Nissan To Pay Up to $800 Per Customer in Class-Action Settlement

Dec 09, 2014 04:10 PM EST | Jordan Ecarma

Nissan has settled a class-action lawsuit to the tune of as much as $800 per customer after reports that certain Nissan and Infiniti models had brakes that could fail suddenly.

Still pending approval by U.S. District Judge Phyllis Hamilton, the settlement would bring a close to a class-action lawsuit from 2011 that alleged abrupt brake failure in certain vehicles due to a faulty electrical component.

"The settlement agreement, filed on Dec. 5, would affect current or former owners of approximately 350,000 vehicles nationwide," Reuters reported. "They include Nissan Armadas, Infiniti QX56s or certain Nissan Titans, all model years 2004 to 2008, according to the court papers filed with the U.S. District Court for the Northern District of California."

Under the agreement, Nissan North America will reimburse class members with an amount between $20 and $800 each that will be based on the vehicle's mileage.

While plaintiffs have sought damages for monetary losses such as repair expenses, no claims for physical injury were included in the suit. 

The documents did not specify how much Nissan will end up reimbursing customers altogether. In addition to the monetary restitution to affected owners, Nissan will cover up to $3.45 million in legal fees and expenses for the plaintiffs' lawyers.

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