Tags: bmw | water damage | settlement

BMW Water Damage Settlement Worth $477M Filed

Image: BMW Water Damage Settlement Worth $477M Filed

A BMW water damage settlement worth $477.7 million was filed in U.S. District Court. (Saul Loeb/AFP/Getty Images)

By    |   Wednesday, 08 Feb 2017 12:07 PM

A BMW water damage settlement totaling up to $477.7 million was filed in U.S. District Court in New York City last week, covering about 318,000 U.S. car owners.

The settlement addressed a class-action lawsuit involving BMW 5 Series cars with electrical components in the vehicles' trunks that may have been sustained water damage, according to Reuters. If the settlement is approved, owners of the vehicles, model years from 2004 to 2010, could receive up to $1,500 reimbursement for prior repairs.

The settlement said sensitive electronic components located in the spare tire well of the trunk in some vehicles could have been damaged by either clogged sunroof drainage tubes or by some other means of water entering, according to Reuters.

The website AutoEvolution.com reported that the vehicle's Micro Power Module, which is located under the spare tire, could have been damaged by water, either from the owner spilling liquids or a wet spare tire, among other things.

The website said in 2012, when it first reported on the problem, that the Micro Power Module controls the entertainment, communication, and navigation features of the BMW 5 Series.

"The only protection that the module possessed was being placed on a Styrofoam element, but that is not enough for an electronic component that may experience water or excessive humidity," wrote Sebastian Toma, of AutoEvolution.com. "Some had accused BMW of knowing about the fault since 2004, when the E60 5 Series was introduced in production, but BMW denied any wrongdoing."

The settlement still needs to be approved by U.S. District judge Katherine Forrest, the website noted.

Reuters said vehicles with fewer than 120,000 miles that are less than 10 years old are eligible for a free inspection and repairs if needed. The news agency reported that Reuters faced lawsuits in New York and California over the electronics issue, and court documents do not reveal how many owners may seek reimbursement.

Reuters stated that BMW is also putting up nearly $1.8 million to cover legal fees and costs of the suing owners.

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A BMW water damage settlement totaling up to $477.7 million was filed in U.S. District Court in New York City last week, covering about 318,000 U.S. car owners.
bmw, water damage, settlement
338
2017-07-08
Wednesday, 08 Feb 2017 12:07 PM
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