Following its official bankruptcy filing, Coda Automotive is back with more not-so-good news. In Delaware bankruptcy court, the automaker has filed a motion to "conduct a voluntary recall of Coda Sedans to replace roof-mounted side curtain airbags."
Last August, Coda recalled 78 vehicles for improper installation of side-curtain airbags. The new filing doesn't specify a number of vehicles affected – but it does say Coda sold less than 100 vehicles, total – just that it expects the recall will not cost more than $40,000.
Coda is not undertaking the recall just for the safety of Coda drivers (though that is a prominent reason). The filing says, "the Coda name is an asset in which the Debtors have invested heavily and is likely to represent a valuable asset to a buyer" and that "the Debtors submit that taking appropriate steps to avoid negative associations with the Coda name that may arrive from failure to address a known potential safety issue in a Coda product makes good business sense."
You can read the court documents below.