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FCA to appeal reduced judgment in Georgia Jeep case

FCA is appealing the $40 million verdict against it in a case in Georgia where a four-year-old boy died in a fire in a Jeep Grand Cherokee, according to The Detroit News. The jury originally awarded the child's family $150 million, but the judge decided to significantly to reduce the amount based on other precedents. The automaker has been considering further legal options since the decision was announced in July. The boy's death happened in 2012 when he was riding in a Grand Cherokee. The vehicle was rear-ended, and the fuel tank burst, causing a fire. This is the same issue that led to a recall of millions of the SUVs and a recent agreement with the US government from FCA to pay to get them fixed. In the original ruling, the jury said that the automaker was 99 percent responsible for the fatality and didn't adequately warn owners. It asked the company to pay $120 million for wrongful death and $30 million for his pain and suffering. FCA countered that the Jeeps met the safety standards of the time they were made. FCA requested that the jury's award be reduced in May calling the amount "grossly excessive." If the family didn't agree to a lower amount, the company also threatened to seek a new trial. Among the arguments was that $30 million was too much for the child's one minute of suffering. The parents did accept the judge's adjusted figure, though.

Jeep readying 2018 and 2019 Wrangler recall for bad frame welds

According to documents posted to the JL Wrangler Forums, Jeep is readying a recall for an unknown number of 2018 and 2019 model-year Wrangler SUVs. The issue revolves around the track bar mount, which on some vehicles is shearing off where it is welded to the frame. Since some affected vehicles may be unsold on dealer lots, the automaker has issued a corresponding stop sale. A Jeep spokesperson confirmed to CNET that there have been no reported accidents related to the issue, and Jalopnik reports that Jeep will inspect roughly 18,000 vehicles for the defect, though it believes only around 720 will be affected. As of the time this story was published, the National Highway Traffic Safety Administration had not yet posted this recall to its website. There have been a total of five recalls for the 2018 Jeep Wrangler, including one for a steering shaft that could separate due to improper welding. One 2018 Jeep Wrangler owner in North Carolina posted a video to YouTube, seen above, showing track bar mounts that have completely sheared away from the vehicle's frame. These broken welds may cause severe steering degradation and "can cause a vehicle crash without prior warning," according to a dealer notice that was posted to the JL Wrangler Forum. That owner has said Jeep is replacing his Wrangler, but it's not clear if other vehicles are being replaced or repaired. Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Fiat Chrysler to pay $800M in Jeep, Ram emissions cheating case

WASHINGTON — Fiat Chrysler Automobiles NV has agreed to a settlement worth about $800 million to resolve claims from the U.S. Justice Department and state of California that it used illegal software that produced false results on diesel-emissions tests, but still faces an ongoing criminal probe. The hefty penalty is the latest fallout from the U.S. government's stepped-up enforcement of vehicle emissions rules after Volkswagen AG admitted in September 2015 to intentionally evading emissions rules. The Fiat Chrysler settlement includes $311 million in total civil penalties to U.S. and California regulators, up to $280 million to resolve claims from diesel owners, and extended warranties worth $105 million. It covers 104,000 Fiat Chrysler 2014-16 Ram 1500 and Jeep Grand Cherokee diesels, the Justice Department said. Regulators said Fiat Chrysler used "defeat devices" to cheat emissions tests in real-world driving. Fiat Chrysler said in a statement that "the settlements do not change the Company's position that it did not engage in any deliberate scheme to install defeat devices to cheat emissions tests." The company did not admit liability. "You wouldn't pay $311 million total dollars to the federal government in civil penalties if there were not a serious problem," U.S. assistant attorney general Jeff Clark told a news conference. The settlement also includes $72.5 million for state civil penalties, and $33.5 million in payments to California to offset excess emissions and consumer claims. German auto supplier Robert Bosch GmbH, which provided the emissions control software for the vehicles, also agreed to pay $27.5 million to resolve claims from diesel owners. Owners will receive an average of $2,800 to obtain software updates as part of the emissions recall, Fiat Chrysler said. Elizabeth Cabraser, a lawyer for the owners, said the "substantial cash compensation" will ensure that consumers get the recall fix. Bosch, which also provided diesel emissions software to Volkswagen, also agreed to pay $103.5 million to settle claims with 47 U.S. states that said the supplier "enabled" the cheating and should have known its customers would use the software improperly, the New York Attorney General's Office said.