Aspen Claims Service

Bankruptcy Order Could Shield GM from Ignition Switch Claims

 Thursday, March 20, 2014

 Insurance Journal

Lawyers looking to sue General Motors Co. after its global recall of 1.6 million vehicles over an ignition defect may find their path blocked by a judge’s order five years ago in the company’s reorganization. Allegations about deaths or economic losses occurring before July 2009 were barred by a bankruptcy judge when he approved the sale of the automaker’s assets to the new GM. Attorneys are now examining pre-bankruptcy deaths and claims with a view to getting the ban lifted.