Federal Bill Increases Recall Fines

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Automobile manufacturers, dealers, rental companies and the U.S. Chamber of Commerce, have lost their fight against a federal bill that will significantly increase automaker fines for companies who delay automobile recalls. Currently, the maximum fine is just over $17 million, but once the bill goes into effect, the fines could go as high as $200 million. According to groups opposing the bill, “The increases are completely out of proportion to the current penalty structure for manufacturers under the Consumer Product Safety Act.” The bill was introduced in response to unintended acceleration recalls by Toyota in 2009-2010. Even though Toyota vehicles were cleared of electronic flaws causing unintended acceleration, the company ended up paying maximum fines for recall delays.

Other provisions of the bill include an increase in the maximum fine for odometer fraud; new regulations for vehicle pedal placement and push-button ignition; an improved recall database and website; and an anonymous complaint hot line for auto workers, dealers and mechanics to report vehicle safety problems.

California Lemon Law Buybacks

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Here at the Law Offices of Delsack & Associates, we represent our clients to the highest legal standards. With over 24 years of helping California consumers, we have successfully represented thousands of clients throughout the state in all types of lemon law cases, with all vehicle manufacturers. We are especially proud of the fact that in more than 9 out of 10 of these cases we are able to reach satisfactory settlements without litigation, making the settlements fast and stress free for our clients. The high standards we have set to represent only those clients with legitimate lemon law claims means that we do not compromise our integrity or reputation. Our goal is not to be the “largest” lemon law firm in California, but to continue to be the best. Below is a list of some of our most recent success stories where we helped consumers get settlements for their lemons:

  • 1. 2005 Ford F250: Full buyback – Antioch, CA – 82,988 miles
  • 2. 2008 Nissan Altima Hybrid: Full buyback – Modesto, CA – 44,462 miles
  • 3. 2007 GTI VW: Cash & Keep – San Jose, CA – 38,148 miles
  • 4. 2006 Ford F250: Full buyback – Simi Valley, CA – 80,375 miles
  • 5. 2011 Jaguar XK: Full buyback – Tarzana, CA – 6,472 miles
  • 6. 2010 Chevrolet Equinox: Cash & Keep – Wilcox, CA – 26,855 miles
  • 7. 2008 Jaguar XFS: Cash and Keep – El Dorado Hills, CA – 36,662 miles
  • 8. 2010 Nissan Altima: Full buyback – San Bernardino, CA – 17,591 miles
  • 9. 2008 Chevrolet Silverado: Cash and Keep – San Jacinto, CA – 91,280 miles
  • 10. 2007 Chevrolet Aveo: Full buyback – North Hollywood, CA – 40,391 miles
  • 11. 2008 BMW 535i: Full buyback – Los Angeles, CA – 28,407 miles
  • 12. 2011 Ford Mustang: Full buyback – Pearblossom, CA – 9,870 miles
  • 13. Kia Spectra: Full buyback – San Jose, CA – 57,504 miles

If you are in California and feel that you may have a lemon, contact our lemon law offices, or fill out our Lemon Law Case Review, for a FREE consultation.

Anywhere in California (free call): 1.888.ExLemon (395.3666)

  • California Lemon Law in Los Angeles: 310-475-1700
  • California Lemon Law in San Francisco: 415-285-5366
  • California Lemon Law in San Diego: 619-229-6900
  • California Lemon Law in Orange County: 949-856-4333
  • California Lemon Law in Palm Springs: 760-395-1000
  • California Lemon Law in San Fernando Valley: 818-837-0500

Audi A6 Airbag Flaw

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Volkswagen is recalling certain 2012 Audi A6 sedans manufactured between April and May 2011. Because of a problem with the stitching process of the curtain air bag, the air bag may not deploy properly leaving occupants unprotected. Volkswagen will notify owners, starting January, and will replace both the left and right curtain air bags. Owners wanting more information about the recall can contact Volkswagen at 1-800-822-8987.

