As we predicted last fall, anyone who owns a VW diesel may find VW’s settlement turns out to be a good deal. (And in the brief golden period before sales were halted, you could get a good deal buying a distressed-pricing diesel VW.)
Full Answer
What is the CAA settlement with Volkswagen?
Under the CAA 2.0 liter partial settlement, Volkswagen must remove from commerce in the United States or perform an approved emissions modification on at least 85 percent of the affected 2.0 liter vehicles by June 2019. VW must also meet a separate 85 percent recall rate in California.
How many settlements did the EPA have against Volkswagen?
(Washington, D.C.) - Through a series of three partial settlements, the EPA has resolved a civil enforcement case against Volkswagen AG, Audi AG, Dr. Ing. h.c. F. Porsche AG, Volkswagen Group of America, Inc., Volkswagen Group of America Chattanooga Operations, LLC, and Porsche Cars North America, Inc. (collectively “Volkswagen”).
How much did Volkswagen contribute to the mitigation trust fund?
Under the CAA 3.0 liter partial settlement, Volkswagen contributed an additional $225 million in funding to the mitigation trust fund. There are two mitigation trust agreements created pursuant to the settlement: one for states, Puerto Rico, and the District of Columbia and one for federally recognized Indian tribes.
When did the US file a lawsuit against Volkswagen?
On January 4, 2016, and as amended on October 7, 2016, the United States filed a complaint against the Volkswagen entities alleging violations of the CAA with regard to approximately 590,000 diesel vehicles sold in the U.S.
How much compensation will VW owners get UK?
THOUSANDS of Volkswagon owners are in line to get an average of £2,100 in a payout following the emissions scandal. The German car maker has agreed a £193million settlement with 91,000 UK motorists.
Are VW paying compensation?
More than 90,000 people will receive a share of £193million following a court settlement related to the VW emissions scandal. The Volkswagen Group will pay out a share of £193million to around 91,000 drivers in England and Wales following a high-profile lawsuit relating to the 'Dieselgate' scandal.
How much will VW pay for buyback?
VW owners who had their vehicles when the scandal erupted in September 2015 have two options. They are generally eligible for a vehicle buyback ranging in value from $12,500 to $44,000. Or they can get their car fixed to make it legal and receive a payout ranging from about $5,000 to $10,000.
How much did VW pay in fines and settlements?
Volkswagen has since paid well over $20 billion in fines and legal settlements related to its diesel emissions cheating.
How much will I get from the VW emissions scandal?
The Volkswagen Group has reached an out of court settlement with claimants in a class action lawsuit following the dieselgate emissions scandal. A payout of £193 million has been agreed, which averages £2,120 for each of the 91,000 owners that joined the claim.
Is it too late to claim against Volkswagen?
The statute of limitations is thought to end for the claims with the longest statute of limitations in or around September 2021, six years after the VW defeat device software became publicly known in England and Wales.
How does VW buyback work?
Volkswagen owners and lessees who are eligible can either bring their VW in for compliance modification, allow us to buy back their vehicle or end their lease early. In some cases, an additional cash settlement can be offered. Numbers vary, but eligible drivers can receive as much as $10,000 from Volkswagen.
How many cars did VW buy back?
In the end, after paying huge fines and seeing key executives head to prison, VW agreed to buy back nearly 380,000 of the offending cars in the United States, to fix or scrap.
Which VW cars are affected by the emissions scandal?
Affected vehicles2.0 liter diesel vehicle models and model years with defeat devices: Jetta (2009 – 2015) Jetta Sportwagen (2009 - 2014) Beetle (2013 – 2015) ... 3.0 liter diesel vehicle models and model years with defeat devices: Volkswagen Touareg (2009 - 2016) Porsche Cayenne (2013 - 2016) Audi A6 Quattro (2014 - 2016)
How much did Volkswagen pay out?
Volkswagen is to pay £193m to more than 90,000 drivers in England and Wales after it settled a High Court claim over the installation of emissions cheating devices in its vehicles.
How much did VW pay for diesel scandal?
LONDON, May 25 (Reuters) - Volkswagen (VOWG_p.DE) will pay 193 million pounds ($242 million) as part of an out-of-court settlement to around 91,000 British drivers over a diesel emissions scandal that engulfed Europe's largest carmaker in 2015.
