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Woman gets poor mpg, sues Honda

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Old 01-03-2012, 02:46 PM
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Default Woman gets poor mpg, sues Honda

http://www.washingtonpost.com/busine...m_business_pop


Short story - a (California) woman doesn't get advertised mpg and sues Honda in small claims court...


TORRANCE, Calif. — A woman who expected her Civic Hybrid to be her dream car wants Honda to pay for not delivering the 50 mpg it promised.

But rather than joining other owners in a class-action lawsuit, Heather Peters is going solo against the automaker in small-claims court, an unusual move that could offer a bigger payout. And if successful, it could open the door to a flood of similar lawsuits.

A trial is set for Tuesday in Torrance, where American Honda Motor Co. has its West Coast headquarters.

Peters, a former lawyer, says that as her vehicle’s battery deteriorated, it got only 30 mpg.

When Honda ignored her complaints, she filed legal papers seeking reimbursement for her trouble and the extra money she spent on gas. The suit could cost the company up to $10,000.

If other Civic owners follow her lead, she estimates Honda could be forced to pay as much as $2 billion in damages. No high-priced lawyers are involved, and the process is streamlined.

“I would not be surprised if she won,” said Richard Cupp Jr., who teaches product-liability law at Pepperdine University. “The judge will have a lot of discretion, and the evidentiary standards are relaxed in small-claims court.”

Small claims courts generally handle private disputes that do not involve large amounts of money. In many states, that means small debts, quarrels between tenants and landlords and contract disagreements.

A victory for Peters could encourage others to take the same simplified route, he said.

“There’s an old saying among lawyers,” Cupp said. “If you want real justice, go to small-claims court.”

But he questioned whether her move would start a groundswell of similar cases. He suggested that few people would want to spend the time and energy that Peters has put into her suit when the potential payoff is as little as a few thousand dollars.

Peters opted out of a series of class-action lawsuits filed on behalf of Honda hybrid owners when she saw a proposed settlement would give plaintiffs no more than $200 cash and a rebate of $500 or $1,000 to purchase a new Honda.

The settlement would give trial lawyers $8.5 million, Peters said.

“I was shocked,” she said. “I wrote to Honda and said I would take $7,500, which was then the limit on small claims in California. It is going up to $10,000 in 2012.”

Typical limits in other states range from $2,500 to $15,000.

She said she also offered to trade her hybrid for a comparable car with a manual transmission, the only thing she trusted at that point.

“I wrote the letter and I said, ‘If you don’t respond, I will file a suit in small-claims court.’ I gave them my phone number,” she said. “They never called.”

She said she also sent emails to top executives at Honda but got no response. She also launched a website, DontSettleWithHonda.org, urging others to take their complaints to small-claims court.

Aaron Jacoby, a Los Angeles attorney who heads the automotive industry group at the Arent Fox law firm, said Peters’ strategy, while intriguing, is unlikely to change the course of class-action litigation.

“In the class-action, the potential claimants don’t have to do anything,” Jacoby said. “It’s designed to be an efficient way for a court to handle multiple claims of the same type.”

He also questioned her criticism of lawyers’ fees. Jacoby said class-action lawyers do extensive work that involves many clients and sometimes spans years. And they are not in it just for money.

“They’re representing the underdog, and they believe they are performing a public duty,” he said. “Many of these people could not get lawyers to represent them individually.”

The judge hearing Peters’ case was not expected to make an immediate ruling Tuesday, but small claims matters are usually decided much faster than those in civil courts, which often take years to resolve major cases.

American Honda’s offices were closed for the holidays, and no one could be reached for comment. Peters said the company has tried five times to delay the trial but was rebuffed.

The upside of Peters’ unusual move, she says, is that litigants are not allowed to have lawyers argue in small-claims court in California. That means any award would not be diluted by attorney’s fees. Honda would have to appoint a non-lawyer employee to argue its side in court.

“If I prevail and get $10,000, they have 200,000 of these cars out there,” she said.

A judge in San Diego County is due to rule in March on whether to approve Honda’s latest class-action settlement offer. Members of the class have until Feb. 11 to accept or decline the deal.
Old 01-03-2012, 02:50 PM
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Why didn't Honda save some themselves some trouble and just replace her battery? Shouldn't it have been covered by warranty anyway...?
Old 01-03-2012, 02:50 PM
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good for her, I hope she wins.
Old 01-03-2012, 03:22 PM
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For the record, I work in a law firm that does a good dealing of suing and I am certainly inclined toward using the justice system to resolve disputes, but seriously, fvck class action lawyers in the face. I'm glad she found a way around the class action.
Old 01-03-2012, 03:24 PM
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I'm sueing Samsung, my phones battery no longer gets the 6 hours of talk time they advertized.
This lawsuit is stupid, batteries aren't some eternal power source, things break down and need to be replaced, if it happened within the warranty period, then they would fix it, but it's apparently too old for that. I hope this gets thrown out and the woman gets nothing.
Old 01-03-2012, 04:05 PM
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I promised myself that I wouldn't get too worked up in this thread but...

