Honda Civic Hybrid owner wins $9,867 in small claims court

Award is greater than damages she would have received through class action settlement

A Civic owner who refused to join a class action settlement against Honda Motor Corp. is reaping the rewards of her decision.

In 2007, a group of Civic Hybrid owners filed a class action lawsuit against the Japanese carmaker, claiming the car’s actual fuel economy didn’t match the company’s claims. Civic Hybrid owner Heather Peters opted out of the class action suit when she learned that the proposed settlement would pay trial lawyers $8.5 million, while class members would receive $200 cash and a $500 or $1,000 rebate to purchase a new Honda. Instead, Peters took her complaint to small claims court.

Yesterday, Los Angeles County Superior Court Commissioner Douglas Carnahan ruled that Honda misled Peters by claiming her vehicle could get 50 mpg when in actuality it got much less. The court awarded Peters $9,867 in damages, which is just slightly less than the maximum $10,000 allowed in small claims court, and much larger than the award she would have received through the proposed class action settlement.

CBS News reports that Honda will appeal the verdict because the Environmental Protection Agency, not automakers, estimates vehicles’ fuel economy.

Peters, a former lawyer, is planning to reactivate her state license so she can represent other Civic Hybrid owners in litigation against Honda. She says about 500 car owners have contacted her through her website, DontSettleWithHonda.org.

Comments

InsideScoop Daily eNewsletter

InsideScoop delivers the latest-breaking news affecting in-house counsel. Get the latest business trends, current corporate litigation, labor developments, technology initiatives and more — FREE. Sign up now!

You have been subscribed! You will receive a confirmation email soon.

See the entire list of InsideCounsel eNewsletters.

Resource Library


Bring the Benefits of Decision Tree Analysis to Your Everyday...

In this on-demand webinar, learn how to counter the challenges of litigation with predictive analytics...

13 Things to do Now to Reduce Risk and Avoid...

We have developed best practices for lowering your e-Discovery costs, shortening the length of your...

7 Simple Strategies for Improving Legal Fee Budgeting Certainty

Understanding the legal fee budgeting paradigm and following seven simple strategies will help you control...

Complimentary White Paper: Best Practices for Meeting Critical eDiscovery Challenges

Packed with practical advice, this white paper discusses best practices for meeting eDiscovery challenges across...

Complimentary White Paper "Key Considerations for Collection Methodologies and Resources"

This white paper addresses the need for companies to reevaluate their current collection policies in...

Moving Matters In-House: How Technology Enables Legal In-Sourcing

Strategically shifting more matters to in-house counsel has proven to be an effective strategy to...

5 Ways to Promote Responsible Content Sharing

Find out five ways that organizations can promote responsible sharing of content among employees by...

Reducing the Costs of eDiscovery from Collection to Court!

Predictive coding is only one of many ways organizations can make eDiscovery faster, cheaper and...

Discovery Shifts to the Cloud

Adoption of Cloud computing continues to gain momentum. How can IT and Legal Teams avoid...

Lower Your Total Cost of Ownership

With the deployment of Proofpoint Enterprise Archive, organizations have realized significant cost savings in automating...

View All »

Advertisement. Closing in 15 seconds.