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      10-05-2012, 05:35 PM   #1
Bimmer6
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Compensation Update [for Oil Pump Recall]

Great to hear most of the group is finally getting their cars repaired. As posted my car was repaired Wednesday, and being shipped to the dealer tomorrow which is great. Due to business reasons I will pick up next Saturday so no rush their. I received a call from BMWNA today while playing a round of golf. I was asked what type of compensation would I like? Ummmm interesting .........by no means would I take advantage of the situation. I told the rep this is my 7th BMW, and I will now have three parked in my garage. Also a purchase next year, and I would leave it up to BMW to do what they think is fair?? They said ok, and their boss will be back on Monday, and they will work on an offer. My rep has been totally cool, and on time with everything and has called my daily with updated while saying sorry.

Have anyone else received this call?

Good luck all!
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      10-05-2012, 05:38 PM   #2
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I'm hoping I do after I receive my car back. Picked up today to have the new oil pump installed.

Last edited by 727jbh; 10-06-2012 at 06:16 AM.
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      10-05-2012, 07:34 PM   #3
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please keep us up. Everyone seems to be getting compensation calls...
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      10-05-2012, 08:43 PM   #4
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Discussed it during the initial notification follow up call. Two day M school plus one month's lease payment. Since the car was returned in 11 days, I am removing the one month lease payment. Since BMW provided a modified M school for M buyers until Oct 11, I do not think this is over the top. Followed up with an e-mail to my CA today, no response. This was to be discusssed at a meeting they had right after my earlier phone call. He stated all compensation will be handled case by case. This is understandable as some have to wait longer than others thus more inconvenienced. Hopeful. I really do not want to have to escalate my squeaky wheel method.
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      10-05-2012, 11:16 PM   #5
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I had a conversation with BMWNA on Wednesday morning. The fellow was quite nice. Unfortunately he had no answers. He asked what I'd like in the way of compensation and I suggested that BMW come up with a standard compensation reward based on the number of days each us are without our cars. I also suggested they take lease payments, insurance, and license etc into consideration.

Whats fair is fair.

I was promised I would get a call back by Friday. Never happened.
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      10-06-2012, 04:54 AM   #6
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Quote:
Originally Posted by cpiguy
I had a conversation with BMWNA on Wednesday morning. The fellow was quite nice. Unfortunately he had no answers. He asked what I'd like in the way of compensation and I suggested that BMW come up with a standard compensation reward based on the number of days each us are without our cars. I also suggested they take lease payments, insurance, and license etc into consideration.

Whats fair is fair.

I was promised I would get a call back by Friday. Never happened.
How does your proposed formula compensate people who paid in full and have no lease or finance payments?
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      10-06-2012, 05:52 AM   #7
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Quote:
Originally Posted by cpiguy View Post
I had a conversation with BMWNA on Wednesday morning. The fellow was quite nice. Unfortunately he had no answers. He asked what I'd like in the way of compensation and I suggested that BMW come up with a standard compensation reward based on the number of days each us are without our cars. I also suggested they take lease payments, insurance, and license etc into consideration.

Whats fair is fair.

I was promised I would get a call back by Friday. Never happened.
Good to see the processes starting, but clearly they will try and "low ball" some owners. First, they can't base payments on a formula because circunstances are different. I have no payments, I didn't get a rental car which are all cost drivers which means I would get less than others. Not a easy task, but we will see how it pans out, but I will not give them a number but I will be fair. It's not about compensation with me, but simply show you value your best customers that support the product which goes a long way with me. I carry one charge card American Express and they have been flawless for 24 years, and always make it right. I would like to put BMW in this category only time will tell. Keep the information flowing as BMW is reading.
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      10-06-2012, 08:57 AM   #8
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I hear you guys, but I think the only fair way to to offer every effected car owner compensation of some sort is based on a consistant formula. To be honest, it's not a huge deal to me one way or another. I just want BMW to do what right. What I don't think is M5 owners should have to chase BMW to negotiate individual deals. Makes no sense to me.

Make it something like $200 a day for being without our cars, and send a check to all owner effected. Done!

JMO
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      10-06-2012, 10:13 AM   #9
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As somebody who spends a lot of time professionally dealing with class compensation plans, I also wish to lend my voice to all of us insisting on a uniform compensation scheme from BMW. We will be much stronger if we stand together and we will prevent BMW from attempting to "lowball" some.

