Another Lawsuit Targets Lycoming
An aggressive legal
action has been filed against Lycoming Engines, Avco Corporation
and Textron, Inc., by Jones Law Offices and Ralph C. Hardesty and
Associates, claiming class action status for a pool of victims
estimated at over 5000. The suit was filed "in response to the FAA
airworthiness directive mandating the replacement of certain
Lycoming crankshafts, a class action lawsuit was filed in the
Circuit Court of Cook County seeking, among other things, entry of
an order enjoining the defendants from denying the defective nature
of the Lycoming crankshafts and requiring them recall the Lycoming
crankshafts, and to pay all costs and expenses associated with
replacing all such crankshafts."
Claiming that "the 'early retirement' program announced by
Lycoming in February 2006, impacts over 5000 planes in the United
States and is a direct result of Lycoming's defective design,
manufacture and testing of its engines -- problems that Defendants
have known about for years and which can lead to premature failure
of the engine crankshafts causing power loss, engine failure,
damage to the airplane, personal injury, and loss of life."
The suit also states that "the 'early retirement' program forces
owners to pay for the replacement of the defective and unsafe
Lycoming crankshafts ('Lycoming Crankshafts'), instead of issuing a
recall whereby Lycoming would bear the costs of repair. Thus,
Defendants have engaged in deceptive, unlawful and unfair
conduct..."
The suit alleges that the Lycoming crankshaft issue is the
result of "fundamental design defects caused by a series of cost
cutting measures introduced by Lycoming in the mid-to-late 1990s."
Attorney Jones and Hardesty add that "These cost-cutting measures
altered the design of the engine and led to crankshaft failures and
a series of prior recalls mandated by the Federal Aviation
Administration ('FAA') and paid for by Lycoming. Defendants paid
for these recalls, but now are trying to avoid paying Plaintiffs
and the Plaintiff Classes for replacement of their defective
products.
Engineers from Lycoming's and Avco Corporation's parent company,
Textron, Inc., proposed various design changes to counteract the
problems with the crankshaft redesign caused by the mid-to-late
1990s measures, but Lycoming's engineers refused to admit that
their design was flawed and refused to change it in ways that would
have avoided the present problems. Lycoming testing clearly showed
that the redesigned crankshafts were defective. However, Lycoming
hid the results of the tests and also tried to hide the fact that
it had even conducted the tests themselves."
The suit alleges
extensive damages, referring to FAA and other documentation t
support their claims, "The FAA Airworthiness Directive estimates
that the cost of complying with SB 569A for all U.S. aircraft
operators, for parts and labor only, at about sixty million
($60,000,000.00) dollars. Forcing "early retirement" of these
Lycoming Crankshafts by February 2009 substantially diminishes the
reasonably expected life of the engine for most aircraft operators.
The Bulletin has also hurt resale value of the planes. Thus,
Plaintiffs and the Plaintiff Classes will incur extensive damages
for parts, labor, and other damages to comply with SB 569A, and
will lose money when they sell or trade their aircraft."
The suit specifically revolves around five counts:
- COUNT I: Illinois Consumer Fraud Statute On
Behalf of the Illinois Consumer Subclass
- COUNT II: Intentional Misrepresentation on
Behalf of The Plaintiff Class
- COUNT III: Product Liability on Behalf of the
Entire Class of Plaintiffs
- COUNT IV: Negligence on Behalf of the
Plaintiff Class
- COUNT V: For Equitable Relief
ANN has calls in to the attorneys involved, as well as Lycoming,
for comment and background. More info to follow...