A class-action lawsuit filed against Shimano almost two years ago regarding faulty cranksets is close to reaching a settlement.
The court case, brought forward by 14 plaintiffs, followed a recall notice for 760,000 of the brand’s Hollowtech II cranksets in North America due to “potential fall and injury hazards to consumers”.
More than 4,500 incidents of cranksets separating were reported, six of which resulted in injuries, “including bone fractures, joint displacement and lacerations”, according to the US Consumer Product Safety Commission.
In a statement issued earlier this week, Shimano confirmed the court has now arrived at a “preliminary approval order” regarding the settlement of the case.
“The finalization of the settlement is subject to final approval by the court. Because the final approval has not yet been obtained, we refrain from disclosing the specific terms of the settlement. However, we consider the terms to be reasonable,” Shimano wrote.
According to previous reports in Bicycle Retailer, the proposed settlement calls for Shimano to provide free replacements for all faulty cranksets, offer an extra two years of warranty to customers affected by the recall, and pay each of the 14 plaintiffs $500 as a ‘service award’.
Shimano says it expects a final court decision to be announced “early next year”.
The company issued its initial recall to consumers in the USA and Canada in September 2023, noting the following affected products made between June 2012 and June 2019: Ultegra FC-6800, FC-R8000 and Dura-Ace FC-9000, FC-R9100 and FC-R9100-P.
The recall came after reports of “bonding separation” – the coming apart or delamination of metal components. Shimano offered a free inspection and replacement programme to any customers affected, and later put aside 17.6 billion yen ($119.4 million, £89.3 million) to cover the costs.
A 72-page class-action lawsuit was filed against Shimano in October 2023, claiming the recall was “inadequate” given the danger of riding with defective cranksets. The suit also claimed Shimano “fraudulently” concealed information about the faults, saying the company had “known of the defects in the cranksets for years”. Shimano has denied the allegations.
The preliminary approval for the settlement was issued on 28 July in the U.S. District Court in California.
It is reported that the recall may affect as many as 2.8 million Shimano cranksets globally, including the 760,000 recalled in North America.
