Takata Airbag Recall

Takata airbags, which carry a risk of overpressurizing and exploding if the volatile ammonium nitrate inside is exposed to moisture and heat cycles over time, have so far been responsible for 23 driver deaths worldwide, with more expected. Seven of the fatalities occurred in Malaysia and all involved Honda’s 2003 to 2009 City model – the most recent in May 2018. Of the remaining 16 deaths, 15 were in the United States and one in Australia.

Honda vehicles were involved in all but two deaths – and those two U.S. deaths involved 2006 Ford Rangers, which contained the same type of inflator that killed the Honda drivers in Malaysia, which included a woman who was nine months pregnant. Her baby died two days later. The latest death in Malaysia occurred when a 2004 Honda City crashed into another vehicle and the airbag exploded, sending a metal shard from the canister that houses the ammonium nitrate into the driver’s throat.

To date, there have been more than 300 people injured by ruptures that occurred in recalled Takata airbags. These deaths and injuries highlight failures of the recall system which included manufacturers’ long delays in initiating the recalls, their use of outdated ownership and address information, and the lack of or delayed replacement part availability.

The National Highway Traffic Safety Administration (NHTSA) has admonished many of the manufacturers for not doing enough to make sure airbags are replaced. In May 2018, NHTSA sent a letter to 12 major automakers, warning them that they had not met the December 2017 deadline for completing repairs in high-risk areas – such as Florida – that experience more humidity and heat fluctuations than other areas. The manufacturers included Honda, Toyota, General Motors, Fiat Chrysler, and Ford. The targeted automakers had collectively replaced 65 percent of the affected airbags, leaving about 7 million dangerous airbags on the road.

In July 2018, NHTSA followed up the letter with an announcement urging all automakers involved in the recalls to publicize their plans for replacing all defective airbags and their websites and to be innovative in their efforts to reach owners who were at risk and may not have received the recall information.

To determine whether your vehicle has an unrepaired recall visit https://www.nhtsa.gov/recalls and enter your Vehicle Information Number (VIN). If your vehicle has an open recall, make arrangements with your local dealer to have the free repairs done as soon as possible.
If you suspect that you or a loved one has been the victim of a defective airbag, call the Takata airbag recall lawsuit lawyers at Newsome Melton. We are standing by at 888-380-2809 to set up your free consultation.

If you have been injured by a Takata airbag rupture, it can be hard to figure out what types of compensation are available to you as there are a few compensation funds working in tandem. The courts have appointed Eric Green as the Special Master for all of the funds. Below is a brief description of each.

Individual Restitution Fund

The individual Restitution Fund (IRF) was set up following Takata’s settlement of a criminal case filed by the with the U.S. Department of Justice (DOJ) in the Eastern District of Michigan. Takata acknowledged that it manipulated test results to hide ruptures that occurred in its testing and agreed to pay a $1 billion fine, of which $125 million went into the Individual Restitution Fund (IRF). The IRF is designed to compensate people who suffer personal injury or the wrongful death of a loved one because their airbag inflator ruptured or the airbag deployed too aggressively – injuries from other causes are not compensable under this fund. Green is responsible for reviewing applications and documentation to determine whether an applicant is entitled to compensation and in what amount based on specific injury categories.

Takata Airbag Tort Compensation Trust Fund (TATCTF)

The TATCTF was established as part of Takata’s bankruptcy plan of reorganization. It too compensates individuals who have been injured or lost a loved one because an airbag inflator ruptured or an airbag deployed aggressively. The difference is that the pool of money comes from the bankruptcy funds rather than the fund set up in the DOJ agreement. This fund is expected to have about $250 million available. Applicants can apply for both the IRF and TATCTF in one form. Applicants are eligible for compensation under both funds.

Participating Original Equipment Manufacturer (POEM)

All rupture-related claims involving a Honda or Acura vehicle will be automatically transferred, or channeled, into a separate compensation process. A POEM claim is the only claim available for incidents involving Honda or Acura vehicles – even lawsuits will be channeled into this system. Honda has assigned compensation values to specific types of injuries, with no consideration given to Honda’s alleged negligent actions.

