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Toyota Canada Settles Recall Claims

Fri, 08/23/2013 - 2:00pm
The Canadian Press

TORONTO - Toyota Canada says it has agreed to settle consumer claims related to losses stemming from its recalls in 2009 and 2010.

About 14,500 Lexus RX350 and RX450h models from the 2010 model year were recalled because of suspected throttle control problems

The Canadian recalls were part of Toyota’s global recall of more than 14 million vehicles to fix various problems that included sticky gas pedals and floor mats.

A statement from law firms involved in the case say the class action settlement is pending approval by Ontario, Quebec, Nova Scotia and Saskatchewan courts.

If approved, the settlement will cover claims against Toyota on behalf of all Canadian owners of Toyotas with an electronic throttle control system.

Eligible owners will receive an enhanced warranty for a minimum of three years to cover repairs and to have their vehicles equipped with a brake override system. If their vehicle is ineligible for the free system, owners will get cash instead.

In addition, Toyota has agreed to fund scholarships at four Canadian engineering schools totalling $600,000.

"It's a relief to know that Toyota will be offering substantial benefits to a very large number of Canadian consumers in order to resolve these actions" said representative plaintiff Steven Hamilton in a statement.

"I think that this is a fair settlement for Toyota owners across the country."

Toyota Canada said in a statement that "turning the page on this legacy legal issue is in the best interests of the company, employees, dealers and, most of all, customers."

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