Hyundai Halts Sales, Initiates Recall of Palisade SUV After Fatal Powered-Seat Incident

Hyundai Motor North America announced on March 13 that it would halt sales of its 2026 Palisade sport utility vehicle (SUV) with Limited and Calligraphy trim models in the United States and Canada following a fatal accident involving a young child.

According to a statement issued by Hyundai, the powered second- and third-row seats in the SUVs may not properly detect an occupant and could continue with power-folding operations, while the second-row seating may continue with its one-touch tilt and slide function despite someone sitting in one of the seats.

The cease-sales order stems from the death of a youth in a Palisade SUV.

“While Hyundai does not yet have the full details and the incident is still under investigation, a young child lost her life,” the company said.

“Hyundai extends its deepest sympathies to her family.”

Hyundai did not provide any additional details on the fatality, though it urges Palisade owners to exercise caution when operating the powered second- and third-row seats and “ensure that no person or object, including children, is in the seat or seat-folding area before operating the power seat,” the automaker said.

“When using the second-row one‑touch tilt‑and‑slide feature to access the third row, customers should avoid pressing the seatback button during entry or exit,” Hyundai added.

Hyundai is also finalizing a recall with the National Highway Traffic Safety Administration (NHTSA) for nearly 68,500 Palisade models, including just more than 60,500 in the United States and almost 8,000 vehicles in Canada. In the interim, Hyundai said it is finalizing an over-the-air software update for the vehicles that is expected to be completed by the end of March.

The update is meant to be a temporary solution, Hyundai noted, and it is designed to enhance the vehicles’ response when an occupant is sitting in any of the rear seats by providing additional operating safeguards and increased system safety. Once a solution is finalized, it will be available for free for Hyundai owners, the automaker said.

“Hyundai’s top priority is the safety of its customers, and additional details regarding the interim software update and final recall repair will be provided as they become available,” Hyundai said.

As it works to resolve the issue with the powered rear seats and finalize the recall with the NHTSA, Hyundai said it would offer interested customers free rental vehicles from its network of dealerships.

Palisade owners can contact Hyundai’s customer assistance center with additional questions about the recall and cease-sales order.