Nissan owners could benefit from proposed Takata settlement

Nissan owners could benefit from proposed Takata settlement

Nissan Motor Co. and its US unit will pay nearly USD98 million to settle economic-loss claims tied to Takata Corp. air bag recalls.

The settlement is similar t o others reached with major automakers.

Nissan Motor Co., agreed to pay $97.7 million as claims settlement from consumer economic loss in the US. Without it, the company wouldn't be able to sell their operations to Key Safety Systems for $1.6 billion and could also threaten the supply of air bag inflators to replace recalled ones.

Takata Corp´s bankrupt USA business will ask a federal judge on Wednesday to suspend lawsuits against automakers that have been brought by people injured by its faulty air bag inflators, something that opponents say is an abuse of the law.

Honda Motor Co (7267.T) and Ford Motor Co (F.N) to date have not agreed to settle consumer economic loss claims.

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Vietnam's foreign ministry didn't immediately respond to faxed questions about the meeting. "That has no basis in worldwide law".

Nissan installed the Takata air bags in vehicles but is not admitting fault for malfunctions associated with the company's air bag inflators.

Nissan will also provide use of a rental vehicle and an extended warranty.

As of late June, only 29.9 percent of Nissan vehicles recalled with Takata inflators had been fixed.

The agreement, filed in court Tuesday, will provide for an accelerated replacement of recalled air bags and reimbursement for out-of-pocket costs.

Takata said it faces tens of billions of dollars in liabilities from its inflators, which are subject to the biggest recall in automotive history. Takata has said it expects 125 million vehicles worldwide to be recalled by 2019.

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