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Multistate Settlement with Hyundai and Kia Over Missing Anti-Theft Technology

Hyundai and KiaDecember 16, 2025Oregon Attorney General

Penalty Amount

$4,500,000

Summary

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.

Remedy

Hyundai and Kia must equip all future vehicles with engine immobilizers, offer free zinc-reinforced ignition cylinder protectors to eligible vehicle owners, provide up to $4.5 million in restitution to consumers whose cars were damaged by thefts, and pay $4.5 million to the states for investigation costs.

Monetary PenaltyConsumer RefundsCompliance Program

Contract Impact

In-house legal teams should review customer sales agreements, dealer contracts, and vehicle warranty terms to ensure they reflect the settlement requirements. Specifically, examine clauses related to product specifications, safety compliance, warranty coverage, and defect remediation. Contracts may need amendments to mandate the inclusion of industry-standard engine immobilizers in all future vehicles, outline the provision of free hardware fixes (zinc-reinforced ignition cylinder protectors) for eligible models, and define processes for restitution to consumers whose vehicles were damaged due to the lack of anti-theft features. Additionally, verify that agreements with dealers or distributors address the free distribution and installation of these protective devices.

Contract Search Terms

engine immobilizeranti-theft technologyproduct safety warrantydefect remediationconsumer restitutionhardware fixignition cylinder protectorvehicle safety standardswarranty coveragetheft damage compensation

Violation Types

Entity Details

Entity

Hyundai and Kia

Also known as: Hyundai, Kia

Industry

Automotive

Multistate Coalition

Official Sources

Source Evidence

Entity Name
"Hyundai and Kia"
Fine Amount
"Pay $4.5 million to the states to defray the costs of the investigation."
Violation Types
"lacked industry-standard, anti-theft technology"

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