I do not however think it a good idea to push for a compensation scheme with a variable value, that is one based on each owner's particular days without the car or keyed off everyone's particular monthly lease/loan payment. The more complicated you make this, the more expensive it is to administer and the more chances for it to devolve into new disputes between owners and BMW NA and that's not in anybody's interest. We all need to accept the fact that group compensation is about rough justice and that some will receive slightly more that they perhaps deserve and some will receive less.

Personally, I like the idea of the free 2-day M School insofar as BMW used to provide that for free to M5/M6 purchasers anyway. At a retail value of $3,600, that's way more than everyone's monthly lease or loan payment while also being something that likely costs BMW significantly less to provide. That's a win-win type of result. Just note that reward has slightly less value for BMWCCA members who get an automatic 10% discount on M School tuition.

Would that be sufficient if you were without the car for two to three weeks which appears to be the situation for 99% of us?
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      10-06-2012, 10:19 AM   #10
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Quote:
Originally Posted by SleepTight View Post
As somebody who spends a lot of time professionally dealing with class compensation plans, I also wish to lend my voice to all of us insisting on a uniform compensation scheme from BMW. We will be much stronger if we stand together and we will prevent BMW from attempting to "lowball" some.

I do not however think it a good idea to push for a compensation scheme with a variable value, that is one based on each owner's particular days without the car or keyed off everyone's particular monthly lease/loan payment. The more complicated you make this, the more expensive it is to administer and the more chances for it to devolve into new disputes between owners and BMW NA and that's not in anybody's interest. We all need to accept the fact that group compensation is about rough justice and that some will receive slightly more that they perhaps deserve and some will receive less.

Personally, I like the idea of the free 2-day M School insofar as BMW used to provide that for free to M5/M6 purchasers anyway. At a retail value of $3,600, that's way more than everyone's monthly lease or loan payment while also being something that likely costs BMW significantly less to provide. That's a win-win type of result. Just note that reward has slightly less value for BMWCCA members who get an automatic 10% discount on M School tuition.

Would that be sufficient if you were without the car for two to three weeks which appears to be the situation for 99% of us?
As I had mentioned, not a huge deal to me either way, but I personally would not attend the driving school for a 3rd time, even though I enjoyed it the first 2 times.
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      10-06-2012, 10:55 AM   #11
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I was told on Friday by BMW NA that all affected customers would get a 1 day M School and compensation up to approximately $1500 (i.e. roughly one month's lease payment).
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      10-06-2012, 11:18 AM   #12
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I'd also support as an alternative for consideration an extension of the warranty to 7yrs / 100k miles. Being a new model / car - BMW can then show a stance to stand behind the quality of their designs and components.
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      10-06-2012, 11:37 AM   #13
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Quote:
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I personally would not attend the driving school
+1, unfortunately not all of us are interested in the driving school.
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      10-06-2012, 01:09 PM   #14
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Maybe they will send me another carbon fiber pen.
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      10-06-2012, 01:16 PM   #15
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I was told that BMW NA will not do an extended warranty as compensation for the oil pump recall. Despite this statement I have had multiple folks at BMW NA tell me that if there is ever a problem with my M5 that BMW would stand behind the car/engine. Strangely they will not agree to put this in writing and apparently will not agree to do so ahead of time by extending out the warranty. Makes you wonder why BMW won't stand behind this engine if there was really no damage done to our cars by driving on a faulty oil pump.

I also am not interested in the 1 day M5 school but supposedly there is going to be a letter going out next week to all affected customers that will offer this to all of us. Also it sounded like it might be a special school that was cooked up to try to address this issue with BMW's customers but I don't have any details so we'll have to wait until next week to find that out.

From my conversations it appears that BMW NA is willing to do a ~$1500 one time payment and the school and that is it. It didn't seem to matter to them that I paid cash for my car (i.e., don't need lease payment reimbursement) and haven't asked for any compensation for the delay or the inconvenience. I guess a bean counter decided that this was all that they were going to pay.

I also got additional information about why BMW NA is so concerned about this. Apparently when the oil pump fails, the engine immediately fails, and the drive train often locks up. Sounds like most of this is being motivated by a fear of killing its customers and the resultant lawsuits from the catastrophic engine/drivetrain failure. Someone should get in contact with the guys who totaled their M5 on the autobahn as this may be the culprit.

