The federally financed restructuring through bankruptcy of General Motors wiped out debts for torts arising before the discharge. But public pressure compelled GM to look back at the Coblt ignition switch design flaw that caused ignition and airbag failures, and thirteen deaths. The company's report is here. GM concluded that though there was no "cover up" a pattern of incompetence had been demonstrated. And that their lawyers had been among the offenders (see pp. 104-110, 139-140, and 264-266.).
But a better reading of the facts is that GM and its lawyers fraudulently concealed the design defect and therefore do not merit the clean slate the bankruptcy discharge would otwerwise bring it. The automaker appointed superstar mediator Kenneth Feinberg to help them resolve the issues. It appears that a "voluntary" compensation program is about to begin. - gwc
GM launches compensation program for crash victims | BlackPressUSA: "DETROIT (AP) — General Motors plans to launch a program to compensate crash victims or families affected by an ignition switch problem that is linked to at least 13 deaths in crashes of older GM cars.
The company said it expects the program will start accepting claims Aug. 1, but didn’t specify how much money will be involved. Guidelines and other details will be developed in the coming weeks by compensation expert Kenneth Feinberg, GM said.
GM has recalled 2.6 million older small cars to repair the ignition switches. A report issued Thursday said it took GM more than a decade to issue the recall partly because employees improperly viewed the switch defect as a “customer satisfaction” issue instead of a safety problem.
GM announced the hiring of Feinberg in April. He previously handled the Sept. 11 Victim Compensation Fund as well as funds for victims of the Boston Marathon bombing and the BP oil spill.
Feinberg told The Associated Press that the timeline means “I have my work cut out for me.” During the next few weeks, he said he’ll speak with plaintiff’s lawyers, lawmakers, public interest groups and GM officials.
'via Blog this'
But a better reading of the facts is that GM and its lawyers fraudulently concealed the design defect and therefore do not merit the clean slate the bankruptcy discharge would otwerwise bring it. The automaker appointed superstar mediator Kenneth Feinberg to help them resolve the issues. It appears that a "voluntary" compensation program is about to begin. - gwc
GM launches compensation program for crash victims | BlackPressUSA: "DETROIT (AP) — General Motors plans to launch a program to compensate crash victims or families affected by an ignition switch problem that is linked to at least 13 deaths in crashes of older GM cars.
The company said it expects the program will start accepting claims Aug. 1, but didn’t specify how much money will be involved. Guidelines and other details will be developed in the coming weeks by compensation expert Kenneth Feinberg, GM said.
GM has recalled 2.6 million older small cars to repair the ignition switches. A report issued Thursday said it took GM more than a decade to issue the recall partly because employees improperly viewed the switch defect as a “customer satisfaction” issue instead of a safety problem.
GM announced the hiring of Feinberg in April. He previously handled the Sept. 11 Victim Compensation Fund as well as funds for victims of the Boston Marathon bombing and the BP oil spill.
Feinberg told The Associated Press that the timeline means “I have my work cut out for me.” During the next few weeks, he said he’ll speak with plaintiff’s lawyers, lawmakers, public interest groups and GM officials.
'via Blog this'
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