GM sues steering column supplier
Business Law
General Motors Co. has sued a supplier over problems with steering columns that have so far cost the automaker more than $30 million to fix.
The Detroit automaker is seeking damages from JTEKT North America Inc. and subsidiary JTEKT Automotive Virginia Inc. for problems associated with steering products used in the Chevrolet Cobalt and other GM vehicles since 2005.
GM claims the steering columns "had excessive gear backlash, thereby causing the columns to rattle under certain driving conditions."
Problems with the parts resulted in an "unexpectedly high number" of warranty claims and complaints about "unusual rattles, 'clunks' or other noises emanating from the steering assemblies in their vehicles," GM alleges in the lawsuit, originally filed in Macomb County Circuit Court but moved last week to federal court in Detroit.
While the problem has already cost GM more than $30 million, the automaker said it expects the bill will rise as GM customers file additional warranty claims.
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