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GM Compensation Fund to Begin Accepting Claims

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Jarod Cassidy3 years ago

General Motors confirmed Thursday that it will be launching a compensation program for victims and families of victims killed or injured as a result of the automaker’s defective ignition switches and that the program will begin accepting claims beginning August 1st.

“Pay Czar” Kenneth Feinberg to Determine Scope of Compensation Fund

In a news conference held on Thursday, GM stated that the scope and how much money is spent on victim compensation will be determined by Feinberg.

While GM CEO Mary Barra deferred comments on whether GM’s official recall death count would rise with the information released as part of Anton Valukas’ internal investigation, she did comment that the compensation fund would work to include all families and victims affected by the faulty part.

When confronted with questions on whether GM would be counting backseat deaths or deaths that occurred as a result of side impacts, GM’s president Dan Ammann and executive vice president Mark Reuss indicated that the formula by which the automaker will link deaths to the faulty switches is still being considered.

The executives also stated that Feinberg would be reviewing all claims individually to determine each claim’s connection to the switch as well as the claim’s worth

The compensation program will be accepting claims beginning August 1st.

About the GM Recall Ignition Switch Recall

In February and March of 2014, GM recalled roughly 2.6 million vehicles equipped with faulty ignition switches which could shift out of the “run” position and into the “accessory” or “off” positions while the vehicles were being driven.

This shift would result in a sudden reduction or loss of power to the vehicles engine, potentially resulting in the loss of important safety features, such as power steering and anti-lock brakes, and airbag non-deployment in the event of a collision.

General Motors has confirmed 13 deaths linked to the recall; however, analysis of federal crash data by watchdog groups and news agencies place the death toll much higher.

Vehicles affected by the recall include:

Thomas J. Henry Representing More than 1,000 GM Recall Victims

Thomas J. Henry is representing more than 1,000 GM recall victims across the United States and has been investigating injuries and deaths linked to the recall since day one. The firm launched a nationwide media investigation into the recall in April, which brought forth thousands of affected individuals who had information critical to the investigation – information that the firm has handed over to federal agencies also investigating GM’s sluggish response the recall.

As more and more individuals have flocked to Thomas J. Henry for representation, the firm has continued to push GM for a victim settlement fund. The firm has had several talks with GM’s victim compensation expert Ken Feinberg regarding appropriate victim compensation for the thousands affected by a fatal design flaw in ignition switches which left numerous dead and countless others seriously injured. 


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