There are deadlines by which you must file your claim, and there are a myriad of documents required. The Special Master recommends that you consult a lawyer to help you determine whether to file a claim and what type of claim to file, as well as how to answer some of the more complex legal questions. The Takata airbag personal injury and wrongful death lawyers at Newsome Melton can answer your questions about the claims process and evaluate whether you might be eligible for compensation. Please call us at 888-380-2809 for a free consultation.

According to Orlando.com, about 150,000 vehicles in the Orlando area still contain recalled Takata airbags that may explode metal shards when they deploy in a crash. Takata airbags, linked to 23 deaths and hundreds of injuries worldwide, are subject to recalls from 19 automakers who are required to replace more than 50 million of the defective safety devices.

Depending on the automaker and geographical location, between 25 percent and 50 percent of the affected airbags – totaling more than 22 million – have not been replaced. This is especially dangerous in states like Florida, where the high humidity and heat significantly increase the risk of rupture. In fact, Florida ranks first as the state with the most deaths and injuries, three and 83 respectively.

The recalled airbags contain the chemical compound ammonium nitrate, which is used as a propellant that is housed in a metal canister in the steering wheel or behind the passenger dash. In a crash, the propellant is ignited to rapidly generate gas which inflates the airbag cushion. But ammonium nitrate, used by Takata as cheap alternative to other more stable airbag chemicals, is volatile even under the best conditions, and highly sensitive to moisture and heat which degrades the propellant causing it to generate too much pressure too quickly. The excessive pressure can rupture the canister, spewing metal fragments into the vehicle and occupants. Some Takata airbags, like those in Honda and Acura vehicles made between 2001 and 2003 have an additional manufacturing defect, which lab tests have shown make them more likely to fail and rupture.

The millions of vehicles left unrepaired highlight failures of the recall system which include manufacturers’ long delays in initiating the recalls, their use of outdated ownership and address information, and the lack of or delayed replacement part availability.

The National Highway Traffic Safety Administration (NHTSA) has admonished many of the manufacturers for not doing enough to make sure airbags are replaced. In May 2018, NHTSA sent a letter to 12 major automakers, warning them that they had not met the December 2017 deadline for completing repairs in high-risk, like Florida. The manufacturers included Honda, Toyota, General Motors, Fiat Chrysler, and Ford.

In July 2018, NHTSA publicly urged all automakers involved in the recalls to publicize their plans for replacing all defective airbags and their websites and to be innovative in their efforts to reach owners who were at risk and may not have received the recall information.

To determine whether your vehicle has an unrepaired recall visit https://www.nhtsa.gov/recalls and enter your Vehicle Information Number (VIN). If your vehicle has an open recall, make arrangements with your local dealer to have the free repairs done as soon as possible.

If you suspect that you or a loved one has been the victim of a defective airbag, call the Takata airbag recall lawsuit lawyers at Newsome Melton. We are standing by at 888-808-5977 to set up your free consultation.

As the number of potentially lethal Takata Corp. airbags continues to rise, U.S. senators held a congressional hearing earlier this week to address the status of the largest automotive recall in history. According to the findings of the hearing, around 21 million defective Takata airbags have been repaired or replaced. But that accounts for less than half of the 50 million recalled airbags, affecting approximately 37 million vehicles. And this does not take in to account the millions of airbags that are still expected to be added to the massive recall.

Elected lawmakers questioned the rate of repairs and the actions of both regulators and the 19 automakers affected by the recall. Earlier this year, Ford Motor Co. announced a second death from a ruptured Takata airbag, which occurred over the summer of 2017 in West Virginia. This most recent death raises the total number of fatalities connected to Takata airbags to 22 worldwide. In addition, there have been more than 200 reported injuries connected to the rupturing airbags.

More than a year ago, Takata agreed to plead guilty to criminal charges for concealing the extent of their faulty airbags and pay $1 billion to be distributed to affected individuals, the U.S. government, and the automakers. Six months later, the Japanese seatbelt and airbag maker filed for bankruptcy and is in the process of selling their business to Key Safety Systems, owned by Ningbo Joyson Electric Corp, located in China.

