Providers and Administrators in blue logo
MenuMENU
SearchSEARCH

Toyota Sues Former GM Over Shuttered Joint Venture

December 1, 2010
2 min to read



TOKYO—Toyota Motor Corp. said Wednesday it filed a lawsuit against General Motors Co.'s bankruptcy estate over a production halt at a now-closed manufacturing joint venture in California.


The Japanese car maker says Motors Liquidation Co. should pay $73 million in damages to cover R&D costs for the jointly developed Pontiac Vibe, after the former GM halted production of the model in August 2009 a few months after filing for bankruptcy protection, a Toyota spokesman said.

Ad Loading...


Toyota had been in talks with Motors Liquidation on the matter, but "we didn't reach a settlement" and therefore decided to take legal action, the spokesman said.


Motors Liquidation wasn't immediately available for comment.


The lawsuit marks the final stages in the demise of a partnership between the two auto makers that stretched back over 25 years, during which Toyota unseated the former GM as the world's largest car maker by volume.


The two companies set up their New United Manufacturing Inc., or Nummi, joint venture in Fremont, California, in 1984. The plant was closed in April of this year after Toyota found it difficult to continue running operations once GM pulled out.


Earlier this week, Nummi said it is separately seeking $365 million in damages for breach of contract after the former GM pulled out of the joint-venture. The decision to withdraw from the joint venture in the summer of 2009 ultimately cost 4,500 jobs.

Ad Loading...


The ongoing process of dealing with assets of the former GM comes as General Motor Co., the surviving entity after restructuring, made a successful comeback last month when it re-listed its shares.


GM's owners sold shares at $33 each in the initial public offering. The U.S. government was the main selling shareholder in the IPO, raising up to $13.6 billion to recoup some of the $49.5 billion cost of bailing the auto maker out during the global financial crisis.


More Industry

Line graphic showing week-over-week wholesale auto price changes
Industryby StaffApril 22, 2026

Black Book: Weekly Market Update

Wholesale auto conversion rates dropped slightly as auction buyers proved picky last week, analysts observed.

Read More →
pavement with car and charger wrapped around it painted on
Industryby Lauren LawrenceApril 16, 2026

EV Battery Cycle Life at Risk

Fast charging of electric vehicles provides a solution for range anxiety, but it also poses a risk to battery cycle life due to increased temperatures, according to an EV supply chain data provider.

Read More →
Photo of exterior facade of Beardmore Chevrolet store
Industryby Hannah MitchellApril 14, 2026

Founding Family Sells Nebraska Dealerships

Expanding Midwest automotive group picks up three stores as part of the robust transaction activity early this year.

Read More →
Ad Loading...
Up-close photo of car battery
Industryby Hannah MitchellApril 13, 2026

Automaker Increases Parts Recycling

Stellantis is adding a third end-of-life vehicle dismantling facility to feed its growing reuse business sparked in large part by autos’ growing lifespans.

Read More →
Photo of white 2026 Ford Bronco on a sandy beach
Industryby Hannah MitchellApril 10, 2026

March New-Vehicle Sales Don’t Reflect War

Cox Automotive data shows Americans doubled down on big-is-better despite price increases. Slightly higher incentives helped fuel the demand.

Read More →
Photo from the rear of the XC60 SUV
IndustryApril 8, 2026

Volvo to Shift Some EV Production to U.S.

The automaker says its movement of some electric-vehicle work to the S.C. factory is part of a more tailored product focus. It also plans to add a new hybrid model to the plant’s itinerary.

Read More →
Ad Loading...
Bar graphic depicting week-over-week change across the various vehicle segments
Industryby StaffApril 7, 2026

Black Book: Weekly Market Update

Last week's wholesale automotive auction activity continued in a healthy mode, though buyers practiced selectivity.

Read More →
red car at a gas station being filled with gas. Efficiency Drives Demand. Providers and Administrators logo
Industryby Lauren LawrenceApril 7, 2026

Gas Prices Driving Consumer Interest

CarGurus’ first quarterly review of 2026 shows that affordability concerns are continuing to drive consumer purchases with a shift to more fuel-efficient options.

Read More →
Blurred photo of red car moving down a road
Industryby Hannah MitchellMarch 31, 2026

Automakers Have More Tricks Up Their Sleeves

JD Power analysts see auto retail faring this year’s storms well through various means, though it acknowledges conditions are challenging to accurately predict.

Read More →
Ad Loading...
background view of Washington D.C. with the capitol building and cherry trees. Text says 'What's the Cost?' with two diverging arrows and the Providers and Administrator's logo
Industryby Lauren LawrenceMarch 31, 2026

Insurance Rates Continue to Fall

Car insurance premiums have continued to decline so far this year, the overall national average settling at $138 per month in March, according to Insurify data.

Read More →