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Press release from Business Wire

Glancy Binkow & Goldberg LLP Announces Update on In re: Toyota Motor Corp. Hybrid Brake Marketing, Sales Practices and Products Liability Litigation – MDL No. 2172

Tuesday, March 06, 2012

Glancy Binkow & Goldberg LLP Announces Update on In re: Toyota Motor Corp. Hybrid Brake Marketing, Sales Practices and Products Liability Litigation – MDL No. 217213:40 EST Tuesday, March 06, 2012 LOS ANGELES (Business Wire) -- Following the commencement of this class action litigation in February 2010 in the United States District Court, Central District of California, against Toyota Motor Corporation (NYSE:TM) and its U.S. sales subsidiary, Toyota Motor Sales, U.S.A. Inc. (collectively “Toyota”), Plaintiffs filed their First Consolidated Amended Class Action Complaint (the “Consolidated Complaint”) on April 26, 2011. Plaintiffs allege that a defect in the anti-lock brake system (the “ABS”) of the 2010 Toyota Prius and Lexus HS 250h (the “Class Vehicles”) causes a temporary loss in braking power when the ABS is engaged on rough or slick road surfaces, resulting in increased stopping time and distance. Plaintiffs further allege that Toyota had notice of the defect as early as July 2009 but nevertheless failed to disclose the defect on a timely basis, continued to manufacture and sell the Class Vehicles, and advertised the Class Vehicles as safe and reliable. In February 2010, Toyota “voluntarily” recalled the Class Vehicles and offered to install a software update to remedy the braking defect. However, despite the “recall,” Plaintiffs claim that the braking defect has not been cured and that they and the proposed class have suffered ensuing monetary and property damages. On September 12, 2011, the Court issued an Order denying Toyota's motion to dismiss the Consolidated Complaint. Less than one month later, and nearly two years after this litigation commenced, Toyota filed a motion to compel arbitration based on an arbitration clause contained in certain sales contracts between the car dealerships and some of the Plaintiffs. Although Toyota was not a party to these sales contracts, Toyota nevertheless argued that it could enforce the arbitration clause against certain Plaintiffs. On December 20, 2011, the Court issued an Order denying Toyota's motion to compel arbitration. On January 6, 2012, Toyota filed a notice of appeal of the Court's December 20, 2011 Order. On January 30, 2012, Toyota filed a motion to stay this litigation pending the appeal which was denied by the Court on February 23, 2012. Plaintiffs anticipate filing their motion for class certification on September 7, 2012. If you purchased or leased a 2010 Toyota Prius or Lexus HS 250h in the United States and believe your vehicle suffers from the brake defect described above, or would like more information concerning this class action, please contact Marc L. Godino at Glancy Binkow & Goldberg LLP, 1925 Century Park East, Suite 2100, Los Angeles, California 90067, toll free at 888-773-9224. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules. Glancy Binkow & Goldberg LLP, Los Angeles, CAMarc L. Godino310-201-9150 or 888-773-9224www.glancylaw.com