Eversheds comment: Latest Toyota recall highlights importance of consumer confidence

• United Kingdom

04-09-2013

Commenting on news that Toyota will recall around 200,000 hybrid SUVs owing to a problem with the inverter used in its hybrid system, Richard Matthews, Head of Product Liability at global law firm Eversheds, says:

"While the numbers involved in this recall are a relative drop in the ocean compared with the 15.5 million vehicles recalled in the US each year, Toyota's actions will come under the spotlight given the controversy surrounding a string of further recalls in 2009 and 2010. In total, nine million Toyota vehicles were recalled worldwide during this period after concerns around sudden unintended acceleration. Since then a number of further recalls by the firm have attracted media interest. The company was heavily criticised for its handling of the 2009/2011 crisis and received a record fine of $16.4 million for failing to notify US authorities when it learned of problems with vehicles elsewhere in the world. Whilst sales have since recovered, the discovery of further issues will do nothing to help Toyota re-establish its reputation for quality. The success of Toyota's pioneering approach to hybrid-drive systems relies heavily on consumer confidence and as such the manufacturer will be working hard to ensure that it is seen to protect the safety of consumers and to avoid the threat of regulatory action or civil claims."

• Richard Matthews
• Partner
• +44 113 200 4372
• +44 113 200 4372

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