General Motors Co. settled the final two bellwether cases over ignition switch flaws scheduled for trial in federal court in NY, averting one set to begin next week.
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The settlement came on the eve of what would have been the fourth in a series of test trials meant to help GM and the plaintiffs define settlement options in 234 injury and death lawsuits consolidated in Manhattan federal court.
One lawsuit was filed by a Virginia resident inured in a single-vehicle crash involving a 2006 Chevrolet Cobalt.
GM settled the two cases for an undisclosed amount, plaintiffs’ attorney Bob Hilliard said.
“My expectation is they will try to resolve those that they believe put the company at peril and try the ones they think they can win”, he said.
Three such cases are lined-up to be heard in 2017.
GM recalled 2.6 million small cars worldwide in 2014 to replace defective switches, which were responsible for at least 124 deaths.
GM has found ignition-switch trials in NY and a separate Texas proceeding this year “extremely helpful”, Mr. Cain said.
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The latest two cases were set for trials this month and November, respectively. Chief Executive Mary Barra dismissed 15 employees, including lawyers and engineers, in the wake of the report and overhauled GM’s safety processes.