NTSB Wants Total Phone Ban For Drivers

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On Tuesday, the National Transportation Safety Board (NTSB) called for a nationwide ban on the use of cell phones and text messaging devices while driving. With over a decade of investigations, the group found that as mobile devices become cheaper and more powerful, the problem of distracted driving has also increased. Right now, 9 states ban the use of hand held phones, and 35 states ban texting while driving, but the NTSB is urging states to go one step further. They have recommended that every state adopt a law that will stop the use of hands free devices as well. According to Deborah Hersman, chairwoman of the NTSB, “Our safety concerns are not just about drivers keeping their hands on the wheel and eyes on the road, but it is also about keeping people focused on the act of driving.”

The Alliance for Automobile Manufacturers, agrees that the problem of driving while distracted needs to be addressed, but it also defends integrated systems that allow drivers to keep their hands on the wheel and eyes on the road while sill staying connected. “Consumers have come to expect 24/7 connectivity, changing and enforcing that could be difficult.” The complete ban on phone use by drivers would also impact many car makers who offer integrated hands-free and voice-activated systems.

Toyota and BMW Share Technology

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An agreement between BMW and Toyota, will have the two automobile makers collaborating on environmentally sustainable technology in the auto industry. BMW will supply Toyota with 1.6 and 2.0 liter engines for their struggling European line, and both companies will work together to develop car battery technology for electric and hybrid vehicles. The alliance will increase efficiency, reduce costs, and allow vehicles to be brought to market more quickly. Because BMW and Toyota operate in different segments of the market, it is unlikely they will encountering competitive conflicts.

Ford Wheel Stud Fractures

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Ford has announced a recall for certain 2010-2011 Ford Fusion and 2010-2011 Mercury Milan vehicles equipped with 17 inch steel wheels. The recall comes after a National Highway Traffic Safety Administration (NHTSA) investigation in January, where customers complained of cracking wheel studs on their low mileage vehicles. Ford said drivers could experience vehicle vibration leading to the wheel separating from the vehicle completely. Owners wanting more information on the recall can contact the Ford customer relationship center at 1-866-436-7332.

Auto Sales Strong In November

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GM sales strong in ChinaThe end of 2011 looks promising for the auto industry as vehicle sales climb almost 14% in November. Analysts predict that lower gas prices and a wider availability of Japanese automobiles, could lead the industry reaching its highest December sales in two years. The Big Three automobile manufacturers showed the biggest increases with Chrysler sales up almost 50%, Ford up 13%, and General Motors up 7%.

According to Edmunds.com, “Many consumers who held off buying a new vehicle because of the uncertain economy, or because of inventory shortages that caused prices to jump, are now making a purchase. The result is a “mini-bubble” that will most likely end in early 2012.

Alternatives To Buy Here Pay Here Auto Sales

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Studies have shown that low-income people can increase their income, are more involved in the community, and have better access to healthcare when they have their own transportation. It is also estimated that one in four needy families do not have a car. The U.S. Transportation Department plans to spend over $100 billion on roads, bridges, public transit, and rail projects, but has little money allocated to help the poor purchase a car. Some feel that the government actually made it harder with programs like “Cash For Clunkers”. The program resulted in higher priced used automobiles by removing almost 700,000 running vehicles from roads. In some states, people receiving government aid are restricted to how much they can spend on a vehicle, leaving them with an unreliable car or no car at all.

Consumers that need a car, but have bad credit, feel they have no alternative but to turn to Buy Here Pay Here dealers. These dealerships advertise themselves as providing a valuable service to consumers, as they make big profit off the misfortune of others. Prices and interest rates are high, and the chance of having your vehicle repossessed is one in four, allowing the dealership to sell vehicles over and over again.

There is about 160 nonprofit organizations nationwide that try to provide affordable used cars to needy families. Some receive public funds, but for the most part they operate on donations and can help only a small percentage of families that need it. Rep. Gwen Moore (WI-04) has tried for years to get the government to help the poor buy cars. In 2005 and again in 2007, she sponsored legislation to provide $50 million a year for low-income car ownership programs. Both bills were rejected.