Hundreds of thousands of Australians could share in $2 billion in compensation in what would be the country's largest-ever class-action lawsuit.
From tomorrow, owners of 260,000 defective Toyota cars will be contacted to register their interest in receiving compensation following a Federal Court ruling earlier this year.
In April, the Federal Court found that Toyota Hilux, Prado, and Fortuner diesel vehicles sold from October 1, 2015 to April 23, 2020, had a defect, and that the car giant had engaged in misleading or deceptive conduct while marketing and selling the cars.
The defect, which centred on the cars' diesel particulate filters, caused white smoke and foul-smelling exhaust to be excessively emitted, while also increasing fuel consumption.
The court found it also led to a 17.5 per cent reduction in the value of the cars when they were sold.
Lead applicant Ken Williams, who has already been awarded more than $18,000 in compensation, said he is "thrilled with the Court's judgment, particularly that the Court has found that hundreds of thousands of ordinary Australian consumers who bought these vehicles are entitled to be awarded damages for the losses they suffered as a result.
"I hope that the judgment provides a degree of comfort to people who, like me, have had to deal with the disappointment, inconvenience and extra cost of owning these vehicles."
The average compensation for each vehicle is expected to be more than $10,000.
Toyota has appealed the judgement.