Judge said that Toyota can’t force named plaintiffs to arbitrate their claims

Article by Christian A., on February 27, 2012

A tentative court ruling states that Toyota Motor Corp. can't compel plaintiffs to arbitrate their claims instead of proceeding to trial in a supposed class-action lawsuit over losses from unintentional sudden acceleration. Last Friday, U.S. District Judge James Selna in Santa Ana, Calif., stated that Toyota waived its right to compel arbitration for 15 of the 20 plaintiffs and that, for the five plaintiffs left, Toyota wasn't a party to the arbitration agreements between the plaintiffs and the Toyota dealers.

There is a hearing set on Feb. 27 in federal court in Santa Ana for Toyota's lawyers to attempt to convince the judge to change his decision.

In the tentative order, Judge Selna said that by failing to assert a right to compel arbitration until today, Toyota has “encouraged plaintiffs to pursue their current litigation strategy, including pursuing their claims on a class-wide basis in a federal forum.”

He said that if the claims were required to be submitted to arbitration now, these would be prejudiced. Selna has presided over the consolidated litigation since 2010.

He has set three trials for 2013 that will serve as bellwether cases, which the court and the lawyers could use to test evidence and liability theories before proceeding to other trials and a ruling by Selna on whether to approve a class-action status for the plaintiffs.

Toyota's request for majority of the economic loss cases to be sent to arbitration was based on the company’s argument that customers who purchased or leased Toyota vehicles involved in the litigation inked arbitration agreements that waive their rights to join a class-action case. [source: Autonews]

Topics: toyota

If you liked the article, share on:

Comments

Recommended

The primary suggestion of a 4x4 ute from French company Peugeot was first revealed in 2016. Fifteen months later, the production version is launched. Now, Peugeot is not shying away...
by - June 24, 2017
The new Jaguar E-Pace crossover will soon hold its official launch on July 13 and is expected to arrive at the showrooms by early next year. It couldn’t have come...
by - June 24, 2017
As prices of the original Shelby Cobra have skyrocketed into astronomical proportions, there are firms like Superformance that serve replicas to consumers who demand the same levels of performance at...
by - June 24, 2017
New and improved 2018 Subaru Legacy comes packed with a number of upgraded features from the get go - from the exterior to the interior. And the company has finally...
by - June 23, 2017
In an interview involving Lamborghini CEO Stefano Domenicali and Automotive News, the topic about the Urus was thoroughly discussed. This super SUV is scheduled to make its debut later this...
by - June 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries