The Toyota Fine Dilemma...

As you know by now, US regulators, commanded by US Secretary of Transportation ray LaHood and the National Highway Traffic Safety Administration (NHTSA) have called for a $16.4 million fine to be handed to Toyota for the way in which it handled the unintended acceleration recall.

Bluntly put, the US has "have proof that Toyota failed to live up to its legal obligations" and that the carmaker "knowingly hid a dangerous defect for months from U.S. officials and did not take action to protect millions of drivers and their families." Nasty...

What's nastier, however, is that should Toyota pay the fine without challenging it, it implicitly admits to all the accusations. Accusations which, although obviously based on fact, were never admitted to by the carmaker.

That's why Toyota is yet undecided on how to handle the fine. A record in itself, the $16.4 million fine is surely not the end of the world for Toyota. Yet, the carmaker is "in the process of coming to a decision, and we're not sure when that will be finalized," as Cindy Knight, a Toyota spokeswoman told DetNews.

Toyota has until April 19 to respond in writing, with NHTSA saying the carmaker will be taken to court and forced to pay should it raise objections.

The NHTSA also announced it sent the letter notifying Toyota about the fine on Monday.

Seen from Japan, the fine is "based on laws in the United States" and leaves no room from intervention, Masayuki Naoshima, Japanese economy, trade and industry minister said yesterday.
If you liked the article, please follow us:  Google News icon Google News Youtube Instagram X (Twitter)
About the author: Daniel Patrascu
Daniel Patrascu profile photo

Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
Full profile


Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories