Lawyers Take Home $57 Million While GM Vehicle Owners Receive Chump Change in V8 Lawsuit | Carscoops

      The lawsuit concerns Chevrolet and GMC trucks and SUVs from 2011 to 2014 that feature a V8 engine.

      GM has settled a class action regarding issues with the LC9 V8 engine for a total payout of $150 million.

      The lawsuit asserted that the LC9 V8 is equipped with faulty piston rings and assemblies.

      Only residents of California, North Carolina, and Idaho are eligible for benefits from the settlement.

      A prolonged legal battle regarding oil consumption in specific GM engines has reached a conclusion, allowing for compensation to affected vehicle owners. However, it appears that the bulk of the payouts will not go to the owners themselves.

      Read: GM Faces Lawsuit Over Trucks Allegedly Allowing Easy Theft

      The automaker has agreed to pay $150 million to resolve a class action lawsuit focused on its 5.3-liter LC9 V8 engine. While car owners will receive some compensation, the legal representatives are set to benefit greatly, with a remarkable $57 million awarded to them.

      This case was initiated by Garrett Tarvin, Gabriel Del Valle, and William Davis Jr., who claimed that GM’s LC9 V8, commonly referred to as the 5.3-liter Vortec, had defective piston rings and assemblies. The complaint stated that these defects resulted in excessive oil consumption, leading to issues such as damaged spark plugs, rough idling, acceleration difficulties, and in some instances, complete engine failure.

      Who is Eligible for Compensation?

      Despite GM's consistent denial of wrongdoing or liability, it has opted to settle the case. The resolution applies only to current owners or lessees of affected vehicles purchased or leased in California, North Carolina, or Idaho. In California, the vehicle must have been new, while in North Carolina, it must have been bought or leased from an authorized GM dealership.

      The lawsuit covers 2011-2014 models of the Chevrolet Avalanche, Silverado, Suburban, Tahoe, GMC Sierra, GMC Yukon, and GMC Yukon XL. Vehicle owners who have already had upgraded piston rings installed under warranty are not eligible for compensation.

      How Much Will Owners Receive?

      It is anticipated that each qualifying class member will receive a minimum of $2,149 from the settlement. Additionally, each of the three plaintiffs will receive $30,000. As previously mentioned, the attorneys in this class action are expected to receive $57 million, highlighting the significant investment law firms have in class action lawsuits.

      Another Lawsuit in Another State

      Interestingly, a different class action lawsuit alleging issues with the LC9 engine received preliminary approval in mid-June, specifically in Oklahoma. In this case, the plaintiff will be awarded $15,000, the attorneys will receive $9.5 million, and the affected vehicle owners will each get approximately $700.