Toyota has agreed to pay $3.4 billion to settle a class action lawsuit brought by US truck owners who claimed their vehicles lacked adequate rust protection.
The federal lawsuit covers owners of about 1.5 million vehicles — 2005-10 Tacoma mid-sized pickups, 2007-08 Tundra full-sized pickups and 2005-08 Sequoia full-size sport utility vehicles — alleging that the lack of corrosion protection could be severe enough to rust though frames.
The settlement, filed with U.S. District Court Judge Fernando M. Olguin in Los Angeles without admittance of liability or wrongdoing on the part of Toyota, estimates the replacement of each vehicle’s frame at $15,000 each, following inspections estimated to cost $60 per vehicle (total costs are $3.375 billion and $90 million, respectively).
Following the inspection, which Toyota will perform for 12 years following the date of purchase or lease, will decide whether to replace the frame or pay out the equivalent cost to the owner. They will also reimburse owners who have already paid for frame repairs or replacement.
“We want our customers to have a great ownership experience, so we are pleased to resolve this litigation in a way that benefits them and demonstrates that we stand behind the quality and reliability of our vehicles,” said a company statement.