11,300 owners of 1995-2004 GM vehicles are nearing the end of a long road.
Back in 1995, GM began to use “Dex-Cool” coolant in its vehicles; in fact, you may very well be driving a vehicle that uses Dex-Cool. After GM had Dex-Cool vehicles out on the road, owners began to file complaints regarding engine and radiator problems that turned out to be linked to the Dex-Cool coolant. Despite this, GM kept using the coolant and complaints kept rolling in; then, in 2003, a series of class-action lawsuits were filed due to the coolant problems in model year 1995 to 2004 GM vehicles.
A settlement was reached in 2008, with GM paying out $24 million in fees to cover expenses for the lawyers and owners. In total, GM received 68,114 claims, most of which were paid until GM declared bankruptcy in 2009.
Now, some closure is coming to the remaining owners who have filed a claim. A proposed settlement has $2.2 million going to Dex-cool owners since they are debtors in the Old GM’s bankruptcy. The $2.2 million will be turned into stock in the New GM and sold for cash to cover the 11,300 claims still in limbo.
It’s unknown if the plan will go through before the bankruptcy court formally approves the liquidation plan later on this year.
Source: The Detroit News