August 10, 2017 / 9:10 PM / in a year

Judge in GM ignition switch suit reverses course on economic loss claims

A federal judge in Manhattan has reconsidered his previous decision and allowed plaintiffs who sold their General Motors cars before a February 2014 recall over defective ignition switches to move forward with economic loss claims.

Judge Jesse Furman of the U.S. District Court for the Southern District of New York said on Wednesday he had been “too hasty” in ruling in June that plaintiffs who disposed of their vehicles before the recall notice was issued could not have realized any diminished value in their vehicles to claim economic losses.

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