Judge Rejects Hyundai/Kia Class Action Settlement, Citing Inadequate Remedies

A federal judge has declined to approve a proposed settlement in a class-action lawsuit against Hyundai and Kia prompted by a surge in vehicle thefts, stating that the proposed remedies are not "fair and adequate" for vehicle owners. The settlement, valued at $200 million, would offer cash payments for theft-related damage and a voluntary recall to update theft-protection software. However, the judge raised concerns about the calculation of payments and the effectiveness of the software update in preventing future thefts. Attorneys general from six states and the District of Columbia have urged the judge to require the installation of engine immobilizers in theft-prone vehicles as an alternative solution.