Honda to extend warranties due to improper odometers
02-19-07, 01:58 PM
#1
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Honda to extend warranties due to improper odometers
Honda agrees to extend warranties
Odometers rolled up miles too fast
February 19, 2007
USA TODAY
Honda Motor Co. is notifying 6 million owners of Hondas and Acuras that they are entitled to warranty extensions and, in some cases, payments because their odometers rolled up miles too quickly.
That made warranties expire too soon and hit some lease customers with excess-mileage penalties.
A lawyer in the lawsuit that resulted in Honda's moves now is aiming at Nissan Motor Co., alleging that its Altima sedans back to 2002 roll up miles 2.5% to 3% too fast. Nissan has filed a motion to dismiss the case, but wouldn't say more because it doesn't comment on pending litigation.
The lawyer, James Holmes of Henderson, Texas, says he's tested Toyotas and, oddly, found them to routinely register slightly fewer miles than actually driven. Detroit brands, he says, "by and large are perfect."
Holmes suspects odometers deliberately are set fast to help automakers trim warranty costs. But the car companies say they're just following an industrywide standard that allows a variation of a few percentage points in odometer accuracy.
The Society of Automotive Engineers' voluntary standard is plus or minus 4%, no more than 4 miles high or low in every 100 miles. The National Highway Traffic Safety Administration says it doesn't regulate odometer accuracy.
Honda says its odometers were accurate to within 3.75% on the high side and 1% on the low side, within the SAE standard. But it says it will extend the warranty mileage 5% and will pay lease-mileage penalties because of fast odometers, at least $6 million just for overcharges on vehicles leased directly from Honda.
Holmes says the fault was noted by Jay Kutchka, a Ft. Smith, Ark., lawyer who drove a Honda Odyssey.
Holmes said that once the lawyers investigated, "It was always something like this: 'I used to drive a Mazda and it was 342 miles to Grandma's. Now I have a Honda and it's 352 miles.' "
"No odometer is going to be perfect," said Honda spokesman Chris Martin. But prompted by the class action, Honda realized "the customer expectation is that it would be based on zero. We weren't. So we decided to settle the suit."
Starting with 2007 models, Honda tightened its odometer accuracy and centered in on 0% variation, Martin said.
A U.S. District Court in Texas will accept or reject the settlement, probably this summer. Holmes says it's rare for a settlement not be approved.
Vehicles covered in the deal: 2002 to 2006 Hondas and Acuras bought from April 13, 2002, to Nov. 7, 2006. Some 2007 Honda Fits also are included
Odometers rolled up miles too fast
February 19, 2007
USA TODAY
Honda Motor Co. is notifying 6 million owners of Hondas and Acuras that they are entitled to warranty extensions and, in some cases, payments because their odometers rolled up miles too quickly.
That made warranties expire too soon and hit some lease customers with excess-mileage penalties.
A lawyer in the lawsuit that resulted in Honda's moves now is aiming at Nissan Motor Co., alleging that its Altima sedans back to 2002 roll up miles 2.5% to 3% too fast. Nissan has filed a motion to dismiss the case, but wouldn't say more because it doesn't comment on pending litigation.
The lawyer, James Holmes of Henderson, Texas, says he's tested Toyotas and, oddly, found them to routinely register slightly fewer miles than actually driven. Detroit brands, he says, "by and large are perfect."
Holmes suspects odometers deliberately are set fast to help automakers trim warranty costs. But the car companies say they're just following an industrywide standard that allows a variation of a few percentage points in odometer accuracy.
The Society of Automotive Engineers' voluntary standard is plus or minus 4%, no more than 4 miles high or low in every 100 miles. The National Highway Traffic Safety Administration says it doesn't regulate odometer accuracy.
Honda says its odometers were accurate to within 3.75% on the high side and 1% on the low side, within the SAE standard. But it says it will extend the warranty mileage 5% and will pay lease-mileage penalties because of fast odometers, at least $6 million just for overcharges on vehicles leased directly from Honda.
Holmes says the fault was noted by Jay Kutchka, a Ft. Smith, Ark., lawyer who drove a Honda Odyssey.
Holmes said that once the lawyers investigated, "It was always something like this: 'I used to drive a Mazda and it was 342 miles to Grandma's. Now I have a Honda and it's 352 miles.' "
"No odometer is going to be perfect," said Honda spokesman Chris Martin. But prompted by the class action, Honda realized "the customer expectation is that it would be based on zero. We weren't. So we decided to settle the suit."
Starting with 2007 models, Honda tightened its odometer accuracy and centered in on 0% variation, Martin said.
A U.S. District Court in Texas will accept or reject the settlement, probably this summer. Holmes says it's rare for a settlement not be approved.
Vehicles covered in the deal: 2002 to 2006 Hondas and Acuras bought from April 13, 2002, to Nov. 7, 2006. Some 2007 Honda Fits also are included
02-19-07, 04:39 PM
#2
Lexus Fanatic
Tires and wheels can make a difference, too.....even factory-supplied tires of the same size. For instance, Michelin, B.F. Goodrich, or Goodyear tires of even the exact same size, due to minor differences in tread design, might or might not have the exact same outside rolling diameter, and could account for minor differences in speeometer and odometer readings...this is why it is very important on most ( not all ) AWD vehicles, with center differentials, to always use the same 4 tires, in the same condition, from the same manufacturer.....anything else can stress the center differential if the 4 rotational speeds are not exact, or almost exact.
Tire pressures, which are normally the owner's responsibility, can make a big difference, too. Pump the tires up too much, and the outside rolling diameter ( in the center of the tire ) will increase...and show an artificially low speedometer and odometer reading. Let the tires go too long, and too much air leak out, and the outside rolling diameter will lessen and give an artificially high speedometer and odometer reading.
Tire pressures, which are normally the owner's responsibility, can make a big difference, too. Pump the tires up too much, and the outside rolling diameter ( in the center of the tire ) will increase...and show an artificially low speedometer and odometer reading. Let the tires go too long, and too much air leak out, and the outside rolling diameter will lessen and give an artificially high speedometer and odometer reading.
02-20-07, 04:30 AM
#5
I heard about this but never read the story until this post. I thought it was going to be a lot worse than this but 3.75% off on the high side doesn't seem all that bad. Yes, nobody really wants more miles than needed, but I had always thought there was an accepted accuracy tolerance in which under 4% meets.
I can see lease deals being affected more though since it could mean been just within the limit or just over it. For private resale though I'm not sure it makes all that much difference being that a 100,000 mile car and a 103,750 mile car are probably worth about the same anyway.
I can see lease deals being affected more though since it could mean been just within the limit or just over it. For private resale though I'm not sure it makes all that much difference being that a 100,000 mile car and a 103,750 mile car are probably worth about the same anyway.
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