News & Insights

Cases & Deals

October 30, 2017

K&S obtained final approval in nationwide class action relating to certain Tacoma, Tundra and Sequioa vehicles

Attorneys at King & Spalding were retained as strategic resolution counsel to provide exit strategies for two class action lawsuits, Burns v. Toyota Motor Sales, U.S.A., Inc., No. 2:14-cv-02208 (W.D. Ark., filed 10/3/2014) and Warner et. al v. Toyota Motor Sales, U.S.A., Inc., No. 2:15-cv-02171 (C.D. Cal., filed 3/24/2015), that were filed against Toyota alleging inadequate rust protection in certain Toyota Tacoma vehicles, which were later expanded to include certain Tundra, and Sequoia vehicles.  After conducting extensive discovery and engaging in substantial settlement negotiations, Toyota and Class Counsel, acting on behalf of Plaintiffs and the Class Members, executed a Settlement Agreement to resolve both the Central District of California and Western District of Arkansas class actions.  The Court in the Central District of California preliminarily approved the Settlement Agreement on December 2, 2016 and the court in the Western District of Arkansas stayed the action pending the outcome of the Fairness Hearing in Warner.  The United States District Court for the Central District of California finally approved the settlement.  Three appeals were filed and dismissed with prejudice, with no further payment by Toyota.  With the dismissal of the last appeal on October 30, 2017, the settlement became final and began to be fully implemented, according to its terms.  The settlement provided for frame inspections and replacements and a claim reimbursement process for eligible class members.  Toyota also paid for attorneys’ fees and costs, notice and administration costs.