of repair or replacement if a fuel pump on a class member’s car fails during the warranty period, which begins after final approval of the settlement.

What do you think of this GM fuel pump class action settlement? Let us know in the comments.

The  plaintiffs are represented by Hagens Berman Sobol Shapiro LLP, The Miller Law Firm PC and Hilliard Law.

The CP4 fuel pump class action lawsuit is Chapman, et al. v. General Motors LLC, Case No. 2:19-cv-12333-TGB-DRG, in the U.S. District Court for the Eastern District of Michigan.

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