Lawyers seeking claimant rights in Chrysler sale
Tuesday, June 9 2009
Product liability plaintiffs' lawyers are hoping the U.S. Supreme Court will restore the rights of Chrysler owners to pursue product liability claims involving about 10 million vehicles currently on the road.
Consumer groups and plaintiffs' lawyers are irate over a provision in the Chrysler bankruptcy sale that would eliminate tort claims by Chrysler owners who purchased a vehicle prior to when Fiat assumes control of the company.
In a surprise move, Supreme Court Justice Ruth Bader Ginsburg, in a one-sentence order Monday, temporarily stayed the sale, which the 2nd Circuit approved last Friday.
"If I buy a Chrysler today because they're cheap, and my neighbor buys one when Fiat takes control, and there's a problem with the car that leads to death or injury, I would have no claim, but my neighbor would," said Sean Kane, head of Safety Research & Strategies, a Rehoboth, Ma. research firm that works with personal injury attorneys.
Fiat has agreed to replace damaged parts and honor lemon law liabilities. But the bankruptcy plan does not provide recourse for anyone injured or killed because of a defect in a Chrysler vehicle now on the road.
