Shell Canada lawsuit
Encyclopedia
The Shell Canada Lawsuit was a class action
suit filed against Shell Canada Limited
on July 18, 2003, on behalf of customers who purchased "Bronze" (regular-grade
) gasoline
products, to which Shell Canada added an "additive
", between March 1, 2001 and April 15, 2002. This additive allegedly caused damage to the fuel supply system of many cars, most commonly of Acura
, Chrysler
, Dodge
, Ford, General Motors
, Hyundai
and Volvo
brands. While Shell Canada estimated that between 100,000 and 200,000 customers bought "Bronze" products during that period, it is unknown how many total vehicles were affected.
A settlement was reached on January 7, 2004, and was approved by the Superior Court of Quebec in June 2004. Under the settlement, Shell compensated people who owned or leased vehicles that were filled with at least C$
100 worth of Shell branded gasoline between March 1, 2001 and April 15, 2002 and that experienced fuel pump
or fuel sensor problems before July 31, 2002. Claims were able to be made under the class action until November 5, 2004.
There are three classes of claims and compensation:
Class action
In law, a class action, a class suit, or a representative action is a form of lawsuit in which a large group of people collectively bring a claim to court and/or in which a class of defendants is being sued...
suit filed against Shell Canada Limited
Shell Canada
Shell Canada Limited is the subsidiary of Dutch-based Royal Dutch Shell and one of Canada's largest integrated oil companies. Exploration and production of oil, natural gas and sulphur is a major part of its business, as well as the marketing of gasoline and related products through the company's...
on July 18, 2003, on behalf of customers who purchased "Bronze" (regular-grade
Octane rating
Octane rating or octane number is a standard measure of the anti-knock properties of a motor or aviation fuel. The higher the octane number, the more compression the fuel can withstand before detonating...
) gasoline
Gasoline
Gasoline , or petrol , is a toxic, translucent, petroleum-derived liquid that is primarily used as a fuel in internal combustion engines. It consists mostly of organic compounds obtained by the fractional distillation of petroleum, enhanced with a variety of additives. Some gasolines also contain...
products, to which Shell Canada added an "additive
Gasoline additive
Gasoline additives increase gasoline's octane rating or act as corrosion inhibitors or lubricants, thus allowing the use of higher compression ratios for greater efficiency and power, however some carry heavy environmental risks...
", between March 1, 2001 and April 15, 2002. This additive allegedly caused damage to the fuel supply system of many cars, most commonly of Acura
Acura
Acura is the luxury vehicle division of Japanese automaker Honda Motor Company. The brand has been available in the United States and Canada since March 1986, marketing luxury, performance, and near-performance vehicles. It was introduced to Hong Kong in 1991, Mexico in 2004, and China in 2006...
, Chrysler
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
, Dodge
Dodge
Dodge is a United States-based brand of automobiles, minivans, and sport utility vehicles, manufactured and marketed by Chrysler Group LLC in more than 60 different countries and territories worldwide....
, Ford, General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
, Hyundai
Hyundai Motor Company
Hyundai Motor Company is a Korean multinational automaker based in Seoul, South Korea which, along with Kia, comprises the Hyundai Kia Automotive Group, the world's fourth largest automaker as of 2009. As of 2011, it is the world's fastest growing automaker for two years running...
and Volvo
Volvo
AB Volvo is a Swedish builder of commercial vehicles, including trucks, buses and construction equipment. Volvo also supplies marine and industrial drive systems, aerospace components and financial services...
brands. While Shell Canada estimated that between 100,000 and 200,000 customers bought "Bronze" products during that period, it is unknown how many total vehicles were affected.
A settlement was reached on January 7, 2004, and was approved by the Superior Court of Quebec in June 2004. Under the settlement, Shell compensated people who owned or leased vehicles that were filled with at least C$
Canadian dollar
The Canadian dollar is the currency of Canada. As of 2007, the Canadian dollar is the 7th most traded currency in the world. It is abbreviated with the dollar sign $, or C$ to distinguish it from other dollar-denominated currencies...
100 worth of Shell branded gasoline between March 1, 2001 and April 15, 2002 and that experienced fuel pump
Fuel pump
A fuel pump is a frequently essential component on a car or other internal combustion engined device. Many engines do not require any fuel pump at all, requiring only gravity to feed fuel from the fuel tank through a line or hose to the engine...
or fuel sensor problems before July 31, 2002. Claims were able to be made under the class action until November 5, 2004.
There are three classes of claims and compensation:
- People who owned or leaseLeaseA lease is a contractual arrangement calling for the lessee to pay the lessor for use of an asset. A rental agreement is a lease in which the asset is tangible property...
d 1996–2002 Chrysler vehicles (except JeepJeepJeep is an automobile marque of Chrysler . The first Willys Jeeps were produced in 1941 with the first civilian models in 1945, making it the oldest off-road vehicle and sport utility vehicle brand. It inspired a number of other light utility vehicles, such as the Land Rover which is the second...
s) were fully reimbursed for fuel pump and fuel sensor repairs and for eligible out-of-pocket expensesOut-of-pocket expensesOut-of-pocket expenses are direct outlays of cash which may or may not be later reimbursed.In operating a vehicle, gasoline, parking fees and tolls are considered out-of-pocket expenses for the trip...
. - People who owned or leased other 1996–2002 vehicles and who can establish that the fuel pump or fuel-sending unit had a particular residue on it were reimbursed for eligible repairs and out-of-pocket costs to a maximum of C$175.
- People who owned or leased pre-1996 vehicles and who can establish that the fuel pump or fuel-sending unit had a particular residue on it were reimbursed for eligible repairs and out-of-pocket expenses to a maximum of C$100.