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NiceHaas t1_ixp46m2 wrote

Car companies will take the risk when they make more money than they have to pay out to the victims family. GM was guilty of this a few years ago

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Pons__Aelius t1_ixpcpxc wrote

Narrator:

A new car built by my company leaves somewhere traveling at 60 mph. The rear differential locks up. The car crashes and burns with everyone trapped inside. Now, should we initiate a recall? Take the number of vehicles in the field, A, multiply by the probable rate of failure, B, multiply by the average out-of-court settlement, C. A times B times C equals X. If X is less than the cost of a recall, we don't do one.

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