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GM Recalls Cars From As Early As 1997

Posted on behalf of Greg Coleman Law on Jul 01, 2014 in Auto Accident

gm-recalls-cars-from-as-early-as-1997

It seems that General Motors (GM) is extending its recalls to cover any and all potential or actual safety defects in its vehicles. For instance, some of the recalls announced on June 30, 2014 are from 1997.

The age of the models being recalled suggests several problems and reveals GMs approach to the crisis. On the one hand, it is clear that General Motors failure in safety oversights is a pervasive and long-standing problem at the company. On the other hand, it reveals that CEO Mary Barra is interested in interested in moving quickly by recalling vehicles en masse.

Without regard to reputation and public relations, GM seems to be saying get all of the unsafe vehicles on the roads off of the roads. It is an interesting risk management strategy.

By being proactive now and despite the inevitable knocks to its reputation, GM can contain further liability risks that would ultimately come from future litigation risks and fines and fees levied by the NHTSA.

Mondays announced recall brings GMs total recalls in 2014 to 29 million vehicles. The recent wave of recalls is related to three fatalities, eight injuries and seven car accidents. Preliminary information about the fatalities reveals that the airbags failed to deploy.

It is not clear whether this is due to recent problem identifying the tendency of the keys to switch away from the run position. What is clear, however, is that GMs safety review deficiencies are decades old.

After conducting an investigation, former U.S. Attorney Anton Valuka's report revealed that no one at GM routinely took ownership of problems and attempted to fix them. Everyone at many levels of leadership demurred to others and the end result was that safety defects identified by the company were not resolved. 

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