GM Asks 2nd Circ. To Pause Bankruptcy Shield Ruling

General Motors on Wednesday asked the Second Circuit to put on ice its recent decision that struck down bankruptcy court orders shielding the post-bankruptcy version of the company from liability for ignition-switch defects while it appeals that ruling to the U.S. Supreme Court.

GM asked for a stay of the appeal panel’s mandate, saying that the case raises substantial constitutional law questions — primarily, whether the due process clause imposes obligations of notice to creditors of a bankruptcy sale that go beyond what the U.S. Bankruptcy code requires. The panel in July had reversed a lower court’s decision that the sale order of GM could be used to evade claims from the alleged defects. read more »

Deceit and disgrace

Volkswagen's admission to the EPA kicked off a sequence of events that would cripple the VW brand in the U.S. and plunge the company into a year of crisis. read more »