General Motors may be facing a nationwide class action following its multiple recalls of nearly 30 million vehicles worldwide. Plaintiffs will claim the value of their GM vehicles has suffered because the brand itself has been damaged.
A case of this magnitude, however, faces challenges, said Cari Dawson, chair of the firm’s Class Action Practice, adding that many states require plaintiffs to suffer an actual injury, and GM could challenge some class representatives’ standing.
The biggest challenge for the plaintiffs will be to prove an actual loss of vehicle value due to the recalls. “That can be a challenge to prove because, in certain instances, looking at the various price variables and different models and different model years, you might see values go up,” she said.