Advertisement

338 Fisker Karmas Wrecked By Sandy Waiting For Recall Parts

Follow Antony

2012 Fisker Karma during road test, Los Angeles, Feb 2012

2012 Fisker Karma during road test, Los Angeles, Feb 2012

Enlarge Photo

As luxury automaker Fisker prepares to battle in the courts over its Sandy-damaged Karmas, more details have emerged as to why its cars were sitting at Port Newark in the first place--they were there for recall work.

338 Fisker Karmas were submerged during the deluge of Superstorm Sandy, damaging some and causing others to catch fire, destroying them completely.

Fisker has taken its insurer, XL Insurance America, to court over its refusal to pay up for the $33 million of damaged Karmas.

Buried within the court documents, Jalopnik has discovered (via Autoblog Green) that the cars were at Port Newark while they awaited new cooling fans related to a voluntary recall back in August. The cooling fan unit had been responsible for a very public fire incident outside a grocery store in Woodside, California.

Others were there pending software updates and battery replacements.

As for why such a large number of cars were there in the first place--some standing for over 80 days--Roger Ormisher from Fisker explains:

"We... ship from Valmet in larger shipments at a time as that is more economically viable."

Meanwhile, he says that Fisker is confident that it will receive adequate compensation from XL for its losses. The lawsuit will claim compensation for the 338 destroyed cars, as well as damages for breach of contract from XL.

[Hat tip: Brian Henderson]

+++++++++++

Follow GreenCarReports on Facebook and Twitter.

Advertisement
 
Follow Us

 

Have an opinion?

  • Posting indicates you have read this site's Privacy Policy and Terms of Use
  • Notify me when there are more comments
Comments (3)
  1. For the first time I am beginning to think that the insurance company may be right. This information blurs the issue of "in transit" and if the insurance policy specifically stated in transit vs a set period of time or "until delivered to dealerships" then their denial may have merit. This could be a death blow to Fisker. They should have made sure their policy covered the situation of storage vs transit.
     
    Post Reply
    Vote
    Bad stuff?

  2. depends, it's in transit until someone takes delivery on them.

    if Fiskar hadn't taken delivery, then, it's "In Transit".

    this really looks like bad faith
     
    Post Reply
    Vote
    Bad stuff?

  3. Sounds to me like Fisker keeps getting into trouble because they rushed on some things and are slow on others. If I had $33 million in inventory waiting for updates I don't think I would have let them sit, and they've been sitting for over 80 days you'd think they would have been long gone from the port. Fisker lost their DoE loan because they took to long, now it seems they've lost 338 cars for the same reason.
     
    Post Reply
    Vote
    Bad stuff?

 

Have an opinion? Join the conversation!

Advertisement
Advertisement

Get FREE Dealer Quotes

From dealers near you
Go!

Find Green Cars

Go!

Advertisement

 
© 2014 Green Car Reports. All Rights Reserved. Green Car Reports is published by High Gear Media. Send us feedback. Stock photography by izmo, Inc.
Advertisement