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Nissan agrees to $98M consumer settlement over Takata airbags
10 August 2017, 02:00 | Jodi Jackson
Nissan agrees to $98 million settlement for claims on Takata air bag inflators
Nissan Motor Co., agreed to pay $97.7 million as claims settlement from consumer economic loss in the US.
The massive Takata air bag recalls, the largest in history, led to the company filing for bankruptcy in June and spurred lawsuits by consumers and accident victims. The inflators are blamed for at least 16 deaths and 180 injuries worldwide.
In June, Subaru Corp, BMW AG, Mazda Motor Corp and Toyota Motor Corp had reached a settlement of $553 million, affecting 15.8 million vehicles.
Takata Corp´s bankrupt US business will ask a federal judge on Wednesday to suspend lawsuits against automakers that have been brought by people injured by its faulty air bag inflators, something that opponents say is an abuse of the law.
Without the injunction, Takata said the litigation would distract management from completing the $1.6 billion sale of its viable operations to Key Safety Systems (KSS) and could threaten the supply of air bag inflators to replace recalled ones.
As of late June, only 29.9 percent of Nissan vehicles recalled with Takata inflators had been fixed.
The settlement was filed Tuesday in federal court in Miami. The problem, which has been blamed for almost 20 deaths and 180 injuries, is the catalyst for the largest USA vehicle recall.
As part of the Justice Department settlement, Takata agreed to establish two independently administered restitution funds: one for $850 million to compensate automakers for recalls and a $125 million fund for individuals injured by its airbags who had not already reached a settlement.
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