19 May, 2017
Under the provisionary settlement, Toyota agreed to pay $278.5 million, BMW $131 million, Mazda $75.8 million and Subaru $68.3 million.
The settlements provide compensation to class members for economic losses resulting from the recall in the form of reimbursement for reasonable out-of-pocket expenses; a possible residual distribution payment of up to $500; requirements to provide rental cars to the most at-risk class members while they wait for their recall remedies; and the provision of a customer support program for repairs and adjustments on the replacement inflators, including an extended warranty.
The settlement - by Toyota, BMW, Subaru and Mazda - covers 15.8 million vehicles equipped with rupture-prone air bag inflators.
Four carmakers today agreed to pay $553m (£425.6m) to settle a U.S. class-action lawsuit over potentially defective Takata airbags inflators. Ford Motor Co. and Nissan Motor Co. have not been settled, lawyers said.
The automakers said the settlements, which are subject to approval by a Florida judge, will be overseen by a court-appointed administrator.
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Takata Corp. inflators, which can explode with excessive force and unleash metal shrapnel inside cars and trucks, are blamed for at least 16 deaths and more than 180 injuries worldwide.
Part of the settlement money will be used to encourage consumers whose cars are under recall to bring them to dealers for fix. Almost 16 million cars were involved.
The settlement would also require the automakers to step up their efforts to locate owners and educate them about the need to complete the recall repairs.
In January, the company pleaded guilty to corporate criminal charges and agreed to pay a $1 billion fine. According to a press release from Plaintiffs' Committee for Takata Airbag Product Liability Litigation, the funds for the settlement are aimed at getting more cars with faulty airbags fixed. The $553m settlement does not cover personal injury claims relating to the airbags. By 2019, automakers will recall 64 million to 69 million USA inflators in 42 million vehicles, regulators said in December.