DETROIT -

As the automaker revealed a major reorganization of its engineering department, General Motors said today that the company has asked the bankruptcy court for the Southern District of New York to rule on whether the growing number of lawsuits alleging purely economic damages resulting from the ignition switch recall may proceed. 

The automaker said the motion does not concern accidents or injuries. GM officials noted the motion “does not address any litigation involving an accident or incident causing personal injury, loss of life or property damage.” 

Further, the OEM pointed out the motion “does not involve whether ‘New GM’ should repair the ignition switch defect. ‘New GM’ has committed to replacing the defective ignition switch as a result of the recall.

“The lawsuits that are the subject of this motion, most of which purport to be class actions, are brought by or on behalf of individuals who were not injured as the result of any failure of the ignition switch,” GM officials went on to say.

Along with the announcement sent to Auto Remarketing, GM spokesperson Jim Cain recapped the moves the automaker has made regarding the recall of older models such as the Chevrolet Cobalt and Saturn Ion that have ignitions known to slip into the accessory position while the vehicle is in operation.

“General Motors has taken responsibility for its actions and will keep doing so,” Cain said. “GM has also acknowledged that it has civic and legal obligations relating to injuries that may relate to recalled vehicles, and it has retained Kenneth Feinberg to advise the company what options may be available to deal with those obligations.”

Just before chief executive officer Mary Barra made her first appearance at a Capitol Hill hearing about the recalls earlier this month, GM retained Feinberg as a consultant to explore and evaluate options in its response to families of accident victims whose vehicles are being recalled for possible ignition switch defects.

Barra described Feinberg as highly regarded for his handling of compensation issues related to 9/11, the BP oil spill in the Gulf of Mexico, and the Boston Marathon bombing.

“Mr. Feinberg is highly qualified, and is very experienced in the handling of matters such as this,” Barra said. “He brings expertise and objectivity to this effort, and will help us evaluate the situation and recommend the best path forward.”

Feinberg added, “My mandate from the company is to consider the options for dealing with issues surrounding the ignition switch matter, and to do so in an independent, balanced and objective manner based upon my prior experience.”

The latest legal development comes on the heels of GM winning a decision in federal court last week. U.S. District Judge Nelva Gonzales Ramos ruled in Corpus Christi, Texas, that the automaker did not have to ground these recalled vehicles and instruct owners not to drive them until repairs are completed, a decision that frustrated the attorney who brought the complaint.

“They made winning a hearing on technical legal arguments more important than saving their own customers’ lives,” said Bob Hilliard of Hilliard Munoz Gonzales. “GM celebrates winning on a technicality and feeling that they have permission to keep 2 million dangerous cars on the roads of America.”

GM Restructures Global Engineering for Cross-System Integration

In other company news released today, GM announced the restructuring of its global vehicle engineering organization to improve cross-system integration, deliver more consistent performance across vehicle programs and address functional safety and compliance in its vehicles.

“A vehicle is a collection of 30,000 individual parts. Fully integrating those parts into cohesive systems with industry-leading quality and safety is key in this customer-driven business,” said Mark Reuss, GM’s executive vice president of global product development, purchasing and supply chain.

The OEM explained global vehicle engineering is being restructured to form two new organizations: global product integrity and global vehicle components and subsystems.

According to the automaker, the global product integrity organization, which is effective immediately, will build on specific actions GM has taken in recent years to improve vehicle dynamics including ride and handling, steering and braking. GM said it is applying the same approach to overall quality and safety performance and ensure the highest levels of execution across all its vehicles.

Leading this new organization are:

— Ken Morris, currently executive director, global chassis engineering, has been named vice president of global product integrity. The newly created role and organization will include vehicle, powertrain and electrical systems engineering as well as vehicle performance, industrial engineering and validation. It also includes the recently formed global vehicle safety organization led by Jeff Boyer, who is overseeing the addition of 35 product investigators. GM noted supplier quality will now become part of the new global product integrity organization.

— Ken Kelzer, currently vice president of GM Europe powertrain engineering, has been named vice president of global vehicle components and subsystems. His new role and organization includes engineering operations, components development, advanced vehicle development and other engineering business initiatives.

Reuss indicated the global product integrity organization will use advanced analysis tools and processes to flag and prevent issues during vehicle development, while also mining field data to react quickly to safety and product quality issues customers may experience.

With the restructuring, John Calabrese, vice president of global vehicle engineering, has elected to retire after more than 33 years with GM.

Calabrese began his GM career in 1981 as an experimental engineer, and has served in a variety of leadership roles in engineering and purchasing. He will remain with the company through August to assist with the transition.

“Under John’s leadership, GM has developed industry-leading vehicles in practically every segment in which we compete,” Reuss said.  “He raised the bar in engineering and has us well-positioned for the future. We thank John for his many contributions — and I thank him for his friendship — and wish him the best.”