Thousands of drivers eligible for $100 payment from Toyota settlement – cars created nasty smell due to ‘defect’

MILLIONS of Toyota drivers can file for a $100 payment from the manufacturer after a class action lawsuit settlement was reached.

The issue was a persistent “foul odor” during the summer and winter months.

Getty

Getty

If you own a Toyota Camry XB50 from the model years 2012 to 2015 and noticed a persistent foul smell from the A/C, you should read this closely.

A class action lawsuit was filed against the automaker in Florida in 2015 when owners complained of a strong owner from the A/C when they’d turn it on.

Even after taking it to the shop for repairs, the smell kept coming back.

However, other drivers noted that it would happen when using other systems utilizing the same vents, like the heating.

The plaintiffs in the lawsuit argued that a defective design from the factory caused moisture to accumulate in the system, which encouraged mold growth.

Mold would then cause a foul and strong smell when the system was used.

A Florida judge originally denied the plaintiff’s claim and ruled in favor of Toyota, but the lawsuit was picked up again in California.

California drivers proved victorious, as a judge ruled in favor of the plaintiffs in May of 2024.

From 2012 to 2015, Toyota sold 1.5 million Camrys in the States.

With California being one of the largest markets in the nation, and since Japanese automakers are the best-selling automakers year over year according to the California New Car Dealers Association , potentially 300,000 drivers may be eligible for payment.

The settlement amount was undisclosed, and Toyota admitted no wrongdoing.

Drivers can run their VIN through this site to see if they qualify for payment.

Then, on the Top Class Action site detailing the suit, there’s a link for a form owners can fill out.

Before filing for payment, be sure to have any proof of payment for A/C smell-related issues.

Proof of technician statements related to mold causing the smell would be helpful, too.

What's a class-action settlement?

Class action lawsuits offer groups of people, or 'classes,' a way to band together in court.

These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.

When a suit becomes a class action, it extends to all “class members,” or people who may have similar complaints to those who filed the suit.

Companies often settle class actions – offering payment to class members who typically waive their right to pursue further legal action by accepting money.

These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.

Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company’s doorstep.

If a driver’s form is found to be within parameters, they will be issued a $100 payment.

While drivers will be paid $100, the attorney fees of $4,100,00 will be paid by Toyota, including $350,000 in expenses.

Class representatives in the settlement will be rewarded up to $7,500, according to the class action site .

Drivers have until September 30, 2024, to object or exclude themselves from the settlement.

The fairness hearing is scheduled for October of this year, and drivers have until May 31, 2025, to file the settlement form.