November 20, 2006

Land Rover LR3 Tire Wear Class Action

On November 20, 2006, KABOB and our co-counsel filed a class action complaint against Land Rover of North America ("Land Rover") alleging that Land Rover LR3 model tires are wearing unevenly and prematurely, thus, causing owners and lessees to replace the tires after a very short life-span. Land Rover issued a technical service bulletin LA 204-005 in the US in October 2006, which covers VINS from 5A000360 to 6A403382 that states that uneven tire wear may be caused by a degree of "bush settle" that affects the geometry of the tires increasing tire wear.
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The case is now pending in the Superior Court of Santa Clara County. The complaint seeks unspecified damages for all California LR3 owners and lessees.

November 18, 2006

Toyota Class Action Settlement Benefits Owners of Toyota Siennas Equipped with Run-Flat Tires

In September 2005, we filed a class action case against Toyota alleging that the run-flat tires on the 2004 and 2005 Toyota Sienna All Wheel Drive minivans had defective tires. The tires on these vehicles are known as “run-flat” tires and are designed to be driveable for up to 100 miles at no more than 50 mph even after being punctured. The vans have no spare tire. Goodyear/Dunlop and Bridgestone manufactured the tires. The problem was that the tires wear out on average in about 15,000 miles! The tires also wore unevenly making for a rough riding van. Thousands of owners across the country complained about the tires. Nevertheless, until the lawsuits were filed, Toyota did nothing for owners.

In May 2006, KABO and co-counsel negotiated a nationwide settlement with Toyota under which Toyota will, for the first time, provide a 3 year, 36,000 mile warranty on the tires on the Sierra AWD vans. Toyota agreed to replace tires under the warranty that exhibit uneven wear and that wear prematurely (down to a tread depth of 3/32”). Toyota will also reimburse owners who went out-of-pocket for run-flat tires or non run-flat tires. The estimated value of the benefits of this settlement to Sienna owners and lessees is in excess of $45 million.

For more information on the settlement, owners may go to www.rftprogram.com.