Ford plans to extend the warranty on clutch and related hardware for 560,000 Focus and Fiesta models sold in the US and Canada.
According to thedetroitbureau.com, the move came after reports of problems with the six-speed transmission on 2014–2016 model year versions of the cars.
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The automaker would reimburse any repair charges to owners of the affected cars and offer other owners another chance to get a software update to fix the issue.
The issues with the cars' automatic transmission DPS6 include a degree of vibration when the transmission is operated at low speed, and a potential for the transmission to default to neutral.
"Ford understands and regrets that many customers have been inconvenienced and frustrated by the performance of the DPS6 transmission," Dave Filipe, vice president of powertrain engineering at Ford, was quoted as saying.
"First, we are extending the warranty on clutch and related hardware in certain 2014–2016 model-year vehicles and will reimburse customers for repairs that now would have been covered. Second, we are providing the small remaining population of owners who have not already done so an additional chance to get an important software update.
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By GlobalData"While these vehicles always were and remain safe to drive, we regret the inconvenience our customers have experienced."
Thedetroitbureau.com report noted the transmissions had been the subject of some controversy. Some media reports have suggested that the automaker ignored problems with the transmissions since their introduction in 2010, noting more than 50 complaints filed by owners. The company had vehemently and repeatedly denied that the transmissions were unsafe and other issues in the reports.
Citing Reuters, the report added the announcement meant warranty coverage for these vehicles was the same that had been in place since July 2014 for older Focus and Fiesta cars.
The 2012 Ford Focus is one of hundreds of thousands of vehicles that were part of a class-action lawsuit, the report added.
Ford settled a class-action lawsuit over the transmissions and agreed to pay owners of 2011–2016 Ford Fiesta or 2012–2016 Ford Focus vehicles up to US$2,325 to compensate them for prior repair costs and other provisions. That settlement was pending until a federal appeals court decides whether to uphold it.
The problem with the transmissions appears similar to cases in Australia.
In April 2018, Ford was hit with a A$10m penalty in connection with dual clutch automatic transmissions fitted to several vehicle models sold in Australia and could still face class-action lawsuits from disgruntled current and former vehicle owners.
The Federal Court ruled Ford Motor Company of Australia engaged in unconscionable conduct in the way it dealt with complaints about PowerShift transmission (PST) cars, and ordered the automaker to pay $10m in penalties.
The court held Ford's conduct in responding to consumer complaints about Fiesta, Focus and EcoSport vehicles fitted with PST between 1 May 2015 and 29 February 2016 was unconscionable.
Consumers who purchased Ford vehicles with PST made complaints to Ford and its dealers about their car's excessive clutch shudder, excessive noisiness from the transmission, delayed acceleration and excessive shuddering and jerking when accelerating – 37% of these vehicles had at least one clutch replacement.
"Ford's $10m penalty is one of the largest handed down under the Australian Consumer Law and reflects the seriousness of Ford's conduct. Ford knew that its vehicles had three separate quality issues, but dealt with affected customers in a way which the court has declared to be unconscionable," ACCC chairman Rod Sims said at the time.
Ford communicated with its dealers about the quality issues on multiple occasions but did not provide adequate information about the quality issues to the customers who complained to Ford about their vehicles.
"Despite knowing that shuddering was a symptom of the quality issues with the vehicles, Ford frequently told customers that shuddering was the result of the customer's driving style. Ford knew that the symptoms of the quality issues with the vehicles were experienced intermittently but required customers to demonstrate them on demand in the presence of a dealer in order for repairs to be undertaken," Sims said.
"In most cases, Ford refused to provide a refund or no-cost replacement vehicle to consumers even after vehicles had undergone multiple repairs that had not resolved consumers' complaints."
Ford mostly provided replacement vehicles in accordance with its Ownership Loyalty Program which required consumers to make a significant payment towards a replacement vehicle.
"Ford told consumers that refunds and replacement vehicles were not an option, when they may have been legally entitled to these remedies under the consumer guarantees. Buying a new car is a significant financial commitment and Ford's unconscionable conduct caused considerable distress and frustration to thousands of consumers," Sims said.
In addition to these court orders, the ACCC has accepted a court enforceable undertaking from Ford to establish a programme to review customer requests for refunds or replacement vehicles made between 1 May 2015 and 1 November 2016. At least 2,000 affected consumers can apply for an independent arbiter to assess their complaints.
Ford has also undertaken to provide customers with access to more information about their cars, including the history of manufacturing defect repairs performed on their vehicles.
"The court's decision is a reminder that businesses must have systems in place to properly review consumer claims for refunds or replacements. New car retailing is an enforcement and compliance priority for the ACCC, and we will take action against manufacturers that we believe have breached the Australian Consumer Law," Sims added.
About 75,000 Ford vehicles sold in Australia between 2011 and 2016 were fitted with the PowerShift transmission which, just-auto understands, was a product of a Ford-Getrag joint venture.
Most Fiesta and Focus models sold in Australia were built in Thailand. EcoSports came from India. Ford has replaced the twin clutch automatic with a conventional torque converter unit in its latest European Fiesta.
