Tuesday, October 5, 2010

ALLSTATE v. Toyota | SUBRO action | Sudden acceleration claims

NATIONAL - According to the Los Angeles Times (10/5, Bensinger, Vartabedian) reports, "Allstate Corp. has sued Toyota Motor Corp. over sudden-acceleration-related claims it has paid, alleging that the accidents were caused by vehicle defects. The suit, filed Friday in Los Angeles County Superior Court, seeks $3 million in compensation for about 270 claims that the insurance giant has paid out since January 2007."

Allstate spokeswoman Christina Loznicka "said the suit was 'a last resort' taken after negotiations on the claims with Toyota, a practice called subrogation, failed out of court."

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