Toyota Truck Rust Settlement Covers 1.5M Tundra, Tacoma and Sequoia Vehicles
Toyota has agreed to pay nearly $3.5 billion to settle a class-action lawsuit over rust problems with certain pick-up trucks and SUVs, which claimed that premature corrosion of the vehicle frame may be caused by the automaker’s failure to adequately provide proper rust protection.
The rust settlement was proposed on October 31, according to a report by the New York Times, which may cover 1.5 million Toyota Tundra, Toyota Tacoma and Toyota Sequoia vehicles.
According to the terms, Toyota Motor Corp. has agreed to pay out $3.4 billion to cover inspections, repairs, and other associated costs due to early frame corrosion issues.
Did You Know?
Millions of Philips CPAP Machines Recalled
Philips DreamStation, CPAP and BiPAP machines sold in recent years may pose a risk of cancer, lung damage and other injuries.
Learn MoreThe class action lawsuit was filed in the U.S. District Court for the Central District of California over claims of premature corrosion issues, indicating that Toyota knowingly failed to apply adequate rust protection, leading to premature corroding of the vehicles’ frames and jeopardizing the vehicles’ structural integrity.
Following negotiations that began in March, parties finally reached the Toyota rust settlement agreement to resolve the litigation and compensate vehicle owners for inspection and repair costs, along with any out-of-pocket costs associated with the premature corrosion issues.
The vehicles included in the terms of the settlement include certain Tacoma trucks from model years 2005 through 2010, Sequoia vehicles from 2005 through 2008, and Tundra trucks from 2007 through 2008.
Under the terms of the proposed settlement, the automaker has agreed to replace any vehicles frame included in the scope of the litigation that is found through inspection to have perforation from rust measuring 10mm or greater.
Toyota has also agreed to pay for inspections of every vehicle included in the lawsuit, which is anticipated to cost about $90 million at $60 per inspection. The settlement calls for Toyota to inspect the vehicles for up to 12 years, from the day they were first sold or leased, to determine whether the frames need to be replaced. Any customer with a vehicle affected by the settlement who has paid for a frame replacement will be offered full reimbursement by the automaker.
In addition to the cost of inspections and frame replacements, the settlement terms call for Toyota to pay $9.75 million in attorney’s fees, $150,000 in costs and expenses, and $2,500 to each of the eight named class action lawsuit representatives. According to the settlement documents, Toyota has projected the cost per vehicle to be roughly $15,000.
Within the settlement negotiations, Toyota has agreed to set aside a separate portion of funds to advertise the class action lawsuit, the settlement terms, and the repair and reimbursement process to ensure all customers receive the entitled compensation.
Although Toyota Motor Corp. has agreed to the settlement terms, the automaker has yet to admit liability and has held true that nothing was improperly done during the manufacturing process leading to the premature frame corrosion.
Get more articles like this sent directly to your inbox.
"*" indicates required fields
14 Comments
MIKESeptember 19, 2022 at 5:07 pm
My Toyota dealer has a used Toyota Tacoma on the lot…….can I rely on the dealership to have inspected it for rust?
RayMarch 4, 2022 at 2:47 am
Hello, its now the year 2022, March. Parents bought used toyota tacoma 4 door truck, 2006. Rust went all the way thru the roof. Its covered with a tarp buy its what they call cancer . Can they still get help?
JohnNovember 30, 2020 at 2:28 am
My 2009 has heavy rust on top of Cabell have ask Toyota about it nothing was done I have always buy Toyota for over 20 years and had them buy back one with rust on famed why are they doing this to me
phillipAugust 22, 2019 at 4:32 pm
2005 Toyota tundra reg.cab long bed 4x4
phillipAugust 19, 2019 at 1:44 am
I have always bought American but I decided to treat myself to a tundra which was well used(2017).Ihave turned wrenches for many years & have never heard of a frame rusting through 2005 tundra v-8 4x4 long bed.
cherylNovember 6, 2018 at 8:12 pm
I called Toyota Service ctr in Honolulu, (my vehicle was bought from Waipahu Toyota and shipped to Molokai). I ended up speaking to a manager and was ultimately told that if I ship my Tacoma to their service ctr (there are no service ctrs on Molokai and no authorized mechanics) I not only have to pay my own shipping to and from but, if they don't find any FRAME rust then they will charge me $60 f[Show More]I called Toyota Service ctr in Honolulu, (my vehicle was bought from Waipahu Toyota and shipped to Molokai). I ended up speaking to a manager and was ultimately told that if I ship my Tacoma to their service ctr (there are no service ctrs on Molokai and no authorized mechanics) I not only have to pay my own shipping to and from but, if they don't find any FRAME rust then they will charge me $60 for just looking at it. There are also several SAFETY recalls they have to fix on it but they still will not pay shipping nor will they check for rust as a courtesy while they have it in shop. Customer service????? It is a 2006 4wd Double cab Tacoma I bought 2nd hand from the dealership. The roof started rusting within 1 year of my purchase. Fixed it myself because it rusted so bad the back window was about to fall out. within 2 years of fixing it rusted again and is so bad the roof is now leaking. I don't see how it can be fixed now. Sad because my family always bought Toyota but now........
