New GM says it not responsible to fix Chevrolet Impala made by… old GM

Article by Christian Andrei, on August 29, 2011

General Motors Co. has filed a motion to dismiss a lawsuit related to a suspension defect on over 400,000 Chevrolet Impalas from the 2007 and 2008 model years, citing that it isn’t liable for repairs since the cars were built before its bankruptcy and bailout.

Donna Trusky of Blakely, Pa., filed the lawsuit on June 29, claiming that her Impala had defective rear spindle rods and as a result, her rear tires wore out after only 6,000 miles.

The suit, which alleges breach of warranty, is seeking class-action status, says Reuters. The suit is demanding that GM repair the rods, something that it had done on Impala police vehicles.

GM said in a filing with the U.S. District Court in Detroit that the cars were built by predecessor General Motors Corp., now known as Motors Liquidation Co. or "Old GM."

It further stated that the present company, referred to as "New GM," did not assume responsibility under the reorganization to repair the Impala problem, but only to make repairs "subject to conditions and limitations" in express written warranties. In other words, the wrong entity was sued.

Benjamin Jeffers, a GM lawyer, said: “New GM's warranty obligations for vehicles sold by Old GM are limited to the express terms and conditions in the Old GM written warranties on a going-forward basis.” He added that New GM did not assume responsibility for the design choices, conduct, or alleged breaches of liability of Old GM under the warranty.

If you liked the article, share on:


Login or Create new account to add a comment!


Many have been excited with the impending arrival of the next-generation Jeep Wrangler and the new 2019 Jeep Grand Wagoneer, which is slated to be the brand’s new range-topping model....
by - October 21, 2016
Chevrolet has taken the wraps off its new Chevrolet Colorado ZH2 at the fall meeting of the Association of the United States Army (AUSA). Tagged as the most extreme fuel-cell-powered...
by - October 21, 2016
Honda has unveiled the fifth generation of its hot-selling SUV – the 2017 Honda CR-V. The latest iteration of the CR-V should help it maintain its benchmark status in the...
by - October 21, 2016
Many are already expecting BMW to launch an ultra luxurious SUV that will serve at its new flagship by late 2018. Larger than the X5 and X6, the new X7...
by - October 21, 2016
Most of you may have heard or already have one of those autonomous home appliances doing the house chores. Thus, it’s not anymore unusual to see a car going places...
by - October 20, 2016