If you purchased or leased a new vehicle between 1998 and 2017, you may be eligible to claim a slice of approximately $50 million in class-action settlement funds.
The payouts stem from auto parts price-fixing allegations that affected roughly one million vehicles sold in Canada by automakers like BMW, Ford, Hyundai, Kia and Mercedes-Benz. Several Canadian law firms participated in a series of related class-action lawsuits, including Siskinds LLP.
“This auto parts price-fixing class action relate to the alleged price-fixing of approximately 45 parts,” Siskinds partner Linda J. Visser told CTVNews.ca. “It is one of the largest conspiracies in history in terms of scope and fines imposed by regulators around the globe.”
The class actions relate to allegations of illegal price-fixing for automotive parts installed in new vehicles over a period of nearly 20 years, including air conditioning systems, door latches and shock absorbers. With many of the world’s largest automakers impacted, parts manufacturers have also been subject to class actions and criminal probes in other countries.
In Canada, $104 million in funds have already been distributed to settle related class actions. A third and final disbursement of approximately $50 million is now available for owners of vehicles that were not previously eligible.
The newly-included vehicles were sold between 1998 and 2017 by a half-dozen automakers:
- BMW/Mini Cooper – Dec 5, 2014 to May 31, 2017
- Ford/Lincoln/Mercury – Aug 1, 2015 to May 31, 2017
- Hyundai, Kia – Jan 1, 2007 to May 31, 2016
- Mercedes-Benz/Smart Nov 29, 2004 to May 31, 2017
- Mitsubishi – Jul 1, 1998 to Jul 31, 2015
- Suzuki – Jul 1, 1998 to May 31, 2016
Visser says that with more than 900,000 notices already emailed to settlement class members, more than a million Canadians could be eligible to receive funds in the latest and last disbursement.
Eligible claimants will receive a minimum of $25. Auto dealers and those with large vehicle fleets can expect significantly more.
“Price-fixing conspiracies are harmful to the Canadian economy,” Visser said. “They cause businesses and consumers to pay artificially enhanced prices. This class action sought to and did get money back into the hands of the victims of conspiracy.”
Settlement funds that have already been distributed in Canada covered other years, automakers and brands, including vehicles from Volkswagen, Chrysler, General Motors, Honda, Nissan, Mazda and Toyota. While the deadline for filing a claim for those vehicles has passed, those with a newly-included vehicle can submit a claim online by May 12.
As part of the settlements, parts manufacturers were able to avoid admitting wrongdoing or liability.
“To be clear, no wrongdoing is alleged by the auto manufacturers and they had no knowledge of the wrongdoing,” Visser explained. “The alleged wrongful conduct is at the parts manufacturing level and related to parts installed in new vehicles.”
