Will the "New" Chrysler and GM Vehicles be Safe?

Todd Slaughter
Attorney
(866) 735-1102 Ext 655
Posted by Todd SlaughterJune 12, 2009 4:31 PM

Jane Akre's excellent article, "Chrysler GM Throws Consumers Under the Bus," accurately details the surmise of injury and death claims against the "new" Chrysler and GM companies, once they emerge from bankruptcy. Taking advantage of this legal loophole, Chrysler and GM will escape responsibility for the dangerous cars, vans and trucks that they have placed on the road today, even if the catastrophy occurs in the future. The cars are ticking time bombs.

The impact of this immunity will also affect the safety of future Chrysler and GM products. The Federal government and automakers gather and use death and injury data to identify and correct defects. Such analysis constitutes an early warning system. If consumers can no longer file claims against Chrysler or GM, a key component of that early warning system will disappear. Additionally, the financial incentive to correct the mistakes will be gone. Why issue a recall if you have no responsibility for the harm that the defect can cause?

I think I understand now the purported aspiration of the "new" companies to "be leaner and meaner." This does not promote safety. This is simply unjust!

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Jane AkreInjuryBoard Staff
Posted by Jane Akre
June 12, 2009 6:37 PM

Hi Todd-

Talking to a Treasury Dept spokesperson today about what role it had in greasing the wheels for Chrysler, yielded this response:

“Treasury was not involved in this decision, which the company made consistent with conventional bankruptcy practice. While unfortunate, the outcome would have been far worse had the government not intervened in the restructuring and Chrysler had liquidated.”


Someone else calls it Karl Rove's dream.

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