Canadians who bought or leased new cars in the time between July 1, 1998, and September 30, 2016, now start to receive payments from an unprecedented $78 million class action settlement based on allegations of price-fixing by auto parts suppliers. Each claim is worth not less than $25, and the second omnibus distribution of funds began on August 28, 2025, with payments made via e-transfer or cheque to the claimant.
Price-fixing conspiracy
It is claimed that during between the late 1990s and mid-2010s, over 12 global auto-parts manufacturers conspired and fixed prices with respect to around 45 different automotive components. Such evidence came from the criminal investigations into Sherlock Holmes in multiple jurisdictions—including Canada—and into secret meetings and agreements to raise prices for parts like air conditioners, brake systems, ignition coils, and throttle controls. No wrongdoing was being alleged against the automakers themselves, but suppliers such as Bosch, DENSO, NGK Spark, Hitachi, and many others made settlements to resolve disputes in Canadian courts.
Settlement overview and approval
In Ontario, British Columbia, and Quebec, class-action settlements totaling $78 million were administered in June 2023. After deducting legal fees and administration costs, approximately $53.2 million remains available for distribution to settlement class members—businesses and consumers who bought or leased eligible vehicles during the 18-year period. The second distribution, announced in August 2025, represents funds held in an interest-bearing account pending an adjudication and audit process for claims.
The claims process for eligibility
All end users—private individuals, dealerships, or businesses—who purchased between July 1,1998, to September 30,2016, an eligible new passenger car, SUV, van, or light truck under 10,000 lbs from any of the relevant automakers qualifies for compensation under the settlement program. Claimants should file an online form submission for settlement by October 30,2025 at the settlement website (autopartsettlement.ca). Automakers supplied purchase data (make, model, year, and net purchase price) for units up to 15 per claimant; claims for more than 15 require invoice or lease documentation.
Approved claims are then ranked and given worth, according to:
- Purchase price of each affected vehicle
- Timing factor (1× for Event Period, 0.5× for Post-Event Period)
- Categorization factor (0.675× for end users, 1× for dealers and automakers)
Every claim has a minimum payment of $25, so even when a claimant’s calculated entitlement is lower than that, it ensures administrative and distributional feasibility and fairness.
Brands covered by the settlement
They include all major manufacturers selling vehicles in Canada within the relevant time. Eligible brands include:
- Aston Martin
- BMW / Mini Cooper
- Chrysler / Dodge / Fiat / Jeep / Ram
- Ford / Lincoln / Mercury
- General Motors (Buick / Cadillac / Chevrolet / Daewoo / GMC / Hummer / Isuzu / Oldsmobile / Pontiac / Saab / Saturn)
- Honda / Acura
- Jaguar / Land Rover
- Mazda
- Nissan / Infiniti
- Subaru
- Toyota / Lexus
- Volkswagen / Audi / Porsche / Volvo
Any new vehicle purchased during that 1998 to 2016 period, regardless of make or model, will have its owner registered as a potential claimant.
Next steps and future distributions
Successful claimants have submitted valid applications and will see payment processing taking place now. This will come in the form of e-transfers and cheques from late August 2025 onwards. Those selected for audit will then not have their claims paid if the documentation is not received within the timeline set by the program. Any funds from claims valued under $5 will be held for future distributions, while all valid claims receive the $25 minimum once aggregated entitlements are calculated.
A claimant will receive a third distribution that will be made covering further cases and settlements of auto parts. Likewise, a claimant must participate in the current distribution to remain eligible for future claims relating to the same brands and time periods. Up-to-date and FAQs will be available at the official settlement website.
Those eligible Canadians should check their spam folders for any notification e-mails, sent out between June 28 and July 12, 2025, and file any remainder claims by October 30, 2025, to ensure they at least receive $25 from this landmark auto-parts price-fixing settlement.
Read more: What is the difference between Memorial Day and Veterans Day?
