Hyundai and Kia facing Australian class actions over faulty computer modules posing serious fire risk

Maurice Blackburn Lawyers, acting on behalf of lead plaintiff Anne-Maree Johnston, a Hyundai owner from Port Macquarie, NSW, is managing class actions seeking damages from Hyundai Motor Company Australia, and Kia Australia over a faulty computer module which may short circuit when its components are exposed to moisture. 

As confirmed by both brands, this could result in a vehicle fire even when the car is turned off.

Maurice Blackburn’s National Head of Class Actions, Andrew Watson, says the actions will allege Hyundai and Kia failed to comply with the guarantee of acceptable quality under the Australian Consumer Law, and engaged in misleading and deceptive conduct. 

According to Maurice Blackburn, in March 2021, Ms Johnston’s 2014 Hyundai ix35 diesel was parked in her garage, located directly below her bedroom, when it caught fire.

“It could have been a fatal disaster. We were very lucky to have noticed smoke coming into the house from the garage. Had we not caught it early, it’s almost certain the whole house would have gone up,” Ms Johnston said.

The Hyundai class action, already lodged with the Supreme Court of Victoria, involves close to 94,000 Tucsons (2014-2020), 21,943 Sante Fe SUVs (2015-2018) and 19,541 ix35s (2014-2015). Plus more than 1200 (Hyundai) Genesis models (2014-2017 and 2018).

A proposed Kia class action involves almost 58,000 Sportages and Stingers manufactured between 2016 and 2019.

Kia Australia, in collaboration with the then Federal Department of Infrastructure and Regional Development (DIRD), issued a vehicle recall notice related to the fault in the Hydraulic Electronic Control Unit (HECU) in affected vehicles in mid-May 2021. 

The HECU is central to the operation of the Anti-lock Braking System (ABS), Electronic Stability Control System (ESC) and Traction Control System (TCS).

Sportages manufactured between 2016-19 could be affect by the issue.

Hyundai did the same for the Tucson in February 2021, Genesis models in May 2021, then the Santa Fe and iX35 in September last year.

The direct (physical) mail recall campaigns have urged impacted Hyundai and Kia owners to contact their nearest authorised dealer to arrange for free-of-charge inspection and rectification.

Maurice Blackburn has referenced Jo Ucukalo, CEO of consumer advocacy firm Handle My Complaint, saying she had been contacted by car owners from across the country concerned neither Kia nor Hyundai was taking their complaints seriously.

In response to a request for comment Hyundai Australia told CarsGuide: “Hyundai Motor Company Australia prioritises the safety of our customers. We take the safety and reliability of our vehicles seriously. 

Around 22,000 Santa Fes are already involved.

"We have always and will continue to stand by our products by providing our customers with the support they need. We are disappointed about the class action but will consider the allegations carefully before commenting further.” 

Following a similar request Kia Australia told CarsGuide: “We are aware of a proposed class action by Maurice Blackburn Lawyers. 

"However, we have not received any official notification on the matter and as such we will not be making any further comment at this time.”  

Hyundai and Kia owners can check if their vehicle is affected by this fault and recall campaign at https://www.vehiclerecalls.gov.au/