GM reaches $120 million settlement over lost vehicle value from defective ignition switches

(Reuters) – General Motors Co has reached a $120 million settlement with drivers who claimed that their vehicles lost value because of defective ignition switches, which have been linked to 124 deaths.

The preliminary settlement was filed on Friday night with the federal court in Manhattan, and requires a judge’s approval.

GM has recalled more than 2.6 million vehicles since 2014 over ignition switches that could cause engines to stall and prevent airbags from deploying.

(Reporting by Jonathan Stempel in New York; Editing by Sandra Maler)