Waxman Probes Toyota’s Deal with Doubt

When the auto industry needs America’s best scientific minds to validate a foregone conclusion, they turn to Exponent. As we reported during Toyota Tactics Week, David Michaels called out the Menlo Park, California defense-litigation firm in his 2008 book Doubt is Their Product: How Industry’s Assault on Science Threatens Your Health:

Come Clean, Toyota

Okay, so it didn’t have the impact of a “Tiger: Did you mean Bootyism?” banner floating over the Masters tournament at Augusta National, but retired Irv Miller’s “Come Clean” memo made a splash in the news this month. Miller had been group vice president of environmental and public affairs for Toyota in North America until he retired in late January. About two weeks before he left, Miller gave his Japanese boss Katsuhiko Koganei, Executive Coordinator of Corporate Communications, some straight talk about the automaker’s sticky pedal problems:

“Kogi,

I hate to break this to you but WE HAVE A tendency for MECHANICAL failure in accelerator pedals of a certain manufacturer on certain models. We are not protecting our customers by keeping this quiet. The time to hide on this one is over. We need to come clean and I believe that Jim Lentz and Yoshi are on the way to DC for meetings with NHTSA to discuss options.

We better just hope that they can get NHTSA to work with us in coming with a workable solution that does not put us out of business.” (Read the e-mail here)

What You Can’t Deny, Delay and Minimize

A well-used weapon in the manufacturer’s arsenal is delay. When the guys and gals from the Office of Defects Investigation are pestering you with information requests and you have that sinking feeling that you are going to have to do something to get them off your back, the first order of business is to buy some time. A defect in a component – or worse yet – a design that is integral to just about every model you sell is going to be a major headache. No way are you going to have enough replacement parts to switch out in hundreds of thousands or millions of vehicles all at once. You never want your company name in a headline with the word “million” and “recall,” followed by a news story skewering your product. And then there’s the dollars attached to the labor and parts costs swirling the bowl. Oy.

If you can just whack that big dog down to puppy size, or drag your feet long enough to ramp up your recall response, maybe it won’t be so bad. Of course, denial that the problem even exists is the top-line defense. As the documents trickling from the hands of federal investigators to the press indicate, Toyota was once a master of the art.

Manufacturing Doubt in Toyota Sudden Unintended Acceleration

Doubt is Their Product: How Industry’s Assault on Science Threatens Your Health by David Michaels is on our nightstands right now, and we cannot shake the feeling of déjà vu. Michaels, recently confirmed as the new head of the Occupational Safety and Health Administration and Assistant Secretary of Labor, writes about the attack, deny and delay tactics developed by Big Tobacco in the 1950s that have been adopted and refined to a fare-thee-well by countless other industries. Michaels is an epidemiologist, so his dizzying catalogue of bad actors focuses on chemical health hazards – tobacco, chromium, lead, beryllium, and the like.

But what caught our attention was his exploration of how manufacturers use science – or the appearance thereof - to raise enough doubt to clog the regulatory machinery and to persuade juries and the public that their products cause no harm by countering scientific studies indicating a hazard with their own bought-and-paid-for-research showing the opposite.

You Don’t Tug on Superman’s Cape

In the innocent days of the distant past, (six weeks ago) Toyota Motor Corporation President Jim Lentz raised his right hand and swore before a subcommittee of the House Committee on Commerce and Energy that Toyota would work with Dr. David Gilbert of Southern Illinois University Carbondale to investigate the conclusion of his preliminary report, that the accelerator pedal position sensor may have faulty failsafe logic.

Perhaps Lentz actually meant to say that Toyota would work over Dr. Gilbert, because, rather than dispatch its technical team to Carbondale for scientific inquiry, Toyota’s corporate counsel Vince Galvin, accompanied by another lawyer and a gas turbine efficiency design expert from Exponent showed up at SIU to cowl university administrators, before treating Gilbert to a preview deposition.

Anatomy of a Smear

What do you do when bad news about you product gets out? If your highly prized brand is synonymous with reliability, job one is to kill the bearers of the bad tidings. While Toyota Sudden Unintended Acceleration stories regularly set up shop on the front pages of all national dallies these days, Safety Research and Strategies had been following this story closely for months before it broke through into the mainstream press.

After the Saylor family died in an SUA crash on a California highway in August, and Congress was poised to drag Toyota and the National Highway Traffic Safety Administration before its investigatory committees, SRS decided that a factual accounting of the history of this issue was necessary. We threw the resources of our small company into this project and wrote a lengthy report that gathered the public record into one narrative. We released Toyota Sudden Unintended Acceleration to the public on February 5, and it became a much used road map for reporters, Congressional staffers, attorneys and interested consumers trying to understand how seven years of complaints, crashes, deaths, injuries and NHTSA investigations could produce so few results.

Looking to the Past: Why Toyota isn't Audi

You wouldn’t troubleshoot the space shuttle by tinkering under the hood of the Spirit of St. Louis. But a surprising number of observers think that the answer to Toyota’s Sudden Unintended Acceleration problems can be found in the mechanical systems of a quarter century ago. Linking Toyota’s present troubles to those of Audi in the mid-1980s is a convenient shibboleth; it may even provide a lesson in corporate crisis management. But to figure out why so many Toyota makes and models across multiple model years are experiencing unintended acceleration in a variety of scenarios, we must resolve to understand modern automotive electronic systems.

16.4 Million Reasons Why it Ain’t Over Yet for Toyota SUA

Toyota now has two weeks to decide if it will accept or contest the $16.4 million fine levied yesterday by the National Highway Traffic Safety Administration to resolve Timeliness Query 10-002, regarding its sticky accelerator recall.

On February 16, the agency opened three recall probes – Recall Query 10-003, which examined whether Toyota had too narrowly defined the scope of its recalls, and Timeliness Queries 10-001 and 10-002. The agency never publicly posted any documents on these TQs. They were referenced in the Opening Resume of RQ 10-003. (SRS was still waiting for a response to our FOIA request for the TQ documents when the fine was announced.) They examine whether Toyota met its statutory obligation to report a defect to the agency within five days of determining a defect or non-compliance.

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