Automotive giant Toyota has appealed a class action decision that leaves it facing around $2 billion in damages over vehicles fitted with dodgy diesel filters.
Toyota is challenging an April decision from the Federal Court which found more than 264,000 drivers who purchased some of the firm's most popular vehicles were eligible to be compensated.
In his decision, Justice Michael Lee found that Hilux, Fortuner and Prado vehicles sold between October 2015 and April 2020 had defective diesel filters, leaving their owners out of pocket.
In May, the judge awarded lead applicant Kenneth Williams over $18,000 in damages. Mr Williams was representing all eligible group members in the class action.
The defect caused the vehicles to spill foul-smelling white smoke and decreased fuel efficiency.
It also meant owners had to fork out for an excessive number of inspections, services and repairs, and in some cases, caused a loss of income when drivers could not use their cars or had to take time off to remedy the defect.
Justice Lee found each vehicle was worth 17.5 per cent less than what the average customer paid, and customers were entitled to be reimbursed that difference.
If the appeal is not successful and all eligible customers claim their payouts, the bill for Toyota could exceed $2 billion.
