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Lawsuits claim vehicles lost $1,000 in resale value because of bad publicity
By Don Thompson
Associated Press
Published on Thursday, Apr 17, 2008
SACRAMENTO, CALIF.: A California judge has approved the settlement of a class-action lawsuit that will compensate about 800,000 Ford Explorer owners whose vehicles lost value because of a perceived rollover danger.
The settlement ends lawsuits against Ford Motor Co. in California, Connecticut, Illinois and Texas. Those lawsuits claimed that Explorers lost about $1,000 in resale value because of publicity stemming from a series of rollover accidents involving the SUV.
The class action over the loss in value is separate from the numerous death and personal-injury lawsuits involving earlier models of the Explorer that continue across the country.
Under the settlement, those who bought Explorers in model years 1991 through 2001 are eligible for $500 vouchers to buy new Explorers or $300 vouchers to buy other Ford or Lincoln Mercury vehicles.
Consumer groups and some plaintiffs objected, saying few owners will be able to take advantage of the vouchers, in part because of the poor economy and high gas prices.
They also were upset the plaintiffs' attorneys will receive as much as $25 million in fees and costs.
The Washington, D.C.-based Center for Auto Safety formally objected to the settlement on behalf of about 450,000 Explorers in California, 350,000 in Texas, 150,000 in Illinois and 50,000 in Connecticut. Some plaintiffs owned more than one Explorer, while some of the vehicles had multiple owners.
Sacramento County Superior Court Judge David De Alba said, ''It's not perfect . . . but it's likely that a lot of people would have gotten nothing.''
Ford denied its vehicles were unsafe and did not admit wrongdoing. Rather, the company's attorneys said a 50-day trial last year prompted the settlement because it demonstrated that Explorers are safe to drive.
Plaintiffs must postmark their claims by April 29 and have one year to redeem the coupons once they receive them.
Information about the settlement is available at http://www.ExplorerClaims.com.
SACRAMENTO, CALIF.: A California judge has approved the settlement of a class-action lawsuit that will compensate about 800,000 Ford Explorer owners whose vehicles lost value because of a perceived rollover danger.
Get the full article here.