attz0r, you're off base. None other than a Honda spokesperson says that Honda anticipates the hybrid batteries to last the life of the car. Irrespective of that, Honda clearly missed the mark and set the parameters related to when the car switches from electric to gas in such a manner that it caused the battery to wear out prematurely, per their own admission. The proposed solution by Honda is to bring your car in to the dealership whereby they'll reflash the car and make it switch to gas sooner if you live in a warm climate (such as California where Honda was plenty happy to sell said vehicles) as to take it easier on the battery. As a consequence of the of the change, the vehicle is not going to perform as Honda originally claimed it would.

Whether that warrants legal action is a different discussion for a different day but it's clear that this is not as simplistic as you made it out to be. Furthermore, let's pretend we're talking about engines here. If Honda sent a letter to you that said, "Hey, we made a mistake and it's currently causing damage to your engine, but come in and we'll make it such that it causes no further damage," which is a fair account of what they did here, the concern that you would have as a reasonable person is that, sure, maybe they fixed it so that no further harm is done, but what about the harm that was already done? How will that play out in the long run? Are you willing to own a car out of warranty with such an unknown variable based on the manufacturer's assurance that they got it right this time? And again, the car will not behave the same once they "fix" it, even if only marginally so.

A better cell phone analogy than what you proposed would be for you to buy a phone that is marketed as having 6 hours of talk time, it stops holding such a charge and starts to get only 4 hours of talk time. They tell you to bring it in for an "upgrade" whereby they will make it have 5 hours of talk time. Sure that's better than having 4 hours of talk time or a battery that stops working altogether, but that's not what you signed up for and you shouldn't have to settle for a "sorry but that's life" explanation from someone that you gave your hard earned money to.

Also, I am pretty sure that they have only had Civic hybrids for a limited number of years which would place them all under the time-based warranty. Am I wrong? I remember when I worked at a Honda dealership that the Hybrids had an 8 year warranty if I recall correctly, but that was a long time ago and I may be mistaken.
Old 01-03-2012, 04:13 PM
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Originally Posted by Mr.E.G.
For the record, I work in a law firm that does a good dealing of suing and I am certainly inclined toward using the justice system to resolve disputes, but seriously, fvck class action lawyers in the face. I'm glad she found a way around the class action.
Once upon a time I received a letter from a law firm asking me to join in a class action lawsuit against Volvo. It seems they had found themselves a client who had purchased a Volvo 850 Turbo and was unhappy with the tire wear. If I remember correctly, the young lady from Joisey had to replace the Michelin tires on her Swedish sled at 10,000 miles and they weren't cheap at $1,000 per set. It was apparently cutting into her tanning budget.

I have no idea how I was lucky enough to be selected to join their little club. They must have petitioned the courts to make Volvo turn over customer contact info for anyone who had purchased a 1995 850 Turbo. Talk about stupid. The 850 Turbo was sold as a performance sedan (I know, I know, stop laughing). Anyway, Volvo had shod the thing with Michelin high performance summer rubber with a wear rating of 140 molded right into the sidewall for any idiot to see. The woman was either stupid or sleazy and trying to get someone else to pay for her tires. I'm pretty sure the law firm was looking to harass Volvo into a settlement to make them go away. I mailed the letter to Volvo's U.S. HQ and offered to testify on their behalf. Never heard anything more from either party.
Old 01-04-2012, 05:30 AM
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Only in america.
Old 01-04-2012, 07:52 AM
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TORRANCE, Calif. — A woman who expected her Civic Hybrid to be her dream car...
Woman needs bigger dreams.

For the record, I used to work for a class-action employment law firm. I saw first-hand what happens when a corporate structure ignores laws and has complete disregard for the impact of their actions on the people affected. Yes, class actions generally make the lawyers rich, but it also punishes the corporations who knowingly do wrong. The fact that the people actually wronged see very little financial recompense doesn't really have any relevance, IMHO. If a guy steals $1000, should he not be prosecuted simply because the victim won't get their $1000 back?
Old 01-04-2012, 07:57 AM
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Some of you might remember when Honda advertised sub-six-second 0-60 times for the first S2000. No? That's because it came and went so quickly, lol. At the time, Honda was resisting transmission warranty repairs with "oh, but you abused this car with clutch-drop launches, redline power shifts, and such."

If you advertise something you have to back it up. We have consumer protections. Good for Ms. Peters. Companies only learn when their wallet gets stung.


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