Toyota hit by another class-action suit

Another class action lawsuit has been launched on behalf of disgruntled Toyota car owners, this time alleging some Toyota and Lexus hybrid vehicles have defective braking systems.

Saskatchewan-based firm Merchant Law Group LLP filed the lawsuit in Alberta Wednesday and intends to fileparallel suits in each province.

"This is a disaster for Toyota, and this is a disaster for Toyota and Lexus owners," said Tony Merchant, the lawyer in the case.

"You really have to ask yourself: would a person buy a Lexus or a Toyota right now? And if the answer is unlikely, then that means your resale value has gone down."

Toyota announced on Tuesday it is recalling about 437,000 Prius and other cars worldwide to fix brake problems. In Canada, roughly 3,300 Prius models fall under the recall. Also being recalled is the Lexus HS250h sedan.

The same law firm launched a class action suit earlier this month demanding damages for the company's role in a massive recall because of faulty accelerator pedals.

Calgary woman's Lexus speeds up

Calgary resident Kari Grant is considering joiningthe class action lawsuit.

Grant said she was driving down Crowchild Trail two months ago when her 2007 Lexus IS 350 began accelerating on its own. That model was part of an earlier floor mat pedal entrapment recall, but she doesn't believe her floor mat was what caused her car to speed up.

Her Lexus raced down the road at 160-km an hour until Grant managed to shut it down by shifting it into neutral.

"Your heart is absolutely racing for sure," she said. "I was lucky because it was late at night, and there weren't as many people on the road. Had there been traffic, I probably would have been in a bit more trouble, as would the people around me."

On Feb. 1, Toyota issued a recall of about 270,000 vehicles in Canada and 4.2 million around the world to fix a problem with sticking accelerator pedals.