Greenberg, Walden & Grossman, LLC
Free Initial Consultation
800-655-3695

American Suzuki Bankruptcy may Impact Personal Injury Claims

American Suzuki Motor Corp. announced in November, 2012 that it is going bankrupt. New Suzuki cars will no longer be sold in the United States.

Sales of Suzuki cars plummeted in the last few years; in 2008 the company sold 120,000 cars in the US. Sales for 2012 were only 22,000. Somewhat ironically, announcing the bankruptcy spurred a small surge in orders in December as some people who were interested in the cars decided to buy them before it was too late.

Consumers are urged to use caution before buying a car from a company that is bankrupt. Even though dealers will continue to provide parts and warranty support, in the event of a major problem there is no one really standing behind the cars in the US. In the event of an accident that was caused by a defect in one of the cars, it may be difficult to collect damages.

American Suzuki got permission from the bankruptcy court to sell off its other product lines - boats, ATVs, and motorcycles - to an affiliate of parent company Suzuki Motor. Those products will continue to be sold in the United States.

When Chrysler went bankrupt in 2009 it created problems for many people who had product liability lawsuits against the company. When a company goes into bankruptcy product liability and "lemon-law" lawsuits are temporarily frozen. Any such claims are lumped together with other unsecured creditors, which mean that the chances of seeing much money are very slim indeed.

The Suzuki situation is different than the Chrysler situation because the parent company that actually manufactured the cars, Suzuki Motor Corporation of Japan is still in business. But it definitely makes the legal situation more complicated with their US entity in bankruptcy.

Anyone who has been injured by a possible defect in a Suzuki car is advised to contact a personal injury attorney at the Law Offices of Greenberg, Walden & Grossman, LLC right away.

No Comments

Leave a comment
Comment Information
Randy Grossman Avvo. Rating 10.0/10.0 Superb New Jersey Supreme Court Certified Attorney Seal Of The Supreme Court Of New Jersey - Randy Grossman is certified as a Workers' Compensation Law Attorney by the Supreme Court of New Jersey. Super Lawyers Distinguished TM AV Lexis Nexis Martindale Hubbell Peer Review Rated For Ethical Standards And Legal Ability