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FCA seeking new trial in Jeep fire case, calls $150M judgement 'grossly excessive'

Fiat Chrysler Automobiles is fighting back after a Decatur County, GA jury ordered the company to pay $150 million to the family of a four-year-old boy that was killed after a 1999 Jeep Grand Cherokee crashed and caught fire. The company is requesting the judge reduce the award, and should Walden's family not agree to the lower sum, that a new trial be held. The Detroit Free Press reports that FCA would be forced to pay $120 million over the death of young Remington Walden, with an extra $30 million being paid to the boy's family. Neither figure sits well with the automaker, though, which called the fine "grossly excessive," and claimed it was in violation of Georgia state law. The judgment stems from FCA's long-running problem with the fuel tanks of certain Jeep models built in the 1990s and 2000s. According to the newspaper, FCA argues that the jury was biased after the Waldens' attorneys played on the their passions and pushed for a big award, saying the wrongful death award was 11 times more than any appeals court has ever upheld. FCA said attorneys for the plaintiffs told the jury to base the settlement on Sergio Marchionne's total compensation, $68 million. FCA also claims in its motion that the young boy's suffering was brief. "A $30-million pain-and-suffering award for what plaintiffs acknowledge was at most one minute of suffering is irrational," the motion, which was obtained by The Detroit Free Press, read. "Where such plainly improper arguments are immediately followed by irrational and stunningly excessive damage awards, there can be no doubt that the jury acted from passion and prejudice." Jim Butler, the attorney for the Waldens, has called the motion "nonsense," although he said the family will accept whatever figure the judge sets.

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.

Stellantis will build four electric vehicles in Italy, say union reps

MILAN — Stellantis will produce four medium-segment electric vehicles, of different brands, at its Melfi plant in southern Italy from 2024, the UILM union said on Tuesday. Since Stellantis was formed at the beginning of this year through the merger of Fiat Chrysler and France's PSA, production in Italy has been under scrutiny for costing more than elsewhere in Europe. "Stellantis announced that Melfi would be the first plant in Italy to get new models, based on post-2022 business plan," UILM said in a statement after workers' representatives met with the carmaker at Italy's industry ministry in Rome. Future production at Melfi will be based on a single enhanced production line that will merge the two existing ones, the union said, adding the restructuring will leave production capacity at the site unchanged at around 400,000 units. UILM's head, Rocco Palombella, said unions had not received all the answers they wanted as Stellantis was still working on its new business plan. "But the positive element is that the company has not absolutely called for structural redundancies," he said after the meeting. Stellantis Chief Executive Carlos Tavares has said the group would present its business plan late this year or in early 2022. Stellantis, the world's fourth-largest carmaker, gave no details about what was discussed at the meeting. In an earlier statement the company said it was working "with determination and speed" to support the energy transition of all its Italian sites. Italy's Industry minister, Giancarlo Giorgetti, however, said in a separate statement after the meeting that Stellantis had yet to decide where it would build its third electric battery plant in Europe. Stellantis, which already has two battery factory projects in France and Germany, has said adding gigafactories in Europe and the United States would be decided this year. The company is holding talks on this with Rome, as Italy is one of its main production hubs in Europe. Related video: Green Plants/Manufacturing Alfa Romeo Fiat Jeep Citroen Opel Peugeot Stellantis