Reports say Takata will seek bankruptcy protection in both the United States and Japan
Japanese airbag maker Takata, which is behind the largest product recall in history, is reportedly filing for bankruptcy.
The recall involves 100 million airbags, and the defective airbags have been responsible for at least 16 deaths and hundreds of injuries. According to media reports, Takata currently owes $850 million to several automakers as part of a settlement in which it agreed to replace the defective airbags. The company has also agreed to pay $25 million in criminal fines and $125 million in compensation to victims and their families after it was revealed Takata knew its airbags were dangerous and failed to disclose the dangers or take steps to fix them.
Reports say Takata will seek bankruptcy protection in both the United States and Japan.
Automakers Are Nervous about Takata’s Bankruptcy
The reports go on to say that automakers are anxious about the prospect of a Takata bankruptcy, as the process for replacing the faulty airbags has been a slow one.
The defective airbags contain a flawed inflator that explodes under certain conditions, sending sharp metal and plastic pieces flying through the air at high speeds. The airbag recall has ballooned to include 19 different auto manufacturers across the world.
Although it’s difficult to estimate how many airbags have been affected, reports say that at least 50 million may need to be replaced. Unfortunately, the replacement process has been exceedingly slow, and reports estimate that over 65 percent of vehicles covered by the recall haven’t been repaired. The National Highway Transportation Safety Administration (NHTSA) estimates that about 15 million airbags have been repaired in the U.S.
Is Your Car on the Recall List?
If you suspect your car is covered by the Takata airbag recall, it’s important to get your airbags replaced as quickly as possible. In some cases, more than one airbag in a vehicle is affected by the recall.
To find out if your car is on the list, you can visit safercar.gov and input your vehicle’s make and model or vehicle identification number (VIN).
Philadelphia Auto Accident Lawyer Discusses Vehicle Recalls
Philadelphia auto accident lawyer Joel J. Kofsky states, “One of the difficulties with auto recalls is that cars are often resold to new owners. If you purchased your car used, the manufacturer may not have your information. In this case, recall notices are probably being sent to the car’s previous owner. This is why it’s important to regularly check for recalls on your own. The safercar.gov site lists recalls for vehicles, car seats, tires, and equipment.”
If you’ve been injured in an auto accident, or you’ve been harmed by a defective product in a vehicle, you have important rights. Protect your right to receive compensation for your injuries by speaking to a Philadelphia auto accident lawyer as soon as possible. Call today to explore your options.