August 17, 2021 – BMW N63 Class Action Settlement Given Preliminary Approval; Drivers Get Free Oil, Engine Repairs
The proposed class action detailed on this page has settled, with the deal receiving preliminary approval from U.S. Magistrate Judge Edward S. Kiel on July 30, 2021.
According to the preliminary approval order, the settlement, which still requires a final sign-off from the judge, covers all persons or entities in the U.S., the District of Columbia and Puerto Rico who currently own or lease, or previously owned or leased, a 2013 through 2019 BMW 5 Series, 6 Series, 7 Series, X5 or X6 with an N63TU1 engine. Those covered by the settlement can expect to receive notice via direct mail before the end of October 2021, and the creation of an official settlement website is forthcoming, court documents state.
Through the settlement, those who currently own any of the affected models that are less than 10 years old or have less than 120,000 miles can receive two free quarts of oil for “top-offs” between oil changes. Three free oil consumption tests are also available and, if a vehicle fails a test, BMW may provide one repair attempt or engine replacement, according to= court filings.
BMW drivers with documentation can be reimbursed for up to four oil changes, so long as they occurred within a year of the car’s last oil change. Reimbursement for the extra oil needed for “top-offs” and engine replacements, as well as up to $900 for failed oil consumption tests and related repairs, is also available.
Those covered by the settlement can also file a claim to receive a $1,500 credit for a BMW 6 Series, 7 Series, X5, X6 or X7, or a $1,000 credit for any other model. The credits will remain valid for one year and can be transferred to immediate family and other household members.
A final approval hearing is tentatively scheduled for January 10, 2022.
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A proposed class action has been filed in New Jersey over allegations that certain BMW vehicles equipped with any variant of the N63TU engine suffer from a defect that causes the cars to consume excessive amounts of oil. According to the case, defendants BMW of North America and Bavarian Motor Works AG have possessed knowledge of the apparent defect “for many years” yet never fixed the issue, which reportedly continues to plague affected vehicles outlined in the chart below:
The apparent engine defect outlined in the suit is the same one detailed in another case out of New Jersey thatBMW agreed to settleearlier this month. According to the latest suit, owners of BMW 5 Series, 6 Series, 7 Series, X5 and X6 vehicles manufactured since 2012 and equipped with a turbocharged V8 engine have incurred out-of-pocket expenses, including for oil purchases, service visits, and engine repairs and replacements.
BMW’s “hot-vee” design for the N63TU engine, released in 2012 as an updated version of the original N63 engine, was implemented to save space under the hood, the lawsuit explains. The design, however, causes “excessive heat-soak” to the N63 engine and surrounding components, which then guzzle up excessive amounts of oil during the course of normal use, according to the case. The complaint says that if the issue progresses enough, a total engine replacement may be necessary.
Symptoms of the apparent defect can include damaged valve stems, hoses and other parts, which then prompt oil leakage that can exacerbate the overall problem. From a safety perspective, the defect, the suit asserts, is particularly troublesome in that it can cause engine failure during normal operation.
For its part, BMW had a responsibility to disclose the existence of the defect to proposed class members, according to the lawsuit. Making matters worse, BMW allegedly maintained a policy of informing customers that it was in fact normal for cars to consume high amounts of oil.