Honda Also Facing Recall Troubles

Honda Also Facing Recall Troubles

Most public attention contemplation automakers recently has focused on the recall problems facing Toyota, but Toyota is certainly not the only automaker facing cognate troubles. Honda ' s auto recall woes are burgeoning; earlier this span; its recall encompassing 443, 000 vehicles was expanded to take in 378, 000 additional vehicles. This recall is expected to cost Honda $2. 2 to $3. 3 million.
In the United States, the latest round of Honda recall notices handle to 2001 and 2002 models of the Accord, National, Outing, CR - V, Commander and 2002 Acura TL and CL vehicles.
What may prove more troubling for Honda than the total amount of cars needing repair is the substance of the potential defect with the airbags in the vehicles. On deployment, excessive pressure can shoot metal shards through the airbag fabric, potentially injuring vehicle occupants. The Wall St. Diary reported that one person has died and 11 were injured in car accidents involving defective Honda airbags.
The ridicule of a device intended to increase resident safety harming occupants who might contrary escape injury in a collision is not one likely to set well with Honda owners.
Honda has distanced itself from authority for the defectunderlying its airbag recalls, placing the blame on a particular parts manufacturer. Yoichi Hojo, Honda ' s super pecuniary officer, told Reuters that the U. S. articulation of Japan ' s Takata Corp. deviated from the design swell by Honda when manufacturing the airbags. Honda is seeking capital compensation from Takata.
Because of its perceived foot - dragging in ordering recalls, Toyota is currently the belief of cutting Congressional whammy. With Honda having issued its first scuffle of recall notices in November 2008, its support dissension in July and its questioning in February, it too may find itself the nut of investigation.
The cost of any auto recall decreases with while; when more vehicles in the model class are retired from the road, the automaker has fewer cars to recall. As a eventuality, delaying a recall may furnish cost - resources for manufacturers.
If a manufacturer knows of defects and delays just functioning to correct them, however, any assets could be counteract by punitive damage credit rendered in product liability lawsuits. Unlike compensatory damages that recoup injury victims for harm suffered, punitive damages are awarded to punish wrongdoers and deter future companion misconduct.