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UPDATE: On March 9, 2021, the Superior Court of Justice, Ontario, approved the settlement agreement. Top Class Actions will let you know when the claims process opens. Read the Court’s approval order here.
Owners and lessees of certain 2011 through 2019 model-year Hyundai vehicles may be able to take advantage of benefits in an engine defect class action settlement. The settlement reportedly ends five class action lawsuits lodged against the carmaker over allegations it ignored and even denied repairs to certain vehicles with engine defects that led to car fires.
Engine Defect Class Action Settlement Vehicles
Vehicles covered by the settlement agreement include the following:
- 2011-2019 model year Hyundai Sonata vehicles,
- 2013-2019 model year Hyundai Santa Fe Sport vehicles, and
- 2014, 2015 and 2019 model year Hyundai Tucson vehicles
To be covered, vehicles must have been equipped with 2.0 or 2.4 litre Theta II gas direct injection engines; however, they do not need to have experienced any issues related to the engine defect alleged in a number of class action lawsuits lodged against Hyundai and ended with this settlement agreement.
Hyundai owners and lessees can check to see if they qualify for this class action settlement by checking if their vehicle’s VIN is included either online or by calling 1-833-683-5860.
Hyundai Engine Defect Class Action Settlement Benefits
The engine defect class action settlement provides the following benefits to Class Members:
- Warranty extension
- Reimbursement for past repairs
- Reimbursement for expenses from past repairs
- Compensation for a sold or trade-in vehicle
- Compensation for loss of vehicle to engine fine
- Rebate program for trade-ins
- An informational pamphlet
All Class Members, even those who have not experienced problems related to the alleged engine defect, can take advantage of the warranty extension under the terms of the class action settlement. The benefits include a conversion of the Powertrain Warranty to a Lifetime Warranty. The warranty extension applies to Class Members who own covered vehicles with Knock Sensor Detection Software with a completed update.
The extended warranty will cover various types of damage to the short-block assembly, as well as the damage caused by a connecting rod bearing failure in the rest of the long block assembly. In addition, a rental reimbursement of up to $40 a day is available under the warranty extension.
Class Members who had to pay money to repair covered vehicles may be able to claim reimbursement, including a free oil and filter change and tire rotation at a Hyundai dealer, along with an inconvenience award if the repair was delayed for more than 60 days. Compensation for inconvenience includes a $65 dealer credit for 61-to-90-day delays and a $100 credit for delays between 91 and 120 days, with an additional $35 credit for each 30-days of additional delay.
Class Members can also claim expenses related to repairs of the alleged engine defect, including towing and other required services.
Class Members who sold or traded-in their covered vehicle and lost money on the deal can claim the loss, as well as an additional payment of $140. The vehicle must have experienced a problem related to the alleged defect, such as the oil light turning on, stalling, or engine noise, but the Class Member must not have first gotten the repair. Under the terms of the settlement, the Class Member can claim the difference between the fair market value of the vehicle and what they got for it, along with an additional $140.
If the covered vehicle suffered an engine fire and was deemed a total loss, Class Members can claim the value of the vehicle, along with a $140 additional payment, minus any funds they received as a result of the loss.
Class Members can also take part in a Trade-In Rebate Program. Rebates under the program are calculated using the trade-in value of the vehicle and the model year of the vehicle. Maximum rebate amounts are up to $1,750 for 2011 through 2014 vehicles; $1000 for 2015 through 2016 vehicles; and $500 for 2017 through 2019 vehicles.
Finally, Hyundai has agreed to provide informational pamphlets to Class Members about any additional recommended guidance related to the maintenance of vehicles covered by the engine defect class action settlement.
How to Claim Compensation
A hearing on the approval of the engine defect class action settlement is scheduled for Feb. 23, 2021. If approved, Class Members will be able to start submitting claims online or by mail. Claim forms must include all required supporting documentation and be submitted by the deadline set at the approval hearing.
Top Class Actions will update this article if the court approves the Hyundai settlement and the claim filing period opens. Click on the “Follow Article” at the top of this page to get the latest updates about this settlement by using your free Top Class Actions account. For the latest updates, keep checking ca.TopClassActions.com or sign up for our free newsletter.
To exclude yourself from this class action settlement, you must submit an opt-out form by Feb. 12, 20201.
Do you own a Hyundai? Have you experienced any issues with your vehicle? Will you file a claim if this class action settlement is approved? Tell us your story in the comment section below!
The lead plaintiffs and Class Members are represented by Michael Peerless of McKenzie Lake Lawyers, Jay Strosberg of Strosberg Sasso Sutts LLP, K.S. of Garcha & Company, and Evatt Merchant and Christine Nasraoui of Merchant Law Group LLP.
The Hyundai Canada Class Action Lawsuits are Pelletant v. Hyundai Auto Canada Corp., et al., Case No. 500-06-001013-198, Before the Superior Court of Québec, District of Montreal, Killoran v. Hyundai Auto Canada Corp., et al., Case No. S-194327, in the Supreme Court of British Columbia, Canada, McBain v. Hyundai Auto Canada Corp., et al., Case No. CV-19-00001186-OOCP in the Ontario Superior Court of Justice, Asselstine v. Kia Canada Inc., et al., Case No. CV-19-00001302-0000 in the Ontario Superior Court of Justice, and Papp v. Kia Motors America Inc., et al., Case No. QBG795/19 in the Court of Queen’s Bench for Saskatchewan.
