Glancy Prongay & Murray LLP, a law firm based in Los Angeles, has issued a reminder to investors regarding the approaching deadline for the class action lawsuit against General Motors Company (GM). The deadline to file a lead plaintiff motion is February 6, 2024, for investors who purchased or acquired GM securities between February 2, 2022, and October 26, 2023.
The lawsuit stems from allegations related to GM’s driverless vehicles and airbag safety concerns. On October 2, 2023, a pedestrian was reportedly run over by one of GM’s driverless Cruise AVs, resulting in significant injuries. Subsequently, GM’s stock price fell by 3.5%.
Further impacting GM’s stock value, on October 5, 2023, the National Highway Traffic Safety Administration (NHTSA) recommended a recall of over 50 million airbags, with at least 20 million installed in GM vehicles, one of which resulted in a confirmed fatality. GM’s stock price dropped by 2.4% following this news.
Moreover, on October 24, 2023, the California Department of Motor Vehicles suspended Cruise’s deployment and driverless testing permits, citing ‘misrepresented information related to the safety of the autonomous technology of its vehicles.’ This led to a 2.3% decline in GM’s stock price.
Additionally, on October 26, 2023, Cruise announced the suspension of all its AV operations across the country. As a result, GM’s stock price fell by 4.7%.
The class action complaint alleges that throughout the Class Period, GM and its executives made false and misleading statements, and failed to disclose adverse facts about the Company’s business, operations, and prospects. The lawsuit contends that GM downplayed concerns with its vehicles’ autonomous technology and airbag safety, which had a detrimental impact on investors.
Investors who suffered losses on their GM investments during the specified period or wish to explore potential claims under federal securities laws are encouraged to submit their contact information on the law firm’s website or reach out to Charles H. Linehan at GPM for further information about their rights.
