Class-Action Lawsuit Could Collapse Ford Motor Co., Lawyer Says
By Richard Seward
Published on May 24, 2007
More than 414,000 California consumers who purchased Ford Motor Co.'s Explorer SUV are part of the lawsuit that could potentially jeopardize more than $2 billion in profits Ford earned in the sale of its popular automobile.
The focus of the lawsuit is Ford's marketing of the vehicle, and the company's alleged knowledge of the vehicle's unsafe design. According to the lawsuit, the auto maker was aware that its vehicle was prone to roll-overs due to its high center of gravity, yet still continued to market its safety and reliability.
The attorney for the plaintiffs claims that the Explorer is one of the country's most dangerous vehicles, citing independent studies that show the vehicle tends to roll over during evasive maneuvers performed at speeds of more than 40 mph. Furthermore, he alleges that Ford was aware of this hazard but was influenced by profits more than consumer safety and pushed forward with production of the vehicle without altering its design.
The lawsuit also claims that Explorer owners in California collectively lost approximately $500 million in vehicle depreciation when the alleged defects were made known to the public.
This lawsuit comes on the heels of earlier nationwide suits involving the Explorer and its use of potentially defective tires.
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