Interesting that news about the US Toyota sludge lawsuit has made it to Australia. The comments by Toyota Australia are surprising to say the least. It is well known that the respective Australian models are prone to sludge and as far as I know, apart from being right-hand-drive, the respective models are pretty much the same mechanically. Unfortunately, we don't have the legal system that the US has and cannot force large companies to do the right thing ....
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Toyota's oil not so slick
Christopher Jensen, The Sydney Morning Herald, 16/02/07
US court ruling may lead to hefty compensation suit.
Toyota in the United States has settled a class action by owners who complained their vehicles had been damaged by a build-up of thickened oil or sludge in the engine.
The maker now faces a hefty compensation suit, as about 3.5 million of Toyota’s vehicles are covered by the settlement, approved by a Louisiana state court.
Sludge is a thickening of oil as it breaks down due to age or contaminants, compromising lubrication.
The sludge has been found in several models in the US, including the Camry, Avalon, Highlander (Kluger) and Celica.
Analysts estimate the compensation bill could run into billions of dollars.
Toyota Australia says it has had no reports of sludge build-up and that the Camry issue is related to the American-built engine’s intake system, which is different to locally built engines.
The high-profile case will dent Toyota’s reputation further, after the Japanese giant had its worst year ever for recalls in 2006.
In a leaked presentation obtained by the Detroit Free Press, Toyota executives admit they are concerned about the numbers of recalls last year. The president of Toyota’s North American engineering and manufacturing units, Seiichi Sudo, attributes the problems to design issues, caused largely by a high project workload. Toyota was not the worst manufacturer for recalls, recording fewer overall than Chrysler, Ford, GM, Nissan, Honda or Volkswagen.
Toyota’s North America president, Jim Press, told Reuters last week that the recent recalls would make Toyota strive for better quality. The recalls ‘‘scared us to the point where we’re re-energised on quality’’, he said.
In the settlement, Toyota did not concede a design flaw. It claimed poor maintenance was to blame but said it settled to avoid costly litigation. But consumer advocates say that if poor maintenance was the only issue, all makers would be facing claims over all their engines.
Instead, sludge problems in the US have affected only certain engines from a handful of makers: Toyota (and Lexus), Audi, Saab, Volkswagen, Chrysler and Dodge.
The lawyers who brought the sludge suit against Toyota say they were prepared to argue there was a design flaw that made the engines susceptible to sludge.
They said that under the terms of the settlement, Toyota engineering reports they gathered were not allowed to be made public.
The settlement covers the vehicles for eight years and unlimited mileage from the time they were new. The automaker says it will cover repairs if the owner can prove a ‘‘reasonable’’ attempt to maintain the vehicle, which Toyota describes as one oil change a year.
=======================================================
Toyota's oil not so slick
Christopher Jensen, The Sydney Morning Herald, 16/02/07
US court ruling may lead to hefty compensation suit.
Toyota in the United States has settled a class action by owners who complained their vehicles had been damaged by a build-up of thickened oil or sludge in the engine.
The maker now faces a hefty compensation suit, as about 3.5 million of Toyota’s vehicles are covered by the settlement, approved by a Louisiana state court.
Sludge is a thickening of oil as it breaks down due to age or contaminants, compromising lubrication.
The sludge has been found in several models in the US, including the Camry, Avalon, Highlander (Kluger) and Celica.
Analysts estimate the compensation bill could run into billions of dollars.
Toyota Australia says it has had no reports of sludge build-up and that the Camry issue is related to the American-built engine’s intake system, which is different to locally built engines.
The high-profile case will dent Toyota’s reputation further, after the Japanese giant had its worst year ever for recalls in 2006.
In a leaked presentation obtained by the Detroit Free Press, Toyota executives admit they are concerned about the numbers of recalls last year. The president of Toyota’s North American engineering and manufacturing units, Seiichi Sudo, attributes the problems to design issues, caused largely by a high project workload. Toyota was not the worst manufacturer for recalls, recording fewer overall than Chrysler, Ford, GM, Nissan, Honda or Volkswagen.
Toyota’s North America president, Jim Press, told Reuters last week that the recent recalls would make Toyota strive for better quality. The recalls ‘‘scared us to the point where we’re re-energised on quality’’, he said.
In the settlement, Toyota did not concede a design flaw. It claimed poor maintenance was to blame but said it settled to avoid costly litigation. But consumer advocates say that if poor maintenance was the only issue, all makers would be facing claims over all their engines.
Instead, sludge problems in the US have affected only certain engines from a handful of makers: Toyota (and Lexus), Audi, Saab, Volkswagen, Chrysler and Dodge.
The lawyers who brought the sludge suit against Toyota say they were prepared to argue there was a design flaw that made the engines susceptible to sludge.
They said that under the terms of the settlement, Toyota engineering reports they gathered were not allowed to be made public.
The settlement covers the vehicles for eight years and unlimited mileage from the time they were new. The automaker says it will cover repairs if the owner can prove a ‘‘reasonable’’ attempt to maintain the vehicle, which Toyota describes as one oil change a year.
