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Toyota’s troubles drag on

CLASS action lawsuits are piling up against Toyota and could cost the carmaker billions of dollars in damages.

Toyota owners are “charging gross negligence on the part of the automobile manufacturer,” following its decision this month to recall 8.5m cars.

It is understood that 44 class action lawsuits have been filed and could amount to $3.6bn ($2.6bn).
US regulators are demanding the firm hand over documents to determine if its recalls should have taken place sooner.

US Federal law requires that car manufacturers notify authorities within five days of spotting a safety defect and if found guilty Toyota could be fined up to $16.4m.

The Toyota Prius was recalled to replace braking software following over 1,000 complaints in a week. Akio Toyoda, Toyota’s chief executive, will today update consumers on how the company is addressing the issue.