GM has now expanded its recall for an ignition switch problem to over 2.6 million vehicles. This wide ranging recall now covers model years 2003 to 2011 on Pontiac G5, Pontiac Sostice, Chevrolet Cobalt, Chevrolet HHR, Saturn Ion, and the Saturn Sky.
The problem is that the ignition switch can allow the ignition key to switch from the on position to the accessory position which kills the engine, power steering and brakes, and the safety systems such as airbags.
Reports state that GM knew of the problem as early as 2004. Supposedly the problem surface during a test of a new Cobalt in 2004 by a GM engine. GM actually acknowledged they had a problem in a 2005 technical service bulletin.
In its recall GM has states that it knows of 6 deaths in 5 Cobalt crashes as a result of ignition switch failure. Others are saying 13 people have been killed in 31 accidents linked to this component failure since 2004.
One lawsuit against GM from a crash that occurred in 2010 was settled last year and now a wrongful death suit has been filed in Minnesota on behalf of 2 teenage girls killed in a 2006 crash of a 2005 Chevy Cobolt.
Piling onto this a GM shareholder has filed a class-action lawsuit claiming shareholders were defrauded by GM due to its the handling of the ignition switch recall. You can expect many more lawsuits of all types coming.
Breaking news, on Friday GM has now told U.S. dealers to stop selling certain 2013 and 2014 Cruz sedans. The Cruze replaced the Cobalt in 2010. GM gave no immediate reason for this major decision.
Problems on this issue are mounting as now Congress also is planning to hold hearings over how GM has handled the recall.