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Government Motors at it again

by , Posted to on 08/19/2011 8:37 PM | "Quote" | "Quick Reply" |

Joined: 10/27/2004
Location: ND

GM says bankruptcy excuses it from Impala repairs10




 




 




Fri Aug 19, 2011 3:47pm EDT




* New GM said not responsible to fix Impala made by old GM



* Suspension problem said to cause excessive tire wear


By Jonathan Stempel


NEW YORK, Aug 19 (Reuters) - General Motors Co (GM.N) is seeking to dismiss a lawsuit over a suspension problem on more than 400,000 Chevrolet Impalas from the 2007 and 2008 model years, saying it should not be responsible for repairs because the flaw predated its bankruptcy.


The lawsuit, filed on June 29 by Donna Trusky of Blakely, Pennsylvania, contended that her Impala suffered from faulty rear spindle rods, causing her rear tires to wear out after just 6,000 miles. [ID:nN1E7650CT]


Seeking class-action status and alleging breach of warranty, the lawsuit demands that GM fix the rods, saying that it had done so on Impala police vehicles.


But in a recent filing with the U.S. District Court in Detroit, GM noted that the cars were made by its predecessor General Motors Corp, now called Motors Liquidation Co or "Old GM," before its 2009 bankruptcy and federal bailout.


The current company, called "New GM," said it did not assume responsibility under the reorganization to fix the Impala problem, but only to make repairs "subject to conditions and limitations" in express written warranties. In essence, the automaker said, Trusky sued the wrong entity.


"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," wrote Benjamin Jeffers, a lawyer for GM. "New GM did not assume responsibility for Old GM's design choices, conduct, or alleged breaches of liability under the warranty."


David Fink, Trusky's lawyer, declined to comment.


John Penn, a former president of the American Bankruptcy Institute who is not involved in the case, said the question of "successor liability" is common for manufacturing companies that go through bankruptcy.


"The fact it comes up now is not a surprise, as this type of issue was widely discussed during GM's bankruptcy," said Penn, now a partner at Haynes and Boone in Fort Worth, Texas. "The court will need to evaluate the claims to see if they fit within any cubbyhole of liability that New GM assumed."


GM said an argument similar to Trusky's failed this year in a case involving its OnStar security and navigation product.


"There are no specific factual allegations that New GM -- as opposed to Old GM -- did anything at all in relation to her vehicle," Jeffers wrote. "Plaintiff here is trying to saddle new GM with the alleged liability and conduct of old GM."


In late afternoon trading, GM shares were down $1.62 at $21.98 on the New York Stock Exchange.


The case is Trusky v. General Motors Co, U.S. District Court, Eastern District of Michigan, No. 11-12815. (Editing by Robert MacMillan)


"The only enemy of guns is rust and politicians."
“You can roll manure in powered sugar but it still ain’t a jelly donut”

"The best defense against usurpatory government is an assertive citizenry."

William F. Buckley, Jr.
"Unarmed helplessness is for sheep and the French."  Ted Nugent



Re: Government Motors at it again
by on 08/19/2011 8:39 PM | Reply #1 | "Quote" | "Quick Reply" |

Joined: 10/27/2004
Location: ND
I'm officially done with Government Motors.   Chicken $hit outfit if I ever saw one.   Screw them and the UAW.   They should have had to file a real bankruptcy.
"The only enemy of guns is rust and politicians."
“You can roll manure in powered sugar but it still ain’t a jelly donut”

"The best defense against usurpatory government is an assertive citizenry."

William F. Buckley, Jr.
"Unarmed helplessness is for sheep and the French."  Ted Nugent



Re: Government Motors at it again
by on 08/19/2011 9:00 PM | Reply #2 | "Quote" | "Quick Reply" |

Joined: 02/24/2010
Location: ND
 Only another reason why Ill stick to my FORDs !!!!!
 
Re: Government Motors at it again
by on 08/19/2011 9:10 PM | Reply #3 | "Quote" | "Quick Reply" |

Joined: 11/03/2002
Location: ND
Still a Jr. fan, converted to Ford.
svnmag



                                                                                                    
Re: Government Motors at it again
by on 08/19/2011 9:26 PM | Reply #4 | "Quote" | "Quick Reply" |

Joined: 02/24/2010
Location: ND
 
svnmag Said:
Still a Jr. fan, converted to Ford.

If this doesnt make some people switch over, what will? A company that is trying to find a loop hole so they dont have to stand behind a problem of a sub standard vehicle they put together.... Quite sad and pathetic in my opinion. That being said, I will never consider owning something make by GM, ever.
 
