BUSINESS
April 19, 2010 | By Ralph Vartabedian and Ken Bensinger
Toyota will agree to pay a record $16.4-million fine for hiding safety defects related to sudden acceleration in 2.3 million vehicles but will stop short of accepting full legal responsibility for purposely withholding safety information, federal safety regulators said late Sunday. Toyota failed to notify the National Highway Traffic Safety Administration for at least four months after learning that the accelerator pedals in some of its vehicles could stick and cause unwanted acceleration, regulators say. Under federal law, automakers are required to disclose defects within five business days.
BUSINESS
April 8, 2010 | By Ralph Vartabedian and Ken Bensinger
An executive for Toyota Motor Corp. in January urged colleagues in an e-mail to "not mention about the mechanical failures" of accelerator pedals in its vehicles, prompting a response from the company's top U.S. spokesman that said, "We are not protecting our customers by keeping this quiet," according to internal company documents reviewed by The Times. "The time to hide on this one is over," the e-mail from spokesman Irv Miller continued. "We need to come clean." The exchange, which occurred just days before a massive recall of Toyota vehicles to repair accelerator pedals, is the clearest indication so far that the Japanese carmaker was debating internally when to disclose that its accelerators pedals could become stuck and cause drivers to lose control of vehicles.
BUSINESS
March 14, 2010 | By Carol J. Williams
On a summer day in 1911, Donald MacPherson was driving his Buick runabout to Sarasota Springs, N.Y., when the wooden spokes snapped on a rear wheel, flipping the open car and trapping him under the rear axle. MacPherson suffered a badly lacerated eye and a broken wrist so painful he couldn't grip the tools he needed to ply his craft as a stone cutter. He sued Buick Motor Co., alleging negligence in failing to ensure the wheel was roadworthy. In what would become a landmark ruling in product liability law, the New York Court of Appeals in 1916 awarded MacPherson $5,025 in compensation -- about $115,000 in today's dollars -- and established the automaker's "duty of care" to ensure customers are sold a safe product.
BUSINESS
March 14, 2010 | By Ken Bensinger and Ralph Vartabedian
Federal regulators in 2007 asked Toyota Motor Corp. to consider installing software to prevent sudden acceleration in its vehicles after receiving complaints that vehicles could race out of control, company documents show. Yet the automaker began installing the safety feature, known as brake override, only this January after a widely publicized accident involving a runaway Lexus ES that killed four people near San Diego. Safety regulators acknowledged late last week that they pressured Toyota anew last fall to consider the override software in the wake of that crash, which set off a chain of events leading the company to issue nearly 10 million recall notices worldwide.
BUSINESS
March 11, 2010 | By Nathan Olivarez-Giles
Federal inspection of the runaway Toyota Prius that took a wild ride on a San Diego County freeway was delayed several hours Wednesday when a California congressman insisted that someone from his office witness the examination. A team of inspectors from the National Highway Traffic Safety Administration was already at Toyota of El Cajon examining the car -- which reportedly had a stuck accelerator, causing it to speed for half an hour before the driver got it stopped -- when a staffer from the office of Rep. Darrell Issa (R-Vista)
BUSINESS
March 5, 2010 | By Ken Bensinger and Ralph Vartabedian
More than 60 drivers have complained of sudden acceleration incidents despite the fact that their cars were repaired by Toyota Motor Corp. in the current recalls, new data released Thursday show. The latest figure, released by the National Highway Traffic Safety Administration, significantly increases the total number of complaints involving repaired vehicles, which was less than 10 on Tuesday. The new complaints allege several accidents and at least three injuries resulting from runaway unintended acceleration despite the vehicles' undergoing a series of modifications at Toyota dealerships designed to resolve the issue.