Ford Loses Appeal to Stop Lawsuit

Ford Motor Co., the second-biggest U.S. automaker, lost a court appeal that sought to keep a lawsuit over an allegedly defective engine part from proceeding as a group claim on behalf of about 100,000 people.

The U.S. 9th Circuit Court of Appeals in San Francisco rejected Ford’s argument that a trial judge in Oakland improperly decided that the plaintiffs could sue as a class.

Ford had sought appeals court review before the case goes to trial, arguing that certification of a class action created “tremendous pressure” to settle. The suit seeks more than $100 million in damages and attorneys’ fees.

“Although the district court was succinct, it provided detailed, substantive examples of the common issues,” the appeals court’s decision said. “Requiring the district court to expand its analysis would produce nothing more than a lengthy explanation of the obvious.”

The appeals court’s decision to not review the certification order was based on “its view that appeals before trial are strongly disfavored,” Ford spokeswoman Kathleen Vokes said. “If necessary, Ford will again ask the 9th Circuit to review the trial court’s order after trial,” she said.

The suit claims Ford installed plastic intake manifolds that were prone to cracking and causing coolant leaks on its 1996 to 2001 Mercury Grand Marquis, Lincoln Town Car and Ford Crown Victoria cars, as well as 2002 Explorers and 1998 to 2001 Mustangs. Ford stopped using the manifolds in 2002.

Ford shares fell 11 cents to $11.33 on the New York Stock Exchange.