February 29, 2008

Michelin Abandons Its Pax Run-Flat Tire System

This is an update on the class actions this and other law firms have filed against Michelin and Honda concerning the "PAX" run-flat tires on the 2005-2007 Honda Odyssey Touring minivans and certain Acura RL models.

The cases involve Michelin's "PAX" run-flat tire system consisting of a special tire, support ring, wheel and tire presssure monitoring system. The PAX Systems have proven to be a disaster for consumers--the tires wear prematurely and replacements, which only available from Honda and Michelin dealers, are very expensive costing as much as $300 per tire. Many owners had a great deal of difficulty even finding a Honda or Michelin dealer that had the special equipment needed to replace a PAX tire.

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In November 2007, Michelin announced it was throwing in the towel on the PAX System. According to a report in the trade presss, Michelin said it was ending research on PAX "because there is no big market development." Of course, this is a euphemistic way of saying the PAX system has been a failure.

The federal class actions have now been reassigned to a federal judge in the District of Maryland. A separate California state court action is pending in the Alameda County Superior Court on behalf of California owners.

June 10, 2007

KABOB Files Class Action Alleging BMW Has an Illegal Secret Warranty on the Run Flat Tires on the 2006 and 2007 3 Series Cars

On May 31, 2007, KABOB filed a class action against BMW alleging that BMW has an illegal secret warranty on the run-flat tires on its 2006 and 2007 BMW 3 Series cars. The suit also states that the run-flat tires are defective and not fit for their ordinary purposes--the tires often wear out with less than 10,000 miles of use!

The 3 Series cars come equipped with Bridgestone run-flat tires, which are designed to enable drivers to continue driving a limited number of miles with a punctured tire. The problem is that the tires wear unevenly and prematurely. Many BMW owners are having to replace the tires in less than 10,000 or 20,000 miles.

In January 2007, BMW informed its dealers that owners with worn and rough-riding run-flats who had driven less than 10,000 miles were eligible for free tires and labor. Owners with 10,000 to 20,000 miles on the odometer were eligible for a 50% discount on the tires and labor. BMW%20run%20flat.jpg

The class action alleges BMW's advice to its dealers concerning free or discounted tires is a "secret warranty;" "secret" because BMW failed to provide all BMW owners with notice of the warranty's existence as required by California's secret warranty law. The complaint seeks a court order requiring BMW to inform all California owners and lessees of the existence of the warranty and to provide a means of reimbursing owners who went out-of-pocket for replacement tires who otherwise would have received the benefit of the secret warranty.

The suit also alleges that BMW violated the California lemon law by selecting these defective tires for the 3 series cars and that consequently owners and lessees are entitled to damages.

May 10, 2007

Pontiac GTO Oversized Tires Class Action Filed

GM sold its 2004 and 2005 Pontiac GTO cars with 17" wheels and 245 mm tires. Unfortunately, the tires are too wide causing them to sometimes graze the front struts which causes premature and uneven tire wear and even tire failure. On May 10, 2007, KABOB filed a class action seeking a court order forcing GM to notify GTO owners of this problem and compensation for the cost of new, narrower tires.

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The GTO cars were manufactured by an Australian company and were designed for use with the narrower tires. Inexplicably, GM equipped the cars with the too-wide tires. The federal safety agency has received numerous complaints about tire wear and failure on these cars and has begun asking GM questions. A reporter at Channel 5 in Cleveland ran stories showing the tire problem on these cars, http://www.newsnet5.com/news/11003693/detail.html.

March 17, 2007

New Honday Odyssey-Michelin PAX Run-Flat Tire Case

In March 2007, we filed a class action against Michelin and Honda alleging that the run-flat tire and wheel assemblies on the Honda Odyssey Touring model and the Acura RL with the technology package are defective. The complaint filed in the federal district court in Los Angles states that the replacement tires are not generally available, that the tires wear prematurely, and the cost of replacement tires is excessive. Owners are reporting that Honda and Michelin dealers are charging $180 per tire and $60 per tire for labor. Some owners have had to wait days for a replacement tire. More details on the case and the Michelin PAX tire and wheel were reported in the New York Times on March 11, 2007. The article is entitled "Run-Flat Tires: Are they Solving a Problem or Creating Several?"

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.