Penalty Amount
$4,500,000
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.
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.
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.
Entity
Hyundai and Kia
Also known as: Hyundai, Kia
Industry
AutomotiveOfficial Press Release
https://www.doj.state.or.us/media-home/news-media-releases/ag-rayfield-announces-settlement-w-hyundai-and-kia-over-anti-theft-technology/
20251216 Hyundai Kia OR AVC ACCEPTED
https://www.doj.state.or.us/wp-content/uploads/2025/12/20251216-Hyundai-Kia-OR-AVC-ACCEPTED.pdf
Oregon Attorney General Enforcement Page
https://www.doj.state.or.us/consumer-protection/
"Hyundai and Kia"
"Pay $4.5 million to the states to defray the costs of the investigation."
"lacked industry-standard, anti-theft technology"
$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.
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.
The provided press release is a media release from the Oregon Department of Justice announcing a multistate press conference of attorneys general from Oregon, California, Washington, Nevada, and New York advocating for increased state resources to address antitrust enforcement gaps following reduced federal oversight. No privacy-related enforcement actions, violations, penalties, or remedies are described in the document.
Oregon Attorney General Dan Rayfield led a 24-state coalition in a lawsuit challenging the Trump Administration’s tariffs imposed under Section 122 of the Trade Act of 1974. The U.S. Court of International Trade granted summary judgment to the states, ruling the tariffs illegal as they did not meet the statutory requirement of “large and serious balance-of-payment deficits.” The court invalidated the 10 percent tariffs on most global products, barring their enforcement.
Consumer protection and civil rights lawsuit filed by Oregon AG and 20 other states against the U.S. Department of Agriculture over unlawful funding conditions that coerce states into complying with policies unrelated to nutrition programs. The conditions relate to immigration, DEI, and gender identity, and are alleged to violate the Spending Clause and Administrative Procedure Act. The suit seeks to block these conditions to protect billions in funding for programs like SNAP, WIC, and school lunches that serve vulnerable populations.
Antitrust enforcement action where Oregon AG filed a lawsuit to block the $6.2 billion merger of Nexstar and Tegna, alleging it violates Clayton Act Section 7 by substantially lessening competition in broadcasting, which could harm local news and raise consumer prices.