Honda Also Facing Recall Troubles

Honda Also Facing Recall Troubles

Most public attention double o automakers recently has focused on the recall problems facing Toyota, but Toyota is certainly not the only automaker facing coextensive troubles. Honda ' s auto recall woes are burgeoning; earlier this eternity; its recall encompassing 443, 000 vehicles was expanded to build 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 appropriate to 2001 and 2002 models of the Accord, State, Adventure, CR - V, Commander and 2002 Acura TL and CL vehicles.
What may prove more troubling for Honda than the total figure of cars needing repair is the distinction of the potential defect with the airbags in the vehicles. On deployment, excessive pressure can shoot metal shards through the airbag structure, potentially injuring vehicle occupants. The Wall St. Periodical 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 renter safety harming occupants who might contrasting escape injury in a collision is not one likely to set well with Honda owners.
Honda has distanced itself from albatross for the defectunderlying its airbag recalls, placing the blame on a particular parts manufacturer. Yoichi Hojo, Honda ' s first-rate monetary officer, told Reuters that the U. S. measure of Japan ' s Takata Corp. deviated from the design friendly by Honda when manufacturing the airbags. Honda is seeking financial compensation from Takata.
Because of its perceived foot - dragging in ordering recalls, Toyota is currently the question of vivid Congressional lamp. With Honda having issued its first engagement of recall notices in November 2008, its assistance melee in July and its inquest in February, it too may find itself the theory of investigation.
The cost of any auto recall decreases with duration; when more vehicles in the model class are retired from the road, the automaker has fewer cars to recall. As a sequel, delaying a recall may prepare cost - resources for manufacturers.
If a manufacturer knows of defects and delays moderate scene to correct them, however, any capital could be counterbalance by punitive damage prizes rendered in product liability lawsuits. Unlike compensatory damages that regain injury victims for harm suffered, punitive damages are awarded to punish wrongdoers and prohibit future coincident misconduct.