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Hyundai and Kia Settle $200 Million Lawsuit Over TikTok Challenge
MAY 20, 2023  (3:03 PM)

Hyundai and Kia Settle $200 Million Lawsuit Over TikTok Challenge

Hyundai and Kia have recently agreed to settle a lawsuit brought by car theft victims after a TikTok challenge went viral, demonstrating how easy it was to steal certain models.

Under the settlement, the South Korean car makers could be liable for as much as $200 million in compensation for those affected by the thefts.

The challenge on TikTok dubbed the "Kia Challenge", showed users how to break into Kia and Hyundai models with relative ease.

Data from the US National Highway Traffic Safety Administration (NHTSA) showed that at least 14 crashes and 8 deaths were linked to cars stolen through this method.

In response, Hyundai and Kia updated their anti-theft software, issued tens of thousands of steering wheel locks in some US states, and are assisting car owners who are having difficulty obtaining insurance due to theft risk.

This is not the first time social media has played a role in vehicle theft. Automakers have had to combat "car hacking" previously due to security issues within their technology systems.

While the two companies may be paying out a hefty sum under this settlement agreement, this ultimately benefits them in protecting their reputation and helping consumers feel secure about buying their vehicles.

Source: Money Control