Monday, March 5, 2012

AGs decide not to object to Honda hybrid class-action settlement.

The AP (3/1, Spagat) reported, "Attorneys general in California and four other states said Wednesday that they won't oppose a class-action settlement between Honda Motor Co. and owners of its hybrid cars over inflated claims of fuel efficiency. The five states had asked a judge for more time to consider after Honda owner Heather Peters won $9,867 in a California small claims court this month – much more than the couple hundred dollars cash that the settlement offers. The judge reluctantly granted a two-week extension for them to declare objections." Just hours before that extended deadline, attorneys general for California, Iowa, Massachusetts, Texas and Washington announced they would not oppose the proposed class-action settlement.

        The Chicago Tribune (3/1, Hirsch) noted the issue "rose to prominence this month when a Los Angeles County court commissioner ruled that American Honda Motor Co. negligently misled Civic owner Heather Peters when it said the hybrid could achieve as much as 50 miles per gallon." Opting out of the class settlement, Peters was awarded almost the $10,000 small claims maximum, well above the several hundred dollars provided under the settlement. Honda says it's gearing up to appeal the Los Angeles ruling, which it called "a radical and unprecedented departure from California and federal law."

-- source AAJ News Brief

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