Court Rules GM Is Shielded From Death Claims by Bankruptcy

April 15, 2015 10:14 PM

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A federal bankruptcy judge ruled Wednesday that General Motors is shielded from death and injury claims potentially totaling billions of dollars tied to defective ignition switches in certain GM small cars.

In 2009, a bankruptcy court allowed GM to emerge from bankruptcy protection free from the liabilities of the old company. Plaintiffs argued that GM misled the court because it knew about but failed to disclose the problem with the ignition switches. The switches are now linked to at least 84 deaths.

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