Consumers will now be compensated for damages they may have suffered following the 2017 recalls of Ford Kuga 1.6 EcoBoost.
This emerged at the National Consumer Commission's media briefing on the outcomes of its investigation into the matter in Pretoria on Friday.
Ford made headlines in 2017 after several cases of fires emanating in the engine bay of the vehicles were reported. One person, Reshal Jimmy, died in Wilderness when his Ford Kuga caught alight.
The Commission announced it had reached an agreement with the motor company which will now be made an order of the Consumer Tribunal.
Consumer Commission's Senior Legal Advisor Joseph Selolo said the settlement makes provision for three option that affected vehicle owners can explore.
The first is an offer of R50 000 to each car owner.
The second option allows for Kuga owners who believe they are entitled to more compensation to lodge a claim with the company which has also agreed to pay the cost of any dispute resolution.
The last option gives the consumer the choice to prove damages in court.
Ford has also agreed to an R35 million administrative penalty.
However, according to Selelo, there had not yet been a settlement with respect to the death of Jimmy.
"There is still an inquest into the matter. So that it is not part of the decision that led to the settlement and is not part of the settlement" he said.
"We are committed to doing the right thing for our customers. We have learnt from these events and we continue to cooperate with the NCC in order to finalise this matter" said Ford, in a statement.
Pic: Archive
