Toyota Announces Settlement in Unintended Acceleration Lawsuit

Toyota announced today that it has come to a tentative settlement in an ongoing class-action lawsuit, which claimed owners were negatively impacted in the value of their cars due to Toyota's unintended acceleration scandal in 2010. If accepted by the supervising judge in the case and all appeals are favorably resolved, the settlement will launch a new Toyota customer support program that will coordinate additional warranty coverage for certain vehicle parts, and the retrofitting of free brake override safety systems in non-hybrid cars that were subject to the floormat recall.

A cash payment will also be made to Toyota customers who sold or turned in leased vehicles in a specific period from 2009-10, or for whom the brake override system is not applicable. The settlement will also establish some driver education programs and fund additional research into advanced safety technologies. Overall, it is expected to cost Toyota nearly $1.1 billion, including legal fees associated with the case.

"This agreement marks a significant step forward for our company, one that will enable us to put more of our energy, time and resources into Toyota's central focus: making the best vehicles we can for our customers and doing everything we can to meet their needs," said Christopher P. Reynolds, group vice president and general counsel of Toyota Motor Sales, U.S.A, and chief legal officer of Toyota Motor North America. "In keeping with our core principles, we have structured this agreement in ways that work to put our customers first and demonstrate that they can count on Toyota to stand behind our vehicles."

Toyota faced several lawsuits on many topics related to the 2010 unintended acceleration fiasco, which was traced to two main issues — floormats interacting with and trapping accelerator pedals and sticking pedals resulting from faulty internal components. Toyota was fined a record amount by the U.S. government for not disclosing these issues sooner, and many owners joined a class-action lawsuit brought by a coalition of state attorneys general against Toyota for "economic loss," or the perceived drop in value that their cars suffered that they might not otherwise have seen if the problem had been handled differently. Toyota is confident that the issue is now being put to rest, and that the company will now be able to focus on more positive news, like new product launches.

By Aaron Bragman | December 26, 2012 | Comments (5)


It's about time Toyota tries to make this right. None of this would have happened if Toyota didn't get greedy and wait to announce the recall.

Our business services Toyotas (and everything else) and have seen excellent engineering on pretty much every Toyota we've worked on. Why didn't the gov't fine a certain American car company a zillion dollars when 6.7 million of their vehicles had a dangerous acceleration problem? I am for buying American cars when I can but was this singling out of Toyota really fair?
Read more:


Make things right? Please!! I bought my Toyota in 2009 and have had no brake issues whatsoever. It's the people who are sue happy and will do anything to make a quick buck. I'm happy to say I've no trouble of any kind even besides brakes.

well i agree with julio....


I agree, I've never had problems with any Toyotas I've owned. Except for my CD jamming, but that's about it.

Post a Comment 

Please remember a few rules before posting comments:

  • If you don't want people to see your email address, simply type in the URL of your favorite website or leave the field empty.
  • Do not mention specific car dealers by name. Feel free to mention your city, state and brand.
  • Try to be civil to your fellow blog readers. This blog is not a fan or enthusiast forum, it is meant to help people during the car-buying process and during the time between purchases, so shoppers can keep a pulse on the market.
  • Stay on topic. We want to hear your opinions and thoughts, but please only comment about the specified topic in the blog post.
view posting rules

If you have a TypeKey or TypePad account, please Sign In

Search Results

KickingTires Search Results for

Search Kicking Tires

KickingTires iPhone App