But in the United States the National Highway Traffic Safety Administration (NHTSA) took over the recall to ensure it was carried out to completion. Senator Bill Nelson, who serves on the Commerce Committee that held the hearing, does not believe the NHTSA is doing a satisfactory job.

“NHTSA still seems to be playing a game of regulatory whack-a-mole and twiddling its thumbs when it comes to actually enforcing the coordinated recall approach and benchmarks for automakers,” said Nelson. “Overall, these completion rates are disappointing—unacceptable—and remain a cause of great concern.”

Of the 19 affected automakers, Honda Motor Co. was Takata’s largest client. Honda claims to have replaced or repaired around 14 million of the 18.5 million recalled airbags.

In a February 22 press release, Attorney General Bill Schuette’s office announced a settlement between the attorneys general of 44 states and the District of Columbia, and TK Holdings, Takata’s USA subsidiary over defective airbag allegations.

The multistate investigation sprang from allegations that Takata hid safety issues associated with its airbag systems, which auto manufacturers installed in millions of vehicles.

“TK Holdings, Inc.’s parent company pled guilty to manipulating data and submitting false and misleading reports to auto manufacturers,” the press release stated. TK Holdings knew about the airbag ruptures in 2004 but failed to recall the airbag inflators or notify officials or the public of the dangerous implications until November of 2014.

According to the release, Takata has agreed to pay a $650 million civil penalty and reimburse the multistate for its investigative costs. In light of Takata’s Chapter 11 bankruptcy and the limited amount of funds Takata has, the multistate agrees to prioritize financial recovery to consumers over the company’s penalty.

The settlement agreement includes a number of stipulations Takata must abide by, including 1) not representing its airbags as safe for use unless reinforced by reliable evidence, 2) not falsifying or manipulating testing data, and 3) cooperating with automakers to ensure replacement airbags are quickly made available.

If you or your family member suffered injuries due to a defective airbag, contact our injury attorneys at Newsome Melton to discuss potential options for compensation: 888-380-2809.

On January 9, 2018, GM filed its third Defect Information Report (DIR) with the National Highway Traffic Safety Association (NHTSA) regarding its vehicles equipped with Takata airbags, according to GM’s annual Securities and Exchange Commission (SEC) report. Along with the DIR, GM filed a third petition for inconsequentiality, which has yet to be publicly released.

The third petition argues the same point as the second petition, which stated: “GM has petitioned the [NHTSA] for a decision that, because of differences in inflator design and vehicle integration, the equipment defect determined to exist by Takata is inconsequential as it relates to motor vehicle safety in the GMT900 vehicles, and that GM should therefore be relieved of its notification and remedy obligations.”

In other words, because GM alleges that it integrates the defective airbags into its automobiles in a unique manner, the NHTSA should not require GM to recall vehicles with Takata airbags. “We do not believe there is a safety defect at this time in any unrecalled GM vehicles within scope of the Takata DIRs,” GM stated in its SEC report.

GM also stated that its company-funded research “supported the belief that the vehicles’ unique design and integration mitigates against inflator propellant, degradation and rupture risk,” the underlying reasons behind the massive Takata airbag recall.

The DIRs and petitions involve various GMT900 vehicles including the following:

• Chevrolet Silverado 1500
• GMC Sierra 1500
• Chevrolet Silverado 2500/3500
• GMC Sierra 2500/3500
• Chevrolet Tahoe
• Chevrolet Suburban
• Chevrolet Avalanche
• GMC Yukon
• GMC Yukon XL
• Cadillac Escalade
• Cadillac Escalade ESV
• Cadillac Escalade EXT

The NHTSA has yet to rule on GM’s petitions, and the company does not have to recall any vehicles until the agency makes its ruling. If the NHTSA decides that GM must recall all vehicles with defective Takata airbags, GM estimates the company cost at $1 billion.

If you or your family member was involved in an accident that was caused by a defective auto part, contact our product liability attorneys at Newsome Melton to discuss your legal options: 888-808-5977.