Automotive Recall Cost Disputes and Defence Coordination​

When a recall prompts a cost demand or complex liability matter, decisions depend on a clear account of the technical facts. RQA helps automotive suppliers, insurers and legal advisers examine recall evidence and coordinate the specialist work needed to move a matter forward.

Reviewing an OEM recall cost demand

For a Tier 1, 2 or 3 supplier, the initial demand from an OEM can be overwhelming; with extensive recall populations, internal resource strains, replacement costs, logistics, administration, customer compensation and other consequential costs. But the OEM’s spend is not necessarily the supplier’s liability.

We help assess the affected population, potential root cause, chronology, recall scope, execution and the factual basis for the amounts claimed.

Working with the client’s legal advisers on contractual and liability questions, we help develop an evidence-based technical position for discussions with the OEM. The scope can be a focused review of a specific demand or a broader assessment of the recall record. The objective is not to avoid legitimate liability. It is to establish a fair, evidence-based and defensible settlement position that reflects the supplier’s responsibility through a proper allocation of risk and loss.

Coordinating a complex defence

Product recall and liability matters can involve counsel in several jurisdictions, insurers, technical experts and commercial stakeholders. We can help organise those inputs, track connected issues and maintain visibility of strategy, emerging evidence and costs.

Our consultants bring decades of experience as Global Defence Coordinators for major international brands facing complex, multi-jurisdictional product liability claims. We provide the single interface between the manufacturer, local counsel, insurers, technical experts and other stakeholders ensuring litigation strategy remains aligned with commercial priorities, global product safety and recall decisions, regulatory exposure, insurers’ expectations and the manufacturer’s wider risk appetite

We challenge strategy, budgets and legal spend, helping manufacturers and insurers obtain better value and ROI from their defence investment. We can work alongside an existing in-house legal function or provide additional capacity when a major incident exceeds internal resources.

The approach is shaped around the matter and the roles already held by the client and its legal advisers.

Discuss your requirements

Share details of the matter with RQA to discuss the technical review or defence coordination support required. 

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If you would like more information or to speak with a product risk expert, please share your details below or call us on:
+44 (0)118 405 0192.