Toyota has been hit with an avalanche of lawsuits that could cost the company billions of dollars following its recall of more than 8 million vehicles worldwide over sudden unexpected acceleration, including about 6 million in the United States. The National Highway Traffic Safety Administration has linked 52 deaths to the accelerator problems, which Toyota has blamed on pedals that sometimes stick, or floor mats that can snag the pedals.
Mark Geragos, a Los Angeles lawyer best known for representing celebrities including Michael Jackson and Winona Ryder, said the Toyota lawsuits could set a new standard for corporate litigation.
“This is probably the greatest opportunity to change, or at least expose, corporate malfeasance that I’ve seen in my lifetime,’’ Geragos said. “Yeah, it’s going to be a lot of money, maybe. But you’re going to be remembered for doing something.’’
As they sipped coffee and exchanged business cards at a downtown hotel ballroom, lawyers from around the country used the gathering to compare notes about what might work in a lawsuit against Toyota, what laws are most effective, and what defenses Toyota could offer. Toyota itself did not participate in the session and declined to comment on the gathering.
A central question for the lawyers, and for today’s panel of judges, is where the cases should be consolidated. Already on the table are 19 jurisdictions, including California, Florida, Ohio, Kentucky, and Puerto Rico, according to court documents. But the panel is not required to pick from that list.
The panel of seven judges — formally known as the US Judicial Panel on Multidistrict Litigation, or MDL — will decide whether to combine dozens of proposed class-action lawsuits filed by Toyota owners who claim their vehicles have dropped in value because of the recalls. Those owners also claim that Toyota has not been forthcoming about the possible role its electronic throttle controls played in the acceleration incidents, which Toyota has repeatedly denied.
