Court allows claims over lost GM car values, tosses others

DETROIT (AP) – A federal judge has ruled that owners of General Motors cars recalled for defective ignition switches can sue the company for any loss in the cars’ value. But the judge threw out loss-of-value claims from owners of GM cars that weren’t recalled.

Judge Jesse Furman in New York issued the ruling on Friday on a motion from General Motors to dismiss the claims.

Seattle attorney Steve Berman says the split decision still allows owners of at least 11 million to 12 million cars that had defective switches to sue the automaker. But Furman’s opinion said the argument that all GM cars lost value because of the recalls was unsound.

Yet to be decided are loss-of-value claims for cars involved in other GM recalls.

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