GM legal department under further scrutiny

Two product litigation lawyers are among the 15 employees fired by GM as Congress looks set to question GM lawyers.

At least one senator, Claire McCaskill of Missouri, is hoping to question General Motors lawyers over the culture of secrecy which restricted information on fatal ignition problems in some models Sergey Nivens

Further details have emerged over the last few days on an investigation by Anton Valukas, chair of Jenner & Block, into the culture of secrecy at GM that blocked crucial information being circulated about the vehicle faults. As a result of that report, three senior lawyers have lost their jobs including William Kemp who had been in charge of the internal inquiries into the faults. Mr Kemp was masterminding the inquiries for two years before telling general counsel Michael Millikin in February this year. Two further lawyers have been named as no longer working at GM, Jaclyn Palmer and Ronald Porter. Mr Millikin has been absolved because his staff gave him limited information. 

Under the threshold 

Mr Valukas asked Mr Kemp why he had not informed his boss sooner about the fatal mechanical flaw. Mr Valukas summed up the response of Mr Kemp as follows: ‘He could not explain why he did not raise it with Mr. Millikin earlier. And in hindsight says he probably should have.’ Numerous settlements were made after fatal accidents but they were kept under the US$5m level at which the General Counsel, Mr Millikin, would need to have been informed.

Case by case

Commenting on Mr Kemp’s dismissal, Richard Zitrin, legal ethics professor at the Hastings College of the Law at the University of California, said: ‘That says to me that the GM lawyers were involved in keeping the ignition failure secret case by case, according to  New York Times.

Meanwhile plaintiff lawyers are said to be reading the Valukas report which may prove extremely helpful to them in their proceedings, AutoNews reports. 

Congress takes an interest

At least one senator, Claire McCaskill of Missouri, is hoping to question General Motors lawyers over the culture of secrecy which restricted information on fatal ignition problems in some models.

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