TIPM Class Action Settlement Approved With Rental Car & Full Repair Reimbursment

The Center for Auto Safety is the nation’s premier independent, member driven, non-profit consumer advocacy organization dedicated to improving vehicle safety, quality, and fuel economy on behalf of all drivers, passengers, and pedestrians.

August 17, 2015

 TIPM Class Action Settlement Approved With Rental Car & Full Repair Reimbursment

       CAS Criticizes NHTSA for Violating Safety Act & Not Knowing Chrysler Misled Agency

On August 17, 2015, a California District Court approved a landmark settlement in Velasco v. Chrysler Group LLC that obtained full reimbursement for the $1,100 to $1,200 repair cost of a TIPM-7 module and for the cost of rental – far beyond the $100 to $200 replacement cost of a fuel relay in the safety recall.  The Settlement Agreement signed by Chrysler shows the settlement agreement was reached in January 2015 and was contingent on Chrysler doing a safety recall of 2012-13 Grand Cherokees and Durangos.  The class action forced the recall.  NHTSA never opened an investigation into stalling on 2011-13 Chrysler SUVs for stalling caused by a defective TIPM-7 module despite the part going on national backorder in 2013.

The Safety Act requires NHTSA to grant or deny a defect petition in 120 days. NHTSA took 337 days to deny CAS’ Defect Petition, failed to obtain a single document from Velasco including ones that showed Chrysler began an investigation more than a year earlier than it told NHTSA, and used the 337 days to construct a strawman denial of the CAS Petition.

Statement of Clarence Ditlow

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Related Documents:

CAS Chrysler Defects Case Played a Key Role in Release of Trump University Documents – 6/8/16

CAS Letter to NHTSA – 8/18/15

Click here to view the Petition for Defect Investigation – 8/21/14

NHTSA Denial of CAS Petition for Defect Investigation – 7/24/15

Velasco v. Chrysler Proposed Settlement Agreement – 6/10/15

Velasco v. Chrysler Settlement Approval – 8/17/15

CAS TIPM Information Page