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DaimlerChrysler to Appeal Landmark Jury Verdict

19 February 1999

DaimlerChrysler to Appeal Landmark Jury Verdict; Minor Burns - Major Damages

    AUBURN HILLS, Mich., Feb. 18 -- DaimlerChrysler
today vowed to overturn a Pennsylvania jury's decision to award 75,000
plaintiffs $58.5 million in a class action lawsuit.
    The case involves a woman who credits the air bag in her 1989 Chrysler
LeBaron with saving her and her unborn child from serious injury -- and
possibly even death -- but who experienced a minor hand burn when the air bag
deployed during a 1992 accident.
    "Ten years ago, we would have received a thank you note from a customer
for the air bag having saved her life.  Today, we get slapped with a multi-
million dollar verdict.  That is the nature of our out of control legal
system," said DaimlerChrysler attorney Karl Lukens.  "Holding DaimlerChrysler
liable in this case is like holding the manufacturer of a bullet proof vest
responsible because their product saved someone's life, but resulted in a few
bruised ribs.  This is a case about trial lawyer greed, not about a defective
product."
    Crawley v. Chrysler is a class action suit brought on behalf of
approximately 75,000 Pennsylvania residents who own Chrysler vehicles (model
years last quarter of 1988, 1989 and 1990) with driver air bags that have
vents at the 9 and 3 o'clock positions on the steering wheel.  These vents
allow for the rapid deflation of the airbag following deployment -- a critical
feature in any air bag system.
    Only 14 of the 75,000 class members have ever had an experience similar to
the name plaintiff, Louise Crawley.  The plaintiffs' own expert admits that 99
percent of the members of this class action will never be involved in an
accident that causes hand burns.  DaimlerChrysler's expert believes the figure
is around 99.99 percent.
    "The overwhelming majority of the 75,000 class members are satisfied
drivers of Chrysler vehicles that are now eight to 10 years old," said Lukens.
"Not a single penny of this award will go to compensate anyone for any injury.
In fact, the lion's share will go straight into the pockets of the trial
lawyers."
    Lukens called air bags "the most tested safety advance in automotive
history."  Prior to selecting the air bag design in question, Chrysler
engineers examined the records of the National Highway Transportation
Administration (NHTSA) for air bag performance in the field.  Chrysler also
reviewed the performance of air bags installed in vehicles produced by other
automakers -- all of which had the 9 and 3 o'clock venting position.  Chrysler
and the air bag supplier also did extensive testing.
    None of these tests revealed any problems with burns due to the vent
location.  Even the plaintiffs' own expert admits that there was no
information available that would have alerted Chrysler to the possibility that
some drivers would experience hand burns in an air bag deployment.
    "We are confident we have strong substantive grounds for appeal," Lukens
said. "Ultimately, this outrageous ruling will be reversed and justice will
prevail."
    Damages are as follows:  Jurors awarded $730 to each class member, and
assessed $3.75 million in punitive damages ($730 x 75,000 class = $54.75
million + $3.75 million in punitives = $58.5 million).
    The trial began on January 20, 1999 in the Court of Common Pleas,
Philadelphia, Pa.