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Toyota Ordered by Judge to Pay $1.2 Billion for Defrauding Consumers

Posted on Mar 20, 2014

On March 19, 2014, a NY judge approved a plea bargain agreement against Toyota Motor Corp. and ordered the auto manufacturer to pay a fine of $1.2 Billion for deceptive practices by making fraudulent and misleading statements denying the existence of any defects in certain Toyota and Lexis models that caused them to accelerate suddenly without warning causing the vehicles to crash and either kill or injure the occupants therein.

The trial judge requested that the prosecutor continue his investigation into which persons at Toyota were responsible for rendering the fraudulent statements that the vehicles had no defects therein when in fact internal company documents reveal that Toyota was very much aware of the defects but failed to take responsibility and issue a timely recall to repair the defects.

The plea bargain agreement provides that if Toyota lives up to the terms of the agreement that the court may dismiss the charges three years down the road.

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Alan Morton
Advocate for Justice/Trial Lawyer