Re: Government Motors at it again
by on 08/19/2011 9:43 PM | Reply #5 | "Quote" | "Quick Reply" |

Joined: 11/24/2004
Location: ND
3XGutshot Said:
I'm officially done with Government Motors.   Chicken $hit outfit if I ever saw one.   Screw them and the UAW.   They should have had to file a real bankruptcy.
nobody should of been bailed out -- period.  

Stay thirsty my friends
Re: Government Motors at it again
by on 08/19/2011 9:46 PM | Reply #6 | "Quote" | "Quick Reply" |

Joined: 12/03/2009
Location: ND

Them fords i tell ya what they sure are the sh!T!!!

HJchamp
Re: Government Motors at it again
by on 08/19/2011 9:59 PM | Reply #7 | "Quote" | "Quick Reply" |

Joined: 05/24/2008
Location: Mo
Isn't Government motors another Obama program to help  the union boys at GM to keep thier jobs and let the rest of the tax-payers foot the bill? 

Just another Obama failure,one of many?
 
Re: Government Motors at it again
by on 08/19/2011 10:24 PM | Reply #8 | "Quote" | "Quick Reply" |

Joined: 12/22/2009
Location: ND
The Federal Government fabricated the stuck accelerator story to boost Government Motor's sales:


 http://blogs.cars.com/kickingtires/2011/02/nhtsa-nasa-clear-toyotas-electronic-throttle-in-crashes.html
Re: Government Motors at it again
by on 08/19/2011 11:33 PM | Reply #9 | "Quote" | "Quick Reply" |

Joined: 12/01/2008
Location: ND
I have owned plenty of vehicles in my short life(3 fords, 1 Dodge, and 5 GM's) and I prefer the designes that have come from GMC.  I think Ford has some good ideas as well.  But, if you understand a design better, you are likely to prefer it.  I think you need to be left handed to like Fords better for the most part. (I know a left handed Ford loving Jew)   Like it or not, you all own a part of GM right now.  Wishing the death of it is like chopping off one of your toes.  I wish it wasn't this way, but it is.  Good day.

"Diligence is the mother of good luck."
Benjamin Franklin

Re: Government Motors at it again
by on 08/19/2011 11:47 PM | Reply #10 | "Quote" | "Quick Reply" |

Joined: 11/24/2004
Location: ND
El Superbeasto Said:
The Federal Government fabricated the stuck accelerator story to boost Government Motor's sales:


 http://blogs.cars.com/kickingtires/2011/02/nhtsa-nasa-clear-toyotas-electronic-throttle-in-crashes.html

I believe that -- thats alright -- cus this boy is trading for tundra.
Stay thirsty my friends
Re: Government Motors at it again
by on 08/19/2011 11:50 PM | Reply #11 | "Quote" | "Quick Reply" |

Joined: 12/01/2008
Location: ND
SHORTHAIRSRUS Said:
El Superbeasto Said:
The Federal Government fabricated the stuck accelerator story to boost Government Motor's sales:


 http://blogs.cars.com/kickingtires/2011/02/nhtsa-nasa-clear-toyotas-electronic-throttle-in-crashes.html

I believe that -- thats alright -- cus this boy is trading for tundra.

The Kamakazis at Pearl Harbor would be proud.

"Diligence is the mother of good luck."
Benjamin Franklin

Re: Government Motors at it again
by on 08/20/2011 01:31 AM | Reply #12 | "Quote" | "Quick Reply" |

Joined: 10/24/2005
Location: ND
Considering more of toyota products are made and assembled in the states than Ford OR GM?

I'm the devil's son..... call me young gun.

Re: Government Motors at it again
by on 08/20/2011 02:03 AM | Reply #13 | "Quote" | "Quick Reply" |

Joined: 11/03/2002
Location: ND
The profits go to Japan.  They bombed us.
svnmag



                                                                                                    
Re: Government Motors at it again
by on 08/20/2011 09:15 AM | Reply #14 | "Quote" | "Quick Reply" |

Joined: 10/27/2004
Location: ND
svnmag Said:
The profits go to Japan.  They bombed us.
I've really had not quality or performance gripes with GM products but I will not support the Obama takeover scheme and or the UAW if I can help it.   My next will be a Toyota.

"The only enemy of guns is rust and politicians."
“You can roll manure in powered sugar but it still ain’t a jelly donut”

"The best defense against usurpatory government is an assertive citizenry."

