General Motors agrees to $120 million settlement over ignition suits

General Motors has accepted to a $120 million settlement over defective ignition switches that allegedly caused cars to stall and air bags to deploy, and in some cases triggering deadly accidents.

The deal, which must be authorized by a judge, would resolve hundreds of lawsuits filed before the American automaker sought bankruptcy protection in 2009.

Under the settlement, which was submitted Friday in federal court in Manhattan, GM will spend as much as $70 million to motorists and in some cases their survivors.

A trust established in connection with its bankruptcy will contribute $50 million, as per the settlement. The automaker has also agreed to pay as much as $34.5 million to the lawyers who represented motorists in the court case.

However, GM has denied any wrongdoing on their part.