Toyota Material Handling has proposed a $299.5 million settlement to resolve allegations that several of its forklift engines were involved in emissions cheating, according to a report published by The Republic, a newspaper based in Columbus, Indiana.
If approved by the court, the settlement would close a wide-reaching class-action lawsuit that began with buyers in California, New Jersey, and New York and has since expanded to include 22 businesses across 17 states. Co-defendant Toyota Material Handling North America (TMHNA), a central figure in the case, is headquartered in Columbus.
The lawsuit, originally filed in 2024 in federal court in San Francisco, targeted Toyota Material Handling North America, Toyota Industries Corp. (TICO), and Toyota Material Handling Inc. According to earlier Reuters reporting, the legal action followed an internal Toyota investigation that uncovered misconduct in emissions testing. The findings included falsified emissions data, software manipulation, and engine swapping during testing to artificially improve performance readings.
The proposed settlement marks one of the most significant legal developments in the material handling sector in recent years. While specific terms beyond the dollar amount have not yet been detailed publicly, court approval would allow Toyota to resolve the matter without admitting wrongdoing.
Dealers and fleet owners following the case say they are watching closely for guidance on how the settlement may affect engine warranties, service procedures, or compensation pathways for affected forklift models.
