If General Motors Co creates a fund to compensate victims of its faulty ignition switches, an option that a top legal adviser suggested it is exploring, the company could give up strong defenses to a wave of lawsuits. By setting up a fund, GM could avert years of civil litigation and limit its financial and reputational harm. GM has retained Kenneth Feinberg, a Washington lawyer who has overseen compensation funds for victims of high-profile catastrophes like the BP Plc oil spill and the September 11, 2001, attacks. Feinberg told CNBC on Wednesday that GM is "asking me to help develop some sort of program that might be used to compensate eligible claimants." Feinberg did not return a request for comment.