N63 Oil Consumption Potential Settlement Terms

BMW is close to settling a class action lawsuit concerning certain vehicles that are equipped with the N63 engine.   

The proposed settlement includes about 84,000 current and former owners and lessees of 2009-2014 BMW 5 Series, 6 Series, 7 Series, X5 and X6 vehicles equipped with N63 engines, namely the below:

  1. F01 and F02 (7 Series Sedan)– produced from 3/2009 to 6/2012
  2. F04 (Active Hybrid 7)– produced from 4/2010 to 6/2012
  3. F07 (Gran Turismo)– produced from 9/2009 to 6/2012
  4. F10 (5 Series Sedan)– produced from 3/2010 to 7/2013
  5. F12 (6 Series Convertible)– produced from 3/2011 to 7/2012
  6. F13 (6 Series Coupe)– produced from 7/2011 to 7/2012
  7. E70 (X5)– produced from 3/2010 to 6/2013
  8. E71 (X6)– produced from 7/2008 to 6/2014
  9. E72 (ActiveHybrid X6)– produced from 9/2009 to 9/2011

According to the class action complaint, the V8 turbocharged N63 engines consume excessive amounts of engine oil. Owners also complain about drained batteries and the expense of replacing the batteries on a routine basis. 

The lawsuit alleges BMW knew the vehicles had problems because in June 2013, the automaker issued technical service bulletin (TSB) SIB-11-01-13 to dealers after complaints about oil consumption.  BMW also issued a service campaign called the N63 Customer Care Package (TSB SIB 00 13 14) in December 2014, which consisted of:

  1. Diagnosing the timing chain for potential failure
  2. Replacement of fuel injectors, mass air flow sensors, crankcase vent lines, battery, engine vacuum pump and low pressure fuel sensor

Now, the potential settlement terms. 

  1. Every affected owner and lessee will receive a voucher transferable to family members that is worth either $1,000 or $1,500 toward the purchase or lease of a new BMW vehicle.
  2. BMW will also reimburse owners and lessees for out-of-pocket costs for up to three oil changes, not to exceed $75 each, provided the costs were paid by the owner or lessee for an oil change performed during 10 years/120,000 miles (whichever is earlier) from first use and took place less than 12 months/10,500 miles after the previous oil change.
  3. Owners may also elect to receive a free future oil change in place of the $75 cash reimbursement for each past qualifying oil service.
  4. BMW will further reimburse owners and lessees for the cost of up to seven quarts of oil (not to exceed $10 a quart) as long as certain conditions are met.
  5. And finally, the automaker will reimburse the cost of one battery replacement that was incurred within three years prior to final approval of the settlement and purchased outside of the new vehicle limited warranty period.
  6. In addition, BMW will perform up to three oil consumption tests if the oil warning light illuminates within the oil service interval and provide free repairs on a vehicle which fails the test within the earlier of 10 years or 120,000 miles.
  7. Furthermore, each affected N63 vehicle is entitled to one service under the customer care program.

The potential Settlement Agreement can be accessed here.  

The plaintiffs in this matter are represtented by McCuneWright & Wagstaff and Wagstaff & Carmell LLP.  Any questions regarding the class action settlement should be directed there.