Hyundai Fined $17.35 Million For Delayed Reporting Of Genesis Recalls

After a rigorous investigation conduced by the NHTSA, Hyundai has been fined $17.35 million, the maximum penalty for a related series of violations until October 1st, 2013, when the fine was increased to $35 million. The South Korean manufacturer failed to report a potentially perilous defect related to the 2009 - 2012 Hyundai Genesis sedan vehicles.

In our guide to how safety recalls happen, we highlighted that if the automaker discovers a life-threatening fault with one of its models during internal investigations, the company needs to inform the National Highway Traffic Safety Administration about it within 5 days. But that didn't happen...

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MattDarringer - 8/8/2014 3:16:56 PM

-2 Boost

And an honest company would be????? Lemme guess. You'll say Tesla.

MattDarringer - 8/8/2014 9:47:35 PM

-1 Boost

Typically yes. A reputable dealer will make contact, yes.

You're not at the dealer level so your snobbery is dismissible. Technical service bulletins typically cause the dealer to make contact.

The fact is that in the case of the Genesis the vast majority were remedied.

Hyundai responded actively.

Your anti-Korean,bigotry is running rampant.

MattDarringer - 8/8/2014 3:16:06 PM

-1 Boost

Hyundai did not "fail to act" they issued a service bulletin which is standard industry practice. A recall would have done the same thing as the service bulletin.

jeffgall - 8/8/2014 7:11:02 PM

+2 Boost

Does a service bulletin require the manufacturer to reach out to the owner regarding the issue?

MattDarringer - 8/9/2014 7:54:53 PM

-1 Boost

A service bulletin does not "require" the dealer to "reach out" but the fact of the matter is that service bulletins represent cash to dealers because the manufacturer has to pay our technicians. Thus a dealer wanting to make money will contact owners. AND conscientious dealers who do this have amazingly good return when the customer wants another car.

When a recall is announced, owners storm the dealer and want things fixed immediately often causing parts to run out and anger on the part of the owners.

I'm not saying that manufacturers should not recall, I'm saying that just because a manufacturer does not recall and issues a bulletin does not automatically make the manufacturer dishonest.

Our stores typically do bird dog significant service bulletins like this one because this is money to us twice.