Rosner, Barry & Babbitt, LLP’s Auto Fraud Legal Center is pleased to announce that it has successfully defeated a motion to compel to arbitration in a backdating class action in San Diego County, the Honorable Ronald Prager presiding.  The lawsuit, entitled Roberts v. El Cajon Motors dba El Cajon Ford, Case No. 37-2009-00092945-CU-CO-CTL, revolves around two business practices at El Cajon Ford.  The first is backdating retail installment sale contracts, where Ms. Roberts alleges that when customers were called back to El Cajon Ford to sign a new contract to purchase the same vehicle, El Cajon Ford dated the subsequent contract the same date as the original contract, thereby causing undisclosed charges.  The second practice and proposed class involves El Cajon Ford’s practice of failing to disclose deferred down payments and using Hold Check Agreements that contain different payment terms than the retail installment sale contracts.  The Court held that El Cajon Ford waived its right to compel arbitration and that the arbitration clause was procedurally and substantively unconscionable.  For more information about the case, contact Hawk Barry at 800-466-5366 or hawk@rbblawgroup.com.

NHTSA is looking into why Toyota waited 11 months after recalling trucks in Japan for a steering defect before it recalled nearly 1 million 4Runner SUVs and T100 and Hi Lux pickups in the U.S.  The recall applied to 1989 to 1998 model years.

For more information go to:

http://content.usatoday.com/communities/driveon/post/2010/05/update-nhtsa-probes-delay-in-toyota-steering-relay-rod-recall-/1

Toyota is recalling 50,000 Sequoia SUVs because the stability system could cause an unexpected problem with low-speed acceleration.

See: http://www.reuters.com/article/idUSTRE63R4J620100428

In addition,  Consumer Reports magazine has lifted a consumer warning on Toyota Motor Corp.’s 2010 Lexus GX460, after the auto maker recalled and repaired the vehicle.  Toyota last week began repairs on the vehicles through a software upgrade to its electronic stability control system, which is designed to stop vehicles from skidding during a turn.

See: http://online.wsj.com/article/SB10001424052748703338004575229853396185866.html?mod=WSJ_auto_LeadStoryCollection

If you have experienced this problem with your car and it has been subject to multiple repair attempts, you could have a potential claim under the California Lemon Law.