Individual owners may be wise to seek direct legal action if they want more compensation
Subaru will compensate owners of select 2017-2020 models with defective fuel pumps and extend warranties to 15 years. However, it’s not the owners of defective Subarus who will walk away with the healthiest payday. Instead, it’s the attorneys who brought the class-action lawsuit to court. Hill House Nap Dress
In late 2020, automotive supplier Denso recalled approximately 2 million fuel pumps used in vehicles from several different automakers. The pumps were recalled because an impeller could crack and absorb fuel. In the U.S., the issue impacts 2017-2020 Subaru Impreza, Outback, Legacy, Forester, Ascent, BRZ, and WRX models.
Read: Toyota Reaches $150 Million Settlement Over Fuel Pump Recall
A consolidated class action against Subaru, comprising four separate lawsuits, culminated in a settlement that was reached earlier this week. Subaru already provided reimbursements and loaner vehicles during the original recall, but if any customer was denied reimbursement at the time, they can now seek it. Additionally, Subaru has also agreed to extend the warranty on fuel pumps for 15 years after the vehicle’s initial service date.
Each of the 11 plaintiffs who filed the class action lawsuit will receive $3,750, while a further 16 plaintiffs in the class action will walk away with $2,500 each. That equates to a total of $81,250 in compensation that’ll be provided to plaintiffs involved in the case.
However, the lawyers are the real winners as they’ll reportedly receive an eye-watering $15.5 million for representing the plaintiffs. With massive paydays like this, it’s little wonder why many law firms are eager to file class action lawsuits against major corporations.
Subaru will not issue reimbursements to owners if they’ve experienced “out-of-pocket” expenses that are the result of damage, collision, and/or misuse/abuse.” Additionally, the company said that “vehicles where the title, prior to the date of the qualifying Fuel Pump repair, was transferred to a salvage yard, junkyard, wreckage facility, or similar entity, inoperable vehicles, and vehicles with titles marked flood-damaged are not eligible for this benefit.”
Richard Wirtz from Wirtz Law has suggested that owners who opt out of the settlement may get higher compensation if they take direct legal action against the company.
“If you don’t opt out of a class action settlement, you’re often waiving your right to pursue a claim directly against the manufacturer,” Wirtz said. “A standalone claim, in many cases, can result in more compensation for the vehicle owner.”
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