Attorney General Lynn Fitch
Attorney General Lynn Fitch announced multistate settlements with automobile manufacturers Hyundai and Kia for their sale of millions of vehicles nationwide that lacked industry-standard, anti-theft technology, and with Mercedes-Benz USA and Daimler AG for violating state laws prohibiting unfair or deceptive trade practices by marketing, selling, and leasing vehicles equipped with undisclosed emissions defeat devices designed to deceive consumers.
“The lack of anti-theft devices resulted in an epidemic of car thefts across the country,” said Attorney General Lynn Fitch. “And the misleading emissions marketing deceived consumers into buying a product that was not what they thought they were paying for. We will hold companies accountable and require that they act with integrity when dealing with consumers in Mississippi. I encourage all Mississippians who may be affected to review what relief may be available for you.”
Hyundai and Kia:
According to one report, in 2015, only 26% of the vehicles Kia and Hyundai sold in the United States were equipped with engine immobilizers, compared to 96% of the vehicles sold by other manufacturers. An engine immobilizer prevents thieves from starting a vehicle’s engine without the vehicle’s “smart” key, which stores the vehicle’s electronic security code.
Car thieves devised a quick and simple way to access these vehicles’ ignition cylinders and start these cars without a key. This method quickly went viral, leading to a spike in Kia and Hyundai vehicle thefts throughout the nation. It wasn’t until 2023 when Hyundai and Kia responded with a service campaign to update the software on most of the affected vehicles. Hyundai and Kia also offered to install a zinc-reinforced ignition cylinder protector, but only for the roughly twenty percent of their vehicles that were ineligible for this software update.
Under the Hyundai and Kia settlement, the companies have agreed to equip all future vehicles sold in the United States with industry-standard, engine immobilizer anti-theft technology and provide up to $4.5 million in restitution to eligible consumers whose cars are damaged by thieves.
The companies will also offer free zinc-reinforced ignition cylinder protectors to owners or lessees of eligible vehicles, including vehicles that previously were only eligible for the company’s software updates. Eligible consumers for will be notified by the companies and they will have one year from the date of the notice to make an appointment to have them installed at their local Hyundai or Kia authorized dealerships.
In addition, consumers who previously installed the software update on their vehicles (or were scheduled to do so) but nonetheless experienced a theft or attempted theft of their vehicle on or after April 29, 2025, are eligible to file a claim for restitution for certain theft and attempted-theft related expenses.
For more information about eligibility and how to submit a claim for
compensation, please visit the following:
For Hyundai – Visit www.HKMultistateimmobilizersettlement.com
For Kia – Visit https://customercare.kiausa.com/SWLD or call
(800) 333-4Kia (4542)
Mercedes:
Beginning in 2008 and continuing to 2016, the states allege Mercedes manufactured, marketed, advertised, and distributed nationwide more than 211,000 diesel passenger cars and vans equipped with software defeat devices that optimized emission controls during emissions tests, while reducing those controls outside of normal operations.
As a result, they could achieve design and performance goals, such as increased fuel efficiency and reduced maintenance, that they were unable to meet while complying with applicable emission standards. Mercedes concealed the existence of these defeat devices from state and federal regulators and the public. At the same time, Mercedes marketed the vehicles to consumers as “environmentally-friendly” and in compliance with applicable emissions regulations.
The consumer relief program extends to the estimated 39,565 vehicles that had not been repaired or permanently removed from the road in the United States by August 1, 2023. Mercedes must bear the cost of installing approved emission modification software on each of the affected vehicles. The companies must provide participating consumers with an extended warranty and will pay consumers $2,000 per subject vehicle.
The companies must also comply with reporting requirements, reform their practices, and refrain from including a prohibition on any further unfair or deceptive marketing or sale of diesel vehicles, including misrepresentations regarding emissions and compliance.
Mississippi will receive $71,875.47 from Hyundai and Kia and $250,000 from Mercedes in addition to the direct consumer relief. Mississippi was on of 50 states that reached the settlement with Mercedes-Benz USA and Daimler AG, and one of 36 states that reached the settlement with Hyundai and Kia.