MEMPHIS, Tenn. — Memphis City Council members will discuss possibly hiring an attorney to sue the automaker of Hyundai and Kia over defects leading to an increase in car thefts.
City Council members are set to discuss the move during Tuesday, December 3, executive session before the official council meeting that night.
City officials have drafted a resolution to allow the city attorney to hire outside counsel to file litigation against the manufacturer of Kia and Hyundai as well as, "any other manufacturers of vehicles contributing to the epidemic of vehicle thefts," according to board documents.
Those board documents read that city officials plan to hire Johnson and Johnson, P.C. to file on behalf of the city if that resolution passes.
The boards documents say that the rise in car thefts in the city are allegedly due to, "defects in the vehicles which are known to the manufacturer," and that, "the manufacturers have concealed the defects and failed to remedy such defects resulting in a dramatic increase in vehicle thefts."
Board documents also say that the Memphis area has seen an increase in rental prices, and have identified RealPage in board documents for litigation.
"... many of the increased rents are likely due to landlord the use of RealPage software, which many landlords use to set rent prices and which is aimed at 'driving every possible opportunity to increase price,'" the document reads.
The board documents allege that the use has precluded competition and disproportionately affected cities such as Memphis.
The City of Memphis wouldn't be alone in this type of litigation with cities such as Nashville also having governments file suits against the manufacturer of Kia and Hyundai, the Hyundai Motor Company.
RealPage is currently being sued by the United States Department of Justice that government officials say is "an algorithmic pricing scheme that harms millions of American renters."
Justice Department officials filed an antitrust lawsuit against the company in August 2024.
