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GM isn't liable for punitive damages in ignition switch cases

NEW YORK — A federal appeals court said General Motors is not liable for punitive damages over accidents that occurred after its 2009 bankruptcy and involved vehicles it produced earlier, including vehicles with faulty ignition switches. The 2nd U.S. Circuit Court of Appeals in Manhattan said on Tuesday that the automaker did not agree to contractually assume liability for punitive damages as part of its federally-backed Chapter 11 reorganization. GM filed for bankruptcy in June 2009, and its best assets were transferred to a new Detroit-based company with the same name. The other assets and many liabilities stayed with "Old GM," which is also known as Motors Liquidation Co. Tuesday's 3-0 decision may help GM reduce its ultimate exposure in nationwide litigation over defective ignition switches in several Chevrolet, Pontiac and Saturn models. It is also a defeat for drivers involved in post-bankruptcy accidents, including those who collided with older GM vehicles driven by others, as well as their law firms. The ignition switch defect could cause engine stalls and keep airbags from deploying, and has been linked to 124 deaths. A lawyer for the drivers and their law firms did not immediately respond to requests for comment. GM had no comment. Circuit Judge Dennis Jacobs said GM's agreement to acquire assets "free and clear" of most liabilities excused it from punitive damages claims for Old GM's conduct. He also noted that the judge who oversaw the bankruptcy concluded that the new company could not be liable for claims that the "deeply insolvent" Old GM would never have paid. The decision upheld a May 2018 ruling by U.S. District Judge Jesse Furman in Manhattan, who oversees the ignition switch litigation. Drivers have sought a variety of damages in that litigation, including for declining resale values. GM has recalled more than 2.6 million vehicles since 2014 over ignition switch problems. It has also paid more than $2.6 billion in related penalties and settlements, including $900 million to settle a U.S. Department of Justice criminal case. The case is In re: Motors Liquidation Co, 2nd U.S. Circuit Court of Appeals, No. 18-1940. Government/Legal Chevrolet Pontiac Saturn Safety gm ignition switch

Weekly Recap: Bentley Bentayga leads luxury SUV charge at Frankfurt

The Bentley Bentayga is launching a new era of ultra high-end sport utility vehicles that will see luxury makers vie for the world's richest and most exclusive customers. The Bentayga is Bentley's first SUV, and it will formally debut next week at the Frankfurt Motor Show. It's loaded with Bentley's best technology and features, led by a 600-horsepower W12 engine. The mission is simple: stop giving up sales to other companies by not having an SUV in its portfolio. "It creates an entirely new category of ultra-luxury SUV, where there are currently few rivals," IHS Automotive analyst Ian Fletcher said in a report. But Bentley and the Bentayga will soon face stiff competition. Archrival Rolls-Royce will produce its own crossover to be built in England, though timing is unclear. Lamborghini has approved plans for a ute that will be assembled in Italy and launch in 2018. Even the sportier British brands are getting into the market. Aston Martin will make a crossover version of the DBX concept shown earlier this year in Geneva, and Jaguar is launching the F-Pace crossover, which will debut in Frankfurt. These new entries will invigorate a segment that's comprised of the Mercedes G63 AMG and the Land Rover Range Rover SV Autobiography, and Bentley is poised to grab a large share of it, Fletcher noted. IHS forecasts Bentayga sales could hit 3,000 units per year in 2017 and 2018, pushing total Bentley sales to more than 10,000 in the next few years. The vehicle will also get plug-in hybrid and diesel variants to widen its reach. The Bentayga is a sales grab, for sure, but Bentley took care to ensure the SUV remained true to the brand. It's laden with the top-shelf wood, leather, and metal, and it comes standard with an expansive panoramic glass roof. It also has intelligent features like electronic night vision and an optional responsive off-road system that can be configured to adapt to eight different settings. It's a different kind of Bentley, but it's a harbinger of things to come for the world's richest luxury makers. Other News & Notes Toyota debuts next-gen Prius Toyota revealed the next-generation of its iconic fuel-sipping hybrid, the 2016 Prius, at an event in Las Vegas. The car promises 10-percent gains in fuel efficiency, though actual figures – and even powertrain specifics – were not revealed. We estimate that could mean about 56 miles per gallon in city driving and 53 on the highway.

German police Corvette promotes safe aftermarket tuning

The German organization Tune It! Safe! promotes safe, legal vehicle tuning in the country, and it probably doesn't have to worry about anyone breaking the law when this Polizei-themed Chevrolet Corvette is on the scene. The Vette is on display at the Essen Motor Show and is the group's latest police-wrapped tuner car, following models like the Brabus Rocket, Mercedes-Benz CLS, and AC Schnitzer-tuned BMW 123d in years past. Tikt Performance did the tuning this time, and the German company added a full carbon-fiber body kit for the Vette, including a front lip, side sills, rear spoiler, and relatively understated wheel flares. It also installed forged wheels that measure 19-inches in front and 20-inches in back and wrapped them with Hankook Ventus S1 Evo tires. To really let the coupe look the part of a proper Polizei car, the tuners included police lights from Hella and the appropriate blue-and-white wrap. Tikt left the 6.2-liter V8 alone to produce 460 horsepower and 465 pound-feet, and the power routes through a seven-speed manual. Even with the stock performance, this police-themed 'Vette would still look fantastic blasting down the Autobahn with the lights flashing. World premiere at the Essen Motor Show: initiative for safe tuning starts the new campaign year with TIKT Performance Corvette A powerful look for a powerful campaign: TUNE IT! SAFE! presents innovative design and maximum precision Innovative design, maximum precision and unique performance – with an enhanced Corvette, TUNE IT! SAFE! shows that attractive, creative tuning in no way has to conflict with legal requirements. In the new campaign year, the seventh generation of a sports car icon stands as a symbol and shining example of safe automobile tuning and 100 per cent driving fun. The campaign car of the initiative for safe tuning, sponsored by the Federal Ministry of Transport, the Association of Automobile Tuners (VDAT) as well as numerous other organisations and institutions, sees its premiere at the Essen Motor Show (Hall 10, Stand F104). TUNE IT! SAFE! also continues its partnership with premium tyre manufacturer Hankook. Tuning specialist TIKT Performance based in Upper Bavaria is responsible for the innovative conversion of the new TUNE IT! SAFE! police car.