By Jonathan Stempel
Jan 21 (Reuters) – Three Toyota affiliates reached a settlement worth an estimated $436 million of a proposed U.S. class action accusing them of emissions cheating in nine engines for forklift trucks.
A preliminary settlement with Toyota Industries, the world’s largest maker of forklift trucks, and two subsidiaries was filed on Tuesday night in San Francisco federal court, and requires a judge’s approval.
Toyota, the parent automaker, was dismissed as a defendant after claiming it had nothing to do with the emissions testing and forklift sales.
The settlement provides $299.5 million of cash to owners and lessees of 272,422 forklifts from the 2007 to 2021 model years, with an expected payout of $1,400 to $2,800 per vehicle depending on the number of claims.
It also provides inspections and maintenance valued at $83.7 million to $189.3 million, with a midpoint of $136.5 million, depending on how many forklifts are still operating. This service plan is valued at $800 per forklift, the plaintiffs’ lawyers said.
The average forklift covered by the settlement cost about $25,500, court papers show.
Lawyers for Toyota Industries did not immediately respond to requests for comment on Wednesday.
The lawsuit began in September 2024, eight months after an internal Toyota probe found that software changes or substituted engines enabled forklifts to perform better in emissions testing than on the road.
Owners and lessees said the misconduct first surfaced in 2020, following an inquiry from the U.S. Environmental Protection Agency about the accuracy of Toyota’s emissions testing.
More than 20 named plaintiffs said they would not have bought Toyota’s forklifts or would have paid less, had they known their vehicles did not meet emissions standards and emitted more pollution than they expected.
The plaintiffs’ lawyers may seek $74.9 million in legal fees, or 17% of the $436 million settlement value, court papers show.
(Reporting by Jonathan Stempel in New York; Additional reporting by Mike Scarcella in Washington, D.C.; Editing by Chizu Nomiyama )
Comments