Great News for Takata Airbag Victims

On Saturday, the law firm representing suit against the U.S division of Takata Corp confirmed that they hade received approval from Judge Brendan Shannon to proceed with a bankruptcy plan to resolve their massive lawsuit debt. The approval allows for a sale of the company’s assets amounting to $1.6 billion to compensate people who have been injured, or even killed by the defective airbags made by the company.

Last year, due to the largest recall in automotive history, TK Holdings Inc was forced to file for bankruptcy along with its parent company Takata. The airbags that the company produced had two major flaws. They would often deploy with more force than necessary, as well as spraying burning hot fragments of metal. At least 22 deaths have been linked to the defective airbags, as well as injuries in the hundreds.

The Motley Rice law firm who represented the injured drivers in the case was glad to announce the news. They have high hopes that the two dozen plus clients they represent will be able to use the settlement to move on with their lives. The settlement is being provided by the bankruptcy claim in conjunction with contributions from the automotive manufacturers that had the airbags installed in their vehicles.

The majority of Takata, including the U.S. division, is being dissolved in the bankruptcy claim and all airbag production involvement by the company will be ended. Key Safety Systems, a Chinese technology company will, be buying out the portion of Takata not related to airbags.

Previous articleAdient stumbles, but barrels ahead
Next articleGM’s Korea retrenchment gets an early start
Carl Michael
Carl Michael captivated with the gleaming catches inside his awesome uncle's Buick Electra, it didn't take him long to get snared on the auto culture; both in the city and in hustling. Carl has worked for a noteworthy oil organization as a business agent covering a region of 40 corner stores. A while later, he turned into an escort to high positioning legislators and government authorities. Through happy stories, he investigates the connection amongst Driver and Machine. When he is not caught up with expounding on autos, he appreciates driving his 1997 Lincoln Mark VIII LSC or his 2001 Ford F150 7700.