Conn. Joins $120M Settlement with General Motors over Defective Ignition Switch

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CT will share in a tentative $120 million settlement with General Motors over allegations the auto giant hid safety issues tied to faulty ignition switches in certain vehicle models, authorities say.

CT served on the multistate investigation's nine-state executive committee.

Laxalt said the $120 million settlement resolved the investigation into the time it took for the company to notify motorists of the issue associated with the ignition switch or key rotation-related issues in several vehicles.

Of cases that have gone to trial, individual drivers have had little luck holding GM liable for their collisions.

Michigan, 48 other states and the District of Columbia filed claims accusing GM of concealing a safety issue and deceptive marketing for saying its vehicles were reliable. Schneiderman noted that the 44-page consent decree also requires GM to ensure future safety.

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Maintain a Vehicle Safety Owner Engagement Team to improve and enhance recall awareness to auto owners with open recalls - GM has to provide a report within 60 days after the one-year anniversary of this agreement summarizing their efforts.

The faulty ignition switches could move from the run position to the accessory or off position in certain conditions. The issues could also result in the safety airbags failing to deploy, increasing the risk of serious injury or death.

Kentucky will get a $1.3 million settlement from General Motors for violating the state's Consumer Protection Act and the automaker will make sure all recall repairs are complete, according to the attorney general's office.

CT and its municipal co-plaintiffs alleged that certain GM employees knew as early as 2004 that the ignition switch posed a safety defect because it could cause airbag non-deployment. The settlement concludes a lengthy investigation of GM's failure to disclose known safety defects in various vehicle models. The company marketed those vehicles as reliable and safe.

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