Coordination Proceeding Special Title (Cal. R. Ct. 1550(b)) Automobile Antitrust Cases I, II
Published: Feb. 10, 2023 | Result Date: Oct. 31, 2022 | Filing Date: Oct. 6, 2003 |Case number: CJC-03-004298 and CJC-03-004303 Settlement – $82,000,000
Judge
Court
San Francisco County Superior Court
Attorneys
Plaintiff
Todd A. Seaver
(Berman Tabacco)
Joseph J. Tabacco Jr.
(Berman Tabacco)
Matthew D. Pearson
(Berman Tabacco)
Defendant
Michael F. Tubach
(O'Melveny & Myers LLP)
Facts
In Spring 2013, plaintiffs brought an antitrust claim against several large automakers from both Canada and the United States in California. Other state court cases were eventually consolidated into the California case. The only remaining defendant from all these cases was Ford Motor Company of Canada, Limited. The class included any individuals or business who resided in California on November 15, 2010, and who purchased or leased a new passenger car, light-duty trucks and sport utility vehicles manufactured or distributed by an authorized dealer in California between January 1, 2001, and April 30, 2003. The proper vehicles included the following makes: Acura, Buick, Cadillac, Chevrolet, Chrysler, Dodge, Ford, GMC, Honda, Hummer, Infiniti, Jaguar, Jeep, Land Rover, Lexus, Lincoln, Mazda, Mercury, Nissan, Oldsmobile, Plymouth, Pontiac, Saab, Saturn, Toyota, or Volvo. The other defendants included Toyota Motor Sales, USA, Inc., Toyota Motor Corporation Canada Inc., American Honda Motor Company, Inc. Honda Canada Inc., Honda Motor Company, Ltd., DaimlerChrysler Corporation, DaimlerChrysler Canada Inc., DaimlerChrsler Motor Co., Nissan Canada Inc., Nissan North American, Inc., DaimlerChrysler Aktiengesellschaft, Nissan Motor Company Ltd., Canadian Automobile Dealers' Association, National Automobile Dealers Association, Volvo Cars of North American, LLC, and Volvo Cars of Canada, Ltd. Several of the defendants were able to obtain summary judgment and were dismissed from the case. Toyota Motor Sales, USA, Inc. and Canadian Automobile Dealers' Association entered into a settlement agreement to pay $35.7 million to settle the claims against them. Meanwhile, General Motors of Canada, Ltd. entered into a settlement agreement to pay $20.15 million to settle the claims against it.
Contentions
PLAINTIFFS' CONTENTIONS: Plaintiffs alleged that defendants participated in an unlawful combination and conspiracy with each other to prevent the export of new motor vehicles from Canada to the United States which resulted in the reduction of competition in the United States market and caused the price of new motor vehicles to be artificially raised in violation of California's Cartwright Act.
DEFENDANT'S CONTENTIONS: Defendant denied all contentions.
Result
Ford Motor Company of Canada, Limited agreed to pay $82 million to settle all claims.
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