AGs oppose Honda class action settlement

Legal Newsline reports on Center for Class Action Fairness' objection to a Honda settlement that provides the plaintiff lawyers with a huge payout at the expense of the class members.

Twenty-five state attorneys general and the Center for Class Action Fairness are objecting to a proposed class action settlement with Honda that would allow attorneys to pocket $3 million while providing small refunds and DVDs on saving gas to consumers.

The case involves allegations that Honda misrepresented the fuel efficiency of its Civic Hybrid. Under the settlement, owners who trade in their car for certain other vehicles could get up to $1,000 on rebate or $100 in cash if they previously complained. Those who do not still own the car would get a $500 coupon.

"The receipt of coupons with strict limitations on transferability, duration, and use, coupled with a DVD containing information on how to improve fuel economy that is likely already available for free on the Internet, does not amount to meaningful relief for unnamed class members."

The CCAF says a similar settlement over Ford Explorers last year gave more than $20 million to attorneys while only 75 $500 coupons were redeemed.

The group's objection says attorneys should only recover fees if a certain amount of coupons are redeemed.

Read the full article at Legal Newsline.