Connecticut Attorney General William Tong launched a consumer protection investigation into Hyundai and Kia for failing to equip vehicles with standard anti-theft immobilizers between 2011 and 2022, leading to high theft rates and public safety concerns. The investigation seeks records on the companies' decision-making and potential fixes, following a coalition of attorneys general calling for a federal recall.
In-house legal teams should review vendor agreements with parts suppliers to ensure contracts include specifications for anti-theft immobilizers and compliance with industry safety standards. Customer agreements, such as dealer contracts and end-user warranties, should be examined for clauses on product safety, recall obligations, and warranty coverage for theft-related damages. Specific clauses to focus on include product specification clauses, safety compliance warranties, recall notification procedures, and indemnification provisions. Changes may be necessary to incorporate mandatory anti-theft technology requirements, update warranty terms to address theft vulnerabilities, and strengthen recall coordination mechanisms to mitigate public safety risks.
Entity
Hyundai and Kia
Also known as: Hyundai, Kia
Industry
Automotive$4.5M
New Jersey Attorney General Matthew Platkin announced a multistate settlement with Hyundai and Kia over the sale of millions of U.S. vehicles lacking industry-standard anti-theft engine immobilizer technology, which contributed to a surge in auto thefts. The settlement requires the manufacturers to equip all future U.S.-sold vehicles with immobilizers, offer free ignition cylinder protectors to eligible owners, provide up to $4.5 million in consumer restitution for theft damage, and pay $4.5 million to the coalition states. The 36-state coalition is led by Connecticut, Minnesota, and New Hampshire, with New Jersey as a co-lead.
$4.5M
Consumer protection case where Hyundai and Kia settled for selling millions of vehicles without industry-standard anti-theft technology, leading to a nationwide surge in thefts and public safety risks. The settlement requires free hardware fixes for affected vehicles and restitution for consumers.
$29.6M
Attorney General Jennifer Davenport joined a coalition of 48 states and territories in a $29.6 million settlement with Glenmark, a generic drug manufacturer, for allegedly conspiring to artificially inflate and manipulate prices, reduce competition, and restrain trade for numerous generic prescription drugs. The settlement includes cooperation in ongoing litigations and internal reforms to ensure fair competition.
$29.6M
Attorney General William Tong led a coalition of 48 states and territories in a $29.6 million settlement with Glenmark, a generic drug manufacturer, to resolve allegations of a widespread conspiracy to artificially inflate prices, reduce competition, and unreasonably restrain trade for numerous generic prescription drugs. The settlement includes cooperation from Glenmark in ongoing multistate litigations and internal reforms to ensure fair competition and compliance with antitrust laws.
$18.0M
Attorney General William Tong led a coalition of 42 attorneys general in a settlement with the bankruptcy trustee for 23andMe, resolving allegations from a 2023 data breach that compromised the genetic data of 6.9 million customers. The settlement includes $150 million in allowed claims, with $18 million paid from bankruptcy funds, and requires enhanced data security measures for the new entity holding the data.
Attorney General William Tong joined a coalition of 12 attorneys general in suing to block the $110 billion acquisition of Warner Bros. Discovery, Inc. by Paramount Skydance Corporation. The lawsuit alleges the merger violates Section 7 of the Clayton Act by substantially lessening competition in theatrical film distribution and basic cable television licensing, which would harm consumers through higher prices and reduced quality.