Two automakers with U.S. headquarters in Orange County Thursday announced they reached a settlement with the attorneys generals in 34 states and the District of Columbia over allegations of misrepresenting the gas mileage of their vehicles.
California received the most of the $41.2 million settlement, with Attorney General Kamala Harris’ office netting about $3 million.
The attorneys generals alleged that Fountain Valley-based Hyundai and Irvine-based Kia misrepresented the mileage and fuel economy ratings for some model year 2011, 2012 and 2013 vehicles. Hyundai denied the allegations and said the company had voluntarily reported any problems.
“California consumers deserve reliable and accurate information regarding the environmental impacts of the cars they buy,” said Harris. “Kia and Hyundai misrepresented the fuel economy of its vehicles, misled consumers and contributed to more greenhouse gas emissions. My office will not tolerate the deception of California consumers who want to save on gas prices and reduce their environmental impact.”
The companies last year paid $6 million in civil penalties to the California Air Resources Board, Harris said.
Hyundai officials, however, said they voluntarily reported the mileage discrepancy and denied violating state consumer protection laws or putting out deceptive ads. The company said the ads cited in the lawsuits were “merely drafts of advertisements that ultimately ran with fully compliant disclaimers regarding the vehicles’ stated fuel economy.”
“Even with our adjusted ratings, we are encouraged that Hyundai continues to lead the automotive industry in fuel efficiency and environmental performance,” said David Zuchowski, president and chief executive of Hyundai Motor America.
Kia officials did not immediately respond to a request for comment.
–City News Service