Kansas City, MO: (Mar-25-08) A class action lawsuit was brought against General Motors, over the use of Dex-Cool, an alleged "extended life" coolant, an orange-colored fluid sold in millions of GM cars and trucks beginning in 1995. Plaintiffs claimed that GM vehicles with Dex-Cool began to develop problems ranging from coolant leaks to complete radiator and engine failure. In a recent development in the case, company officials announced that General Motors had reached a settlement in the class action suit, in which it agreed to reimburse class members between $50 to $800 for repairs associated with problems related to Dex-Cool. Sources estimated that the settlement could run into the hundreds of millions of dollars, depending on the number of claims.
The lead counsel in the case, estimated that the settlement could cover as many as 20 million initial and secondary buyers of GM vehicles that used Dex-Cool. The company, however, stated that in agreeing to settle, they don't admit any liability and that they believed that Dex-Cool protected engines for longer periods than traditional coolants. Company spokespersons said that the coolant caused less wear on certain engine parts and provided various environmental benefits. They also claimed that owners who experienced engine and cooling system problems had not followed maintenance instructions.
As per the terms of the settlement agreement, the attorneys will receive up to $16.5 million in attorneys' fees and maximum expenses of $1.55 million. The agreement will cover brand names including Buicks, Chevrolets, Oldsmobiles and Pontiacs with 3.1-liter or 3.4-liter V6 engines for model years 1995 through 2003; the same four brands with 3.8-liter V6 engines for model years 1995 through 2004; and Chevrolets, GMC small trucks and Oldsmobiles with 4.3-liter V6 engines for model years 1995 through 2000. [