Which car company lied about emissions?
VWVW has denied the claims, which affect at least 10,000 vehicles. In November, VW said it had found "irregularities" in tests to measure carbon dioxide emissions levels that could affect about 800,000 cars in Europe - including petrol vehicles.
How much did Volkswagen pay out?
Volkswagen is to pay £193m to more than 90,000 drivers in England and Wales after it settled a High Court claim over the installation of emissions cheating devices in its vehicles.
What was Volkswagens punishment?
In April 2017, a US federal judge ordered Volkswagen to pay a $2.8 billion criminal fine for "rigging diesel-powered vehicles to cheat on government emissions tests". The "unprecedented" plea deal formalized the punishment which Volkswagen had agreed to.
How does VW buy back work?
Volkswagen owners and lessees who are eligible can either bring their VW in for compliance modification, allow us to buy back their vehicle or end their lease early. In some cases, an additional cash settlement can be offered. Numbers vary, but eligible drivers can receive as much as $10,000 from Volkswagen.
How much did VW have to pay?
Volkswagen is to pay £193m to more than 90,000 drivers in England and Wales after it settled a High Court claim over the installation of emissions cheating devices in its vehicles. The German carmaker apologised again to customers and said it was working to rebuild trust.
What is VW buyback?
“Buyback” is a term that has a special meaning related to the VW settlement. Do not offer to “buyback” VW cars from consumers, because you do not have a role in the settlement.
Is Volkswagen a reliable brand?
Until recently, Volkswagen had a pristine reputation in the auto industry. They were viewed as a reliable, trusted brand with a legion of loyal followers. Unfortunately, the company found out firsthand what happens when you lie to consumers — a lot of negative publicity and a multi-billion-dollar VW settlement.
Does VW offer a buyback?
VW is offering either a car buyback (or early lease termination), plus cash, or they can make a modification to the current vehicle to improve emissions, plus cash. VW anticipates that most people will choose the buyback option.
Can you run a Volkswagen dealership?
You may run a Volkswagen dealership, but you are not allowed to suggest — in person, or in your marketing and advertising materials — that your business has any “official” or “authorized” role in the settlement.
Is VW settlement a big deal?
The VW settlement is a big deal, so if anyone is working at your dealership that doesn’t know about it , you need to make sure they do. Nothing will discredit your industry expertise faster than having an employee that’s unaware of one of the biggest auto manufacturer blunders of all time.
Can you claim affiliation with VW?
You’re not allowed to claim affiliation with the VW settlement, but you can certainly run advertisements that target individuals who may be receiving settlements. You are also allowed to offer deals to them.
When did the second partial settlement of Volkswagen be approved?
On May 17, 2017, the court approved the second partial settlement addressing ...
What was the third partial settlement of Volkswagen?
Concurrent with the third partial settlement the United States Department of Justice resolved a criminal case against Volkswagen AG with a plea agreement for the offenses of conspiracy, obstruction of justice, and entry of goods by false statement; and the United States Customs and Border Protection resolved civil fraud claims with Volkswagen arising from the illegal importation of affected vehicles. Details on these resolutions are not included on this page.
How much did Volkswagen contribute to the CAA 3.0 settlement?
Under the CAA 3.0 liter partial settlement, Volkswagen contributed an additional $225 million in funding to the mitigation trust fund. There are two mitigation trust agreements created pursuant to the settlement: one for states, Puerto Rico, and the District of Columbia and one for federally recognized Indian tribes.
How much did Volkswagen pay for the 2.0 liter recall?
Volkswagen estimates that the total cost of achieving the 85 percent recall rate required under the CAA 2.0 liter partial settlement, and concurrently satisfying the FTC stipulated order and class action settlement agreement, will be up to $10.033 billion.
How many diesels were sold in 2016?
On January 4, 2016, and as amended on October 7, 2016, the United States filed a complaint against the Volkswagen entities alleging violations of the CAA with regard to approximately 590,000 diesel vehicles sold in the U.S.
Where is Volkswagen located?
Volkswagen AG is headquartered in Wolfsburg, Germany and is one of the world’s leading automobile manufacturers and the largest carmaker in Europe. This is the parent company of Volkswagen Group of America, Inc., Volkswagen Group of America Chattanooga, LLC, and Audi AG.
