Wrongful Death Claim Against Chrysler Still Upheld After Bankruptcy

Imagine that a loved one dies as a result of a companies faulty product. You file a wrongful death claim against the company and are awarded a settlement but soon after that company files bankruptcy and you are left with a seemingly meaningless settlement.

This is the exact situation that the Mraz family found themselves in after the death of Richard Mraz (38 yrs-old). Detroit has released an article describing the situation of the Mraz family. They were awarded a $55.4 million wrongful death claim against Chrsyler LLC. Recently, Chrysler has filed bankruptcy leaving the actual payment of the claim in uncertainty.

Wrongful Death Claim Against Chrysler

Richard Mraz was hit and killed by a Dodge Dakota pickup truck that was found to have a defective transmission. The accident occurred in 2004 and the Mraz family was awarded their verdict in 2007.

Chrysler did appeal the verdict and soon after filed for bankruptcy. The payment of the awarded settlement then became questionable. At this point, it must have seemed both frustrating and hopeless to the Mraz family.

Who’s Responsible After Bankruptcy

Who is now responsible for this settlement? It would seem unjust to have the settlement simply fall through the cracks for a companies failure. More importantly, who is responsible for determining who is responsible for this settlement?

Since Chrysler has filed bankruptcy, a bankruptcy court now oversees this settlement and Chrysler assets which are now owned by Old Carco LLC. This bankruptcy court ruled to uphold the settlement and allowed for the Mraz family to negotiate directly with Safeco Insurance Company of America, the company that is handling Chrysler’s appeal.

They were able to reach a settlement of $24 million to be payed out on October 5. We are sorry for the Mraz family’s loss and hope that this settlement brings relief and recovery as they try to continue on after this loss.

Do I Have A Case?

We offer free consultation. No office visit required, we will get back to you within 24 hours.

  • This field is for validation purposes and should be left unchanged.


What can we do for you?

  • Answer your legal question.
  • Provide a Free Case Evaluation.
  • Schedule an appointment.


Choose Us?

  • Available 24/7
  • Trusted Since 1990
  • Local to You
  • Recovered $350,000,000
  • 5 Star Reviews
  • Free Case Evaluation
  • VIP Service
  • No Win, No Fee

Latest Law Post

March 15, 2019

Expert Testifies Before House Subcommittee Regarding Talc Use And Ovarian Cancer Link

A United States House of Representatives subcommittee, on March 12th, 2019, looked into whether they should give the Food and Drug Administration (FDA) the power to more strictly regulate cosmetics, including talcum powder and products containing talc.

March 13, 2019

IVC Filters Used for Blood Clots Come With Risks, Complications


We are Personal Injury Lawyers representing accident victims throughout California.
For 30 years, the law firm of Nadrich & Cohen, LLP has helped injury victims
obtain the compensation they deserve.