Automakers Balance Sheets More Important Than Human Life
A new study predicts that defective General Motors and Chrysler vehicles sold before the bankruptcies will continue to cause deaths and injuries that are immune from lawsuits long into the future. The study predicts that more than 3,400 Americans will be injured or killed by a defective vehicle over the next year. The report, "Public Safety at Risk: Bankruptcies Leave Legacy of Defects, Injuries and Deaths," also predicts fewer recalls, decreasing public safety.
In their bankruptcy proceedings, both Chrysler and General Motors are seeking exemption from pending and future lawsuits. This means that anyone injured by a defective automobile from either of these manufacturers would not be able to recover medical damages, pain and suffering damages, or other civil damages. Both companies would still be responsible or issuing product recalls, but would no longer be responsible for the damage their defective products cause. This, according to the report, lowers the incentive for the manufactures to issue product recalls on their former products.
The report, finds that between 2003 and 2008, Chrysler had 3,497 death and injury claims; GM had 15,284. With more than 40 million vehicles in the U.S. fleet, the two companies accounted for 47 percent of all claims filed against auto manufacturers during that time period. Yet, these manufacturers only represent 38 percent of the market share. From 2004 to 2008, Chrysler issued 109 recalls, affecting 11.4 million vehicles; GM launched 129 recalls, affecting 19 million vehicles.
Corporate America and the bankruptcy courts are telling us that injuries and deaths to American citizens are less important than the reorganization of GM and Chrysler. Somehow we have gotten away from the simple principle that when someone causes you harm, they are required to put you back in the position you would have been in but for the harm they caused you. Is this really the direction we want to take as a society? What will be next? Will all major corporations be allowed to reduce their liability by going through bankruptcy? Are balance sheets more important than human life?