William F. Buckley, Jr.
"Unarmed helplessness is for sheep and the French."  Ted Nugent



Re: Government Motors at it again
by on 08/20/2011 09:53 AM | Reply #15 | "Quote" | "Quick Reply" |

Joined: 10/24/2005
Location: ND
svnmag Said:
The profits go to Japan.  They bombed us.

I used to say the same thing. That was two generations ago.
Life goes on... and with them it HAS been peaceful... and they HAVE been good allies.



I'm the devil's son..... call me young gun.

Re: Government Motors at it again
by on 08/20/2011 10:01 AM | Reply #16 | "Quote" | "Quick Reply" |

Joined: 11/30/2002
Location: ND
3X you simply just love to beat a dead horse. The govt is involved in SO much more than just GM. You better not be borrowing any money from banks that took TARP money. Better not buy Dodge products either, they were in the same boat. GM is back and making profits, which will allow the government to divest it's interest in the future, as long as the US gets paid back I have no problem. Find a new topic to rage on. BUY AMERICAN!!!
Re: Government Motors at it again
by on 08/20/2011 12:44 PM | Reply #17 | "Quote" | "Quick Reply" |

Joined: 01/29/2003
Location: MN
I like it walleye101 LOL,gotta admit your spot on.I also here that the new toyota parts shipped here from japan  for assembley "glow" at night and they claim snow and ice won't build up on them in the winter,interesting...Might shave a few years off your life expectancy tho,but let us know how your rice burner turns out.
Perazzi usa
Benelli usa
hevi shot prostaff
Briley chokes
Re: Government Motors at it again
by on 08/20/2011 2:09 PM | Reply #18 | "Quote" | "Quick Reply" |

Joined: 08/02/2006
Location: ND
The bill that bailed out GM was signed by Bush.  Think about that before the GOP nominates another Bible-thumping, globalist, open borders, illegal alien loving, Texas Governor.

http://michellemalkin.com/2011/08/18/plumbing-the-rest-of-the-perry-record/  
Re: Government Motors at it again
by on 08/20/2011 2:40 PM | Reply #19 | "Quote" | "Quick Reply" |

Joined: 02/09/2003
Location: ND

I have not seen a whole lot of this issue at our dealership.... The problem here is: why did these people not get this issue fixed while the vehicle was under warranty????  If the tires were shot in 6000 miles it would have been very obvious that there was a problem, and it should have been taking care of within the 3year 36000 mile bumper to bumper warranty. Often times when these lawsuits come forward they are not as cut and dried as they look, many times there are other issues involved that lead the company to fight said lawsuits.  Such as unreasonable use and other contributing issues. Oh and BTW Ford would be in the same boat as GM with the bailouts if it wasn't for Ford nearly going broke 2 years before GM. The economy was much better when Ford hit rough water, which allowed them to use factories as collateral for loans. GM did not have this luxury, as the economic conditions were very poor noone would take GM's factories as collateral.

Hunt Hard and NEVER GIVE UP

Re: Government Motors at it again
by on 08/20/2011 9:13 PM | Reply #20 | "Quote" | "Quick Reply" |

Joined: 11/21/2005
Location: ND
walleye101 Said:
3X you simply just love to beat a dead horse. The govt is involved in SO much more than just GM. You better not be borrowing any money from banks that took TARP money. Better not buy Dodge products either, they were in the same boat. GM is back and making profits, which will allow the government to divest it's interest in the future, as long as the US gets paid back I have no problem. Find a new topic to rage on. BUY AMERICAN!!!

if they are making so much money why dont they pay back the loan

The best democrat platform a Republican can stand on it a manure pile

drug test everyone on welfare

have an open season on molesters

Posted By:
Posted On: 08/19/2011 8:37 PM
2249 Views, 47 Comments

Tags: new, motors, old, impala, bankruptcy, government, problem, fix, suspension, aug
More Tags: GM, Donna Trusky, Bankruptcy, U.S. District Court in Detroit, General Motors Co, USD, Reorganization, John Penn, Benjamin Jeffers, lawyer, Fort Worth, Blakely, NEW YORK, OnStar, Motors Liquidation Co, New York Stock Exchange, General Motors Corp, United States, Product Issues, U.S. District Court, American Bankruptcy Institute, manufacturing, navigation product, American Bankruptcy Institute, Impala police, Robert MacMillan, Jonathan Stempel, David Fink, president, Trusky's lawyer, rear spindle rods, Texas, Pennsylvania, Michigan,
Region: North Dakota

Categories: Other > Politics
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