Toyota Hit with $16.4 Million Fine by NHTSA

April 6, 2010

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CNN reported yesterday that Toyota Motor Corp has two weeks (until April 19, 2010) to decide whether it will accept or contest the $16.4 million dollar five levied by the National Highway Traffic Safety Administration (NHTSA) for failing to promptly notify the government about the problem with accelerator pedals. In a statement released in response to news of the fine, Toyota said "We have not yet received their letter, we understand that NHTSA has taken a position on this recall. We have already taken a number of important steps to improve our communications with regulators and customers on safety-related matters as part of our strengthened overall commitment to quality assurance. These include the appointment of a new Chief Quality Officer for North America and a greater role for the region in making safety-related decisions."

Under federal regulations, auto manufacturers are required to inform the NHTSA within five days of determining that a safety defect exists in one of its products. Ray LaHood, the United States Secretary of Transportation said in a statement, "We now have proof that Toyota failed to live up to its legal obligations. Worse yet, they knowingly hid a dangerous defect for months from U.S. officials and did not take action to protect millions of drivers and their families." LaHood claims that Toyota knew of the defect with the pedals since September 29, 2009 (when it issued repair procedures in 31 European countries and in Canada), but did not recall the vehicles in the US until late January, 2010.

Last month, the LA Times reported that more than 100 deaths have been linked to sudden acceleration accidents involving Toyota vehicles. The death toll continues to rise and numerous lawsuits against Toyota have been filed following accidents causing serious injury or death. If you or a family member have been involved in a crash caused by sudden unintended acceleration in a recalled Toyota, contact the Toyota lawsuit lawyers at Estey Bomberger for a free consultation.

Sources: CNN, LA Times

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