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ARTICLE ID 191899

$________-$3.________ WITH $1.9 MILLION ATTORNEY FEES Consumer Fraud – BMW settles with class for minis sold with defective transmissions – Out-of-pocket expenses and/or loss of vehicle value at resale.

U.S.D.C. - Central District of California

This class action lawsuit resolved claims of consumers respecting defects in a popular BMW Mini Cooper model. The matter was resolved via settlement in the United States District Court for Central District of California. The case involved the first generation of defendant BMW’s Mini Cooper automobile line. At the time of sale, the plaintiffs in this matter, all consumers who bought the vehicle, asserted that its CVT transmission system was flawed, causing amongst other things, loss of forward propulsion, delayed acceleration, and total transmission failure while driving.

The plaintiffs filed suit in five separate class action lawsuits in ________, with the total estimated claimants numbering in the tens of thousands. The matter was consolidated in the United States District Court for the Central District of California, where the plaintiff sought damages for fraud and truth-in-lending action from BMW of North America, LLC. The plaintiff asserted that the company had knowingly allowed a defective and dangerous product on the market, and further acted to conceal the defective nature of their product to further sales. The plaintiffs sought recovery of money lost through sale-at-loss, repair costs, and other damages, as well as attorney fees and court costs.

In its complaint, the plaintiff asserted that BMW knew of the Mini Coopers’ transmission defects as early ________, and hid the defects from its customers. Further, they intended to show that as early as ________, the defendant began issuing safety bulletins to its dealers, indicating that they knew of the dangers posed by the vehicles’ transmission issues. The plaintiff also brought as evidence dozens of consumer complaints filed with the National Highway Traffic Safety Administration in which the defect is described as "widespread and dangerous, expensive to repair, and that it manifests without warning.” The plaintiff showed that approximately ________ of its Mini Coopers were repaired at their own facilities, with an unknown number taken to third party facilities for repair.The matter was resolved via pretrial settlement with the defendant BMW, who agreed to pay out-of-pocket expenses for VINs in the class, restricting the class to vehicles no more than eight years/________ miles. The settlement included reimbursement of out-of-pocket repairs at authorized BMW dealers and at non-BMW locations. Out-of-pocket repair reimbursement at non-BMW locations was capped at $________ per vehicle. Additionally, the settlement includes payment of up to $________, $________ and $________ for Mini Coopers (respectively ________-3, ________-5, and ________-8) which were sold at a loss as a result of a transmission failure. The settlement additionally authorizes up to $________ to lead plaintiff Brad A., and $________ to the other named plaintiffs from the original suits. Finally, the suit awards Baron & Budd $________ in attorneys’ fees.

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