City of Chicago: Sues Kia and Hyundai Motors
-No engine immobilizer installed-
-Applicable to US cars sold from 2011 to 2022-
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Chicago: Mayor Brandon Johnson (Democratic Party)
On August 24, the city filed a lawsuit against Korean automakers Kia and Hyundai.
The city of Chicago indicted both manufacturers’ Korean headquarters and U.S. subsidiaries.
Both companies did not install engine immobilizers, an anti-theft device, in several vehicle models.
Complaint filed in court:
Complaint filed in Cook County Circuit Court
Violent crimes related to vehicle theft, reckless driving, and property damage skyrocketed.
Engine immobilizer installation status:
Both manufacturers have installed anti-theft devices on vehicles sold outside the United States.
However, US cars sold from 2011 to 2022 are not equipped with it.
Both companies deceived consumers by telling them that these cars were equipped with advanced safety features.
The actions of both manufacturers violated the city’s consumer protection law.
Number of vehicle thefts in Chicago:
The number of cases rapidly increased from 500 cases in the first half of 2022 to more than 8,350 cases in the second half of 2022.
In 2023, they will account for more than half of all stolen vehicles in Chicago.
Kia and Hyundai class action lawsuit:
A class-action lawsuit has been filed over the vulnerability of both companies’ vehicles to theft.
In May 2023, they agreed to a settlement worth $200 million.
Class action lawsuit settlement details:
not covered by insurance
theft-related vehicle loss;
cash compensation to customers;
insurance deductible amount,
Increase in insurance premiums,
loss related to theft, etc.
This class action lawsuit covers 9 million Kia and Hyundai vehicles.
https://www.jetro.go.jp/biznews/2023/08/8ab61ff77d7ed31b.html
City Of Chicago Files Suit Against Automakers Kia And Hyundai,
A critical defect in the companies’ vehicles led to a car theft crisis.,
CHICAGO – Mayor Brandon Johnson
August 24,
announced today that the City has filed a civil lawsuit against Kia and Hyundai Motor Company
for their failure to include industry-standard engine immobilizers in multiple models of their vehicles,
resulting in a steep rise in vehicle thefts and a wide array of related violent crimes in Chicago.,