Published on Sat, Mar 13, 2010 at 11:35 | Source : Reuters
Updated at Sat, Mar 13, 2010 at 13:59
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Toyota hit by California lawsuit
Toyota Motor Corp was hit by a planned lawsuit by California prosecutors on Friday over vehicle defects and by renewed political pressure to cooperate with investigators on cases of runaway cars.
Toyota Motor Corp was hit by a planned lawsuit by California prosecutors on Friday over vehicle defects and by renewed political pressure to cooperate with investigators on cases of runaway cars.
A spokeswoman for Orange County District Attorney Tony Rackauckas said he was filing the lawsuit against Toyota's US sales arm -- Toyota Motor Sales USA -- "to enjoin them from continuing to endanger the public through the sale of defective vehicles and deceptive business practices."
Toyota had no immediate comment on the lawsuit, which marked the first time that state or federal prosecutors have joined in the growing list of plaintiffs with pending cases against the automaker.
In addition to pending class-action lawsuits, Toyota also faces a probe by the Securities and Exchange Commission and a criminal investigation by federal prosecutors.
The latest legal challenge comes at a crucial time for Toyota, which has been working to win back consumers and demonstrate that it has taken steps to address mistakes the automaker has acknowledged compromised its vehicle quality.