I also don't believe there will be any compensation for the missing side bolster adjustment. This issue appears to still be under discussion and I think BMW's ultimate position is likely to be that we were idiots for relying on their website but time will tell. Seems to me like a pretty clear deceptive trade practices act claim but what do I know...
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      10-06-2012, 02:54 PM   #16
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Quote:
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I was told that BMW NA will not do an extended warranty as compensation for the oil pump recall.
They did this for the HPFP on 335 and 535i's
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      10-06-2012, 03:38 PM   #17
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Quote:
Originally Posted by jgarvish View Post
I was told that BMW NA will not do an extended warranty as compensation for the oil pump recall. Despite this statement I have had multiple folks at BMW NA tell me that if there is ever a problem with my M5 that BMW would stand behind the car/engine. Strangely they will not agree to put this in writing and apparently will not agree to do so ahead of time by extending out the warranty. Makes you wonder why BMW won't stand behind this engine if there was really no damage done to our cars by driving on a faulty oil pump.

I also am not interested in the 1 day M5 school but supposedly there is going to be a letter going out next week to all affected customers that will offer this to all of us. Also it sounded like it might be a special school that was cooked up to try to address this issue with BMW's customers but I don't have any details so we'll have to wait until next week to find that out.

From my conversations it appears that BMW NA is willing to do a ~$1500 one time payment and the school and that is it. It didn't seem to matter to them that I paid cash for my car (i.e., don't need lease payment reimbursement) and haven't asked for any compensation for the delay or the inconvenience. I guess a bean counter decided that this was all that they were going to pay.

I also got additional information about why BMW NA is so concerned about this. Apparently when the oil pump fails, the engine immediately fails, and the drive train often locks up. Sounds like most of this is being motivated by a fear of killing its customers and the resultant lawsuits from the catastrophic engine/drivetrain failure. Someone should get in contact with the guys who totaled their M5 on the autobahn as this may be the culprit.

I also don't believe there will be any compensation for the missing side bolster adjustment. This issue appears to still be under discussion and I think BMW's ultimate position is likely to be that we were idiots for relying on their website but time will tell. Seems to me like a pretty clear deceptive trade practices act claim but what do I know...
From my perspective the thing to do is to first get your car back repaired correctly (mine still not yet). Than I believe we have to fend for ourselves. It maybe possible BMW will offer something such as a driving school voucher , it would be easy and frankly cost them very little out pocket expense since the instructors , cars, track are all there in place whther it's fully used or not. However for me I want a ckeck . My plan is to start with my dealer and ask him who should contact BMW on my behalf, me or you. Then I plan on being a dog on a bone about this. Beautiful weather here , I have been without my toy since 9/21/12 and I am annoyed every time I have a few extra hours to myself that could be used to enjoy my M5, that are instead spent searching the interent for any kernel of news hinting of when I might get it back.
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      10-06-2012, 05:42 PM   #18
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Can somebody explain to me what the point would be of getting an extended warranty as part of the compensation package? If your oil pump didn't fail, your engine should be fine.

Is there some concern that you could have been driving the car with a low oil condition due to a bad pump and not known it? That doesn't seem very likely and BarryB's tale of woe suggests that the loss of the oil pump leads to a massive engine failure before you even get a low oil warning light.
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      10-06-2012, 05:46 PM   #19
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Hang in their bro! Feels like I forgot I have the thing. Can't until Friday when pick it up and drive from Michigan to Atlanta! Radar detector ready, window tiny, and front end 3m wrapped entire front end. Ready to hit the road to make up for loss time.
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      10-06-2012, 05:54 PM   #20
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Quote:
Originally Posted by SleepTight
Can somebody explain to me what the point would be of getting an extended warranty as part of the compensation package? If your oil pump didn't fail, your engine should be fine.

Is there some concern that you could have been driving the car with a low oil condition due to a bad pump and not known it? That doesn't seem very likely and BarryB's tale of woe suggests that the loss of the oil pump leads to a massive engine failure before you even get a low oil warning light.
I think it was suggested as a message from BMW that they stand behind their products for the long haul. Not because of possible damage.
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      10-06-2012, 06:12 PM   #21
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I like the idea of an extended warranty as who know what adverse effects may result from dealership pump replacement service.
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      10-06-2012, 06:54 PM   #22
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I don't think anyone knows exactly what damage was or could have been done by driving the M5 with a faulty oil pump during the break in period, including BMW. I have asked BMW this question multiple times and while I understand BMW is passing the buck of responsibility to their suppliers the one person whose fault this IS NOT is the consumer. If there is really no damage done then extending the warranty will not cost BMW a dime but if there was damage done then BMW's consumers can drive their cars with peace of mind. This seems like a small gesture to make to resolve this problem and it allocates the cost of repair (if any) to the appropriate party.

At the end of the day, none of us bargained for this problem when we were agreeing to buy this car and BMW should feel lucky that this problem hasn't killed someone (assuming that is accurate).
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