Does Volkswagen have emissions control?
Additionally, if Volkswagen proposes an emissions modification to EPA and California Air Resources Board (CARB) and the agencies approve it, Volkswagen must also offer owners and lessees the option of an emissions modification. The EPA and CARB will assess any proposed emissions modification according to detailed requirements including a substantial reduction in NO x emissions. Any approved emission modification will require extensive testing by Volkswagen and may include both software changes and new hardware. If approved, an emissions modification will reduce NO x emissions from the vast majority of vehicles by approximately 80 to 90 percent compared to their original condition. VW must provide consumers with an emissions modification disclosure that has been approved by EPA and CARB and that contains a clear and accurate description regarding all impacts of the emissions modification on the vehicle, including emissions levels as compared with the limits to which the vehicles were originally certified, and any impacts on fuel economy or vehicle maintenance. Any modified vehicle will also be covered by an extended warranty covering the emissions control system.
Overview of Companies
- Defendants in these CAA partial settlements are Volkswagen AG, Audi AG, Dr. Ing. h.c. F. Porsche AG, Volkswagen Group of America, Inc., Volkswagen Group of America Chattanooga Operations, LLC, and Porsche Cars North America, Inc. (collectively here “Volkswagen”). 1. Volkswagen AGis headquartered in Wolfsburg, Germany and is one of the world’s leading automobile manufacture…
Clean Air Act Certification Requirements and Violations
- The CAA and its regulations aim to protect human health and the environment, in part, by reducing harmful emissions from mobile sources of air pollution. The CAA partial settlements concern light-duty motor vehicles. Light-duty vehicles must satisfy tailpipe emission standards for certain air pollutants, including NOx. Pursuant to the CAA, the EPA administers a certification program t…
Elements of The Settlement
- CAA 2.0 Liter Partial Settlement
Under the CAA 2.0 liter partial settlement, Volkswagen must remove from commerce in the United States or perform an approved emissions modification on at least 85 percent of the affected 2.0 liter vehicles by June 2019. VW must also meet a separate 85 percent recall rate in California. If … - CAA 3.0 Liter Partial Settlement
Under the CAA 3.0 liter partial settlement, Volkswagen must remove from commerce in the United States or perform an approved emissions modification on at least 85 percent of the affected 3.0 liter vehicles. Volkswagen’s specific obligations for these vehicles differ depending on the techn…
Mitigation
- The CAA 2.0 liter partial settlement required Volkswagen to fund a $2.7 billion mitigation trust fund. Under the CAA 3.0 liter partial settlement, Volkswagen contributed an additional $225 million in funding to the mitigation trust fund. There are two mitigation trust agreements created pursuant to the settlement: one for states, Puerto Rico, and the District of Columbia and …
Zero Emission Vehicle (Zev) Investment
- The CAA 2.0 liter partial settlement requires Volkswagen to invest $2 billion in ZEV charging infrastructure and in the promotion of ZEVs. The ZEV investments required by the CAA 2.0 liter partial settlement are intended to address the fact that consumers purchased these illegal vehicles under the mistaken belief that such vehicles were lower-emitting than others. Electrify …
Health Effects and Environmental Benefits
- NOx pollution contributes to the formation of harmful smog and soot, exposure to which is linked to a number of respiratory- and cardiovascular-related health effects as well as premature death. Children, older adults, people who are active outdoors (including outdoor workers), and people with heart or lung disease are particularly at risk for health effects related to smog or soot expos…
Civil Penalty
- Under the third partial settlement, Volkswagen has paid a $1.45 billion civil penalty for the alleged civil violations of the Clean Air Act.
State and Regional Partners
- The State of California, on behalf of its California Air Resource Board and the California Attorney General, joined the United States in both the 2.0 liter partial settlement and the 3.0 liter partial settlement.
Actions to Prevent Future Violations
- Volkswagen will take various measures to prevent future problems, including among other things the following (some but not all of the following requirements apply to the Porsche defendants). Pursuant to the third partial settlement, Volkswagen will ensure the personnel who test their vehicles for emissions compliance are separate from the personnel who design their vehicles. V…
For More Information, Contacts
- Volkswagen Case Team Air Enforcement Division U.S. EPA 1200 Pennsylvania Ave., NW Mail Code 2242A Washington, DC 20460 [email protected]