JCOctober 1, 2017 at 1:30 pm
My wife & I bought a 2003 Toyota Sequoia in Oct 2003. This year it's 14 years old and has a little over 260,000 miles on it. We love this vehicle although we've had a few issues with it over the years we keep is as our primary means of transportation because of it is an extremely reliable vehicle and meets our needs better than any other. Earlier this year we began began experiencing leaking that [Show More]My wife & I bought a 2003 Toyota Sequoia in Oct 2003. This year it's 14 years old and has a little over 260,000 miles on it. We love this vehicle although we've had a few issues with it over the years we keep is as our primary means of transportation because of it is an extremely reliable vehicle and meets our needs better than any other. Earlier this year we began began experiencing leaking that our mechanic actually found to be coming from the cargo area at the welded seams where the roof meets the two side frames. There was extensive rust at both seams but it appears the left side leaks more than the right. To date we have paid almost $2000 for inspection and repair but, as of yesterday, 9/30/17, we are still getting rain inside. The vehicle is well beyond warranty but I'm wondering if the lawsuit uncovered any information leading to a solution. Owner comments about repairs from Toyota dealers and independent mechanics in other forums are not encouraging. Is there any type of provider that could remove the rust and re-weld the seams to prevent further leakage? Thanks in advance for any information you may provide.
GeorgieJune 23, 2017 at 8:05 am
My frame rusted in one year, it suddenly just disintergrated like piece of burning paper. I thought it was Hawaii's salt water humidity, I was suspicious as how quickly it fell apart. Anyway, I the class action lawfirm been sort of snoop. No phone number, my application letter returned with not deliverable address, gotten couple of email but I think I rather just take them to court myself. I don[Show More]My frame rusted in one year, it suddenly just disintergrated like piece of burning paper. I thought it was Hawaii's salt water humidity, I was suspicious as how quickly it fell apart. Anyway, I the class action lawfirm been sort of snoop. No phone number, my application letter returned with not deliverable address, gotten couple of email but I think I rather just take them to court myself. I don't believed you suppose to filed the suit with the dealership right, Do anyone know where to file the lawsuit with Toyota???
TeresaMay 11, 2017 at 2:57 am
I have not take my Toyota Tacoma for inspection yet I was told to wait tile the end of this month for fared notices I'm stile waiting please let me know about the settlement is reedy by the courts or what? please let me know Thanks
BillJanuary 8, 2017 at 3:00 pm
Hi there Diane. Your corolla does not have a frame so there are no rust issues only suvs and trucks that have true "ladder" style frames. All cars are what they call "unit body". But that is not to say they cannot rust through. The roof rust problem is most likely a paint (or repaint) adhesion problem or poor prep job on the repaint/paint.
BillJanuary 8, 2017 at 2:56 pm
I had a 1998 Toyota Tacoma which was "covered" in the first rust recall. Mine almost snapped in half it was so bad. I took the "buyout" and bought a 2009 Tacoma thinking that Toyota would fix the problem. Wrong. I had just traded my 2009 for a Ford F150 several months before the recall or I would have lost a lot more. You see Toyota will give you 1.5 book or thereabouts but you still have to c[Show More]I had a 1998 Toyota Tacoma which was "covered" in the first rust recall. Mine almost snapped in half it was so bad. I took the "buyout" and bought a 2009 Tacoma thinking that Toyota would fix the problem. Wrong. I had just traded my 2009 for a Ford F150 several months before the recall or I would have lost a lot more. You see Toyota will give you 1.5 book or thereabouts but you still have to come up with the rest of the money. For me in 2009 it was $15K and I only had 80K miles expecting to keep it to 200K at least. The US govt should hit them hard because they are arrogant and didn't fix the problem after the first recall. Thank God I got rid of mine before this broke.
CharlesJanuary 7, 2017 at 5:22 pm
I Sold my 2007 Tundra with less than 43k in Nov/16 for a F150. I also at the time I was told no recall. The rear differential was leaking from the top of the cover which was welded on. most are bolted on I was told 4k to 6k to repair. No more Toyota trucks for me.
GarrettDecember 12, 2016 at 2:52 pm
Good morning, I am the owner of a 2008 Toyota Tundra. I realized there was a problem with rust when I had a beautiful concrete drivway installed and it now has rust stains embedded into it. It is not very attractive. I called Sunrise Toyota to schedule an oil change and also get an inspection on my frame. I was told there is NO recall on my vehicle. I can see there will be a problem getting any co[Show More]Good morning, I am the owner of a 2008 Toyota Tundra. I realized there was a problem with rust when I had a beautiful concrete drivway installed and it now has rust stains embedded into it. It is not very attractive. I called Sunrise Toyota to schedule an oil change and also get an inspection on my frame. I was told there is NO recall on my vehicle. I can see there will be a problem getting any cooperation from them so maybe you can head me in the right direction. This was my first Toyota and I liked it however this is not a simple switch that needs to be changed therefore it will be the last Toyota.
DianeNovember 15, 2016 at 2:31 pm
I drive a 2005 Toyota Corolla and the entire roof of the car rusted. Why is it not included?