Auto Bailout Accident Victims Recovery Act of 2025
Auto Bailout Accident Victims Recovery Act of 2025 would create a special, retroactive path for certain injury- and death-related claims tied to the 2009 General Motors bailout. The bill waives any statute of limitations for eligible takings-clause claims against the United States arising from the GM bailout, provided the underlying eligible complaint was filed on or before July 9, 2015. It directs the United States to pay just compensation to eligible claimants (as defined by the bill) through a lump-sum payment calculated using a specific formula, with the payment determined under the Treasury’s claims process (31 U.S.C. §1304). The bill also requires the Attorney General to explain in a report to Congress why a settlement was not reached if no settlement is submitted within 60 days after enactment. In short, the bill would open a defined window for back-end settlements funded by the federal government, determined by a precise compensation formula, and would remove the typical time limits for pursuing these claims.
Key Points
- 1Waiver of statute of limitations: Any eligible civil action alleging a Fifth Amendment takings violation related to the GM bailout is not subject to any statute of limitations, for actions tied to eligible complaints filed by July 9, 2015.
- 2Just compensation framework: The United States would pay “just compensation” to eligible claimants, calculated as a lump sum under 31 U.S.C. §1304, to resolve each eligible claim.
- 3Definition of eligible claims/claimants:
- 4- Eligible claim: a claim in an eligible complaint on behalf of all eligible claimants.
- 5- Eligible claimant: a plaintiff, class member, or putative class member in an eligible complaint who filed a proof of claim in the Motors Liquidation bankruptcy (In re Motors Liquidation Company, No. 09-50026) and who has death or personal-injury claims tied to GM vehicles or parts sold/delivered before June 1, 2009.
- 6- Eligible complaint: Campbell v. United States (No. 15-717), filed July 9, 2015, alleging a Fifth Amendment takings issue connected with the 2009 acquisition of GM assets by NGMCO, Inc.
- 7Compensation formula: Just compensation equals:
- 8- 2.5 times the “allowed amount” from the final claims register filed June 3, 2021, in the Motors Liquidation bankruptcy, for the claimant’s proof of claim; plus
- 9- Interest from July 10, 2009 to the settlement date at 3.5% per year, compounded quarterly; plus
- 10- Reasonable court-approved fees and costs to counsel; with no offsets.
- 11Settlement timing requirement: If a settlement agreement isn’t submitted to the court within 60 days after enactment, the Attorney General must report to Congress explaining why no settlement was reached with counsel of record for an eligible complaint.