$5.7 Billion Lawsuit Accuses Toyota of Running a Criminal Enterprise in the Hydrogen Industry

Large-Scale Lawsuit Against Toyota

Toyota is facing a class-action lawsuit in California, where $5.7 billion in damages is being sought. The plaintiffs accuse the automaker of organizing criminal activity aimed at concealing serious safety defects in the Mirai hydrogen sedan. The document also contains a striking accusation of “organized fraud.”

Legal Aspects of the Case

The lawsuit was filed by Ingber Law Group in the U.S. District Court on behalf of three plaintiffs. The 142-page complaint, based on the RICO Act (originally created to combat the mafia), is now being used to accuse Toyota of actions resembling organized crime in “white collars.” The document details numerous claims against the automaker.

Main Allegations

The lawsuit alleges that Toyota, its financial subsidiary, and a number of dealerships in California coordinated efforts to promote and finance vehicles that internal technicians referred to as “ticking hydrogen time bombs.” According to the complaint, the company and its partners in the hydrogen industry concealed numerous malfunctions of the Mirai, including the risk of hydrogen leakage near hot engine components, which could lead to an explosion. Furthermore, the lawsuit cites sudden loss of power, acceleration issues, and brake failures.

 $5.7 Billion RICO Lawsuit Says Toyota Ran A Hydrogen Crime Family

Infrastructure and Financial Issues

In addition to technical problems, the lawsuit criticizes Toyota Motor Credit Corporation for “aggressive debt collection tactics” and also points to dissatisfaction with the scarce and unreliable hydrogen refueling infrastructure in California. These factors exacerbate the overall situation for car owners.

Plaintiffs’ Testimonies

Three Mirai owners, who are the plaintiffs in the case, claim that dealership technicians advised them to go to court due to persistent problems with the vehicles. Some technicians allegedly warned that these cars were “ticking hydrogen time bombs.” One case describes a situation where a driver pressed the brake pedal, but the car jerked forward sharply. A delay of several seconds between pressing the gas pedal and the powertrain’s response is also mentioned.

This lawsuit is not just about a defect, but about organized fraud. Toyota designed, financed, and controlled California’s hydrogen network, and then used that control to conceal safety failures and financial harm to consumers.

 $5.7 Billion RICO Lawsuit Says Toyota Ran A Hydrogen Crime Family

Specific Cases and Consequences

The lawsuit mentions a specific hydrogen refueling station in Torrance, California, which allegedly rendered at least 75 Mirai vehicles permanently inoperable due to refueling with contaminated fuel. The lawsuit represents the interests of all individuals in California who purchased or leased a Toyota Mirai from 2016 to 2025 over the last four years, and claims that Toyota managed to “brilliantly conceal catastrophic safety defects so that their fraudulent scheme remained unnoticed.”

This situation highlights the complex challenges associated with the implementation of new technologies, such as hydrogen transport, where the safety and transparency of manufacturers are crucial for consumer trust. Similar legal proceedings could affect not only Toyota’s reputation but also the future of the entire hydrogen market, especially in regions where the infrastructure is still underdeveloped. It is important for manufacturers to ensure full disclosure to customers about potential risks and take measures to eliminate them.

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