Lemon Law Plaintiff to Pay Subaru $75K in WRX Warranty Dispute

Business Wire, June 18, 2004

SAN JOSE, Calif. -- On Monday, a Santa Clara County Superior Court judge awarded $75,000 in attorney's fees to Subaru of America, Inc. under California's Consumer Legal Remedies Act. In awarding the attorney's fees the court found the evidence was overwhelming the plaintiff had attempted to defraud Subaru in bringing the action, and plaintiff's attorneys had an obligation to and should have determined that either when they filed the suit or during investigation and discovery.

The case involving an allegation of a defective transmission in a 2002 Subaru Impreza WRX was brought under the Song-Beverly Consumer Warranty Act and the CLRA. The court further found that because of their conduct in litigating the case, the plaintiff's attorneys had caused Subaru of America, Inc. to incur unnecessary attorney's fees of at least double the amount defense of the breach of warranty case should have cost. The court's award of the $75,000 represented the amount over what the court estimated were reasonable attorney's fees for defending the case.

Mendez v. Subaru of America, Inc. (Case No. 1-02-CV808407).

Plaintiff was represented by the Kinsey Consumer Law Center, Soquel, California;

Subaru of America, Inc was represented by Barbara J. Frischholz, Bowman and Brooke LLP, San Jose California.