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233 thoughts onHyundai Reaches Proposed Settlement in Engine Defect Class Action Lawsuits
I have a 2015 Sonata that just left me and my child stranded on the highway between Kamloops and Merritt due to engine failure. I purchased the car USED from Langley Hyundai in January 2016 at which time it was listed as a previous rental vehicle for the first 18-months of ownership by the first owner. The car is currently sitting at the Hyundai dealership in Kamloops being the closest Hyundai dealership to which to have it towed. As I am a very detailed and organized individual and this has left my life in turmoil living in Greater Vancouver as a single mother with no vehicle and requiring a vehicle in my profession, I have very quickly produced my entire service history for the car to expedite this warranty claim for which I have been told I qualify. The service history I have provided speaks for itself……if anything I overserviced the car in the time I owned it. Hyundai Canada is now trying to hold me accountable for the service history in the first 18-months of the cars life that I did not own the car. It appears on CarFax that the car did not receive its first service until one year into being driven at nearly 24,000km’s. Hyundai Canada is saying the car should have had two oil changes (one every 8,000 km’s) prior to the first one that comes up on CarFax. I was advised to call the dealer I bought the car from (Langley Hyundai) and investigate from where they bought the car so that I could further investigate with whom they serviced the vehicle and locate the service records for the TWO missing oil changes in the first year. How ABSURD!! This speaks for about Hyundai Canada and who they authorize as dealers and their dealer’s business practices than it does my ability to service a car. Regardless, I did this only to be told in an email by the Dealer Principal of Langley Hyundai that “You bought the car used so you wouldn’t need to show the previous oil change history. You have all the history since then, it should not be denied.” The dealer would not produce from where they bought the car and my investigation can go no further. I am three weeks into this warranty claim with no answers and quite obviously nothing more than a complete inconvenience to the dealership in Kamloops. My life has been turned upside down. Hyundai Canada is looking for absolutely any little inadequacy in my car ownership that they can find to get out of yet another claim. It is very apparent these GDI car engines fail consistently at around 150,000km’s (check out the private listings online and the number of them that have new warrantied engines) and I am not going to stand for them denying this claim over what appears to be two missed oil changes in the car’s first year of ownership when I wasn’t even the owner. It is also very apparent that the authorized dealers have their hands tied and are left being the front man for Hyundai Canada with absolutely nothing in it for them until the warranty claim gets approved THUS leaving them very little incentive to provide a desperate customer with service and answers. I am one lady that will not be going away and I am open to lawyers contacting me to discuss these details further.
I bought hyundai 2016 model in 2016 and I’m facing this engine issue for last two years. Little I knew that there is a reason of this cause. Upon my complain the local dealer in Abbotsford, BC further inspecting my vehicle agreed to get the engine replacement claim submitted. Fast forward two months, I still didn’t get the approval from the Hyundai manufacturer. The engine now have plugged my catalytic convertor too and the dealer agreed that this is caused by the engine malfunctioning and this will be further added to the claim to be approved by Hyundai within 10 days. I’m still waiting the Hyundai manufacturer to approve my claim to change he engine and catalytic convertor. The dealer has denied any loaner or rental car in the meanwhile and clear that my car is no longer drivable and safe on roads.
The total process handled by the manufacturer is disappointing. I’m without a vehicle for last three weeks and my family is suffering with school drops off, picks up, other activities for the kids, work, and personal errands. My family is suffering and after multiple calls, false promises, false ETA this matter is still not resolved and the local dealer is completly un-cooperative and non-communicative in this matter.
My 2012 Hyundai Sonata Limited had a sudden seized engine while I was driving on a highway in Prince Edward Island this August 2023 and today after almost 5 months of waiting, being mistreated by staff at the Charlottetown Experience Hyundai Dealership and actually lied to and been threatened that my car was towed to an impound lot at my cost of 40 dollars per day; I received an unsigned text message saying the warranty has been denied and I need to move my car!
What I do not understand is how is the warranty suddenly denied when both Hyundai Canada and staff at the Charlottetown Experience Hyundai dealership told me on two separate conversations that “my vehicle VIN was verified as fitting the recall and warranty parameters”. Specifically, a representative from the dealership refused to allow my car to be towed to their lot until she checked I was under the recall warranty. She also demanded I provide Every Oil Change receipt at specified intervals from my purchase of the vehicle! (Which was November 2019). I located 4 receipts with the most current January 2023 along with proof of a previously booked appointment with a garage for less then 2 weeks after breakdown and a stack of invoices documenting the significant repairs and maintenance we had done since purchasing the Sonata. My vehicle was finally allowed to be towed to the lot on November 1, 2023(remember breakdown was in August). I submitted all documents directly to the dealership both paperwork and digital at the same time. Over the next 3 weeks I repeatedly called the dealership with no answer and no call back. Finally on November 17th I went to the dealership to talk to the service manager. Oh I forgot about having to call Hyundai Canada to intervene and deal with the customer service representative who was creating what resulted in being unreasonable demands, refused to permit the vehicle to be delivered and avoided contact. Even though Hyundai Canada had explicitly stated that I tow the vehicle to the dealership to be assessed by a technician and if the engine failure was due to the recall issue my vehicle would be repaired or a new engine replacement. So I approach the manager because this is who finally called me after Hyundai Canada’s intervention on my November 17th visit and I am told my vehicle doesn’t seem to have a work order in the system! But he “has my documents on his desk”, he says to me! He tells me he will take care of it! Sure he does but he enters Nov.17th as the vehicles arrival date placing it that much farther back in the queue! So much more has happened but I have already took too much time! What can I do, if anything!