Posted on 11/09/2015 11:26:57 AM PST by jazusamo
NEW YORK: A U.S. judge on Monday said that General Motors Co may be liable for punitive damages in lawsuits it faces over an ignition switch problem that prompted the recall of millions of vehicles last year.
The decision from U.S. Bankruptcy Judge Robert Gerber in Manhattan could increase GM's financial exposure to claims for injuries, deaths or loss of vehicle value stemming from the 2014 recall. Unlike compensatory damages, which are meant to make up for plaintiffs' losses, punitive damages are designed to punish defendants for egregious or negligent conduct, and to deter future misbehavior.
Gerber said, however, post-bankruptcy "New GM's" exposure to possible punitive damages over vehicles made by pre-bankruptcy "Old GM" would be limited.
"Punitive damages may be sought against new GM to the extent -- but only the extent -- they are based on New GM knowledge or conduct alone," Gerber wrote.
(Excerpt) Read more at channelnewsasia.com ...
This is a bankruptcy judge, speculating on how hard the civil courts are going to hammer "old GM."
It's a slam dunk that plaintiff's lawyers are going to file punitive damages claims in the civil cases.
No doubt about it.
The “New” GM has tried it’s best to weasel themselves out of responsibility of bad acts by the “Old” GM but this was a bit too far for judge Gerber and thankfully so.
Some GM people should be prosecuted criminally for their actions on this cover-up in my view.
Obama Motors knew about these defects, but the recall did not happen until after ownership of the company was returned to the private sector.
I’d like to see that little weasel Steve Rattner in leg irons.
Won’t happen under this Regime, though.
“May face”? I guess killing people is not as serious as fooling a pollution test.
I hear you.
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