Volkswagen to Pay $14.7 Billion to Settle Emissions Scandal
Posted on behalf of Arnold Law Firm on Jul 13, 2016 in Class Action Lawsuits
In the biggest payout to consumers in automotive history, Volkswagen will pay $14.7 billion to settle its emissions scandal. The payout includes $86 million in penalties to California for diesel emissions violations.
In excess of $10 billion will be designated to buy back or repair 475,000 Volkswagens that had engines designed to switch off emissions data when not in a laboratory setting. Around $2.7 billion will be put into an Environmental Protection Agency trust fund, and an additional $2 billion will be earmarked for clean energy technology.
This class action suit will enable consumers to sell their vehicles back to Volkswagen for what they were worth before the scandal. Volkswagen owners also have the option to have the fraudulent emissions software repaired for free until December 1, 2018. On that date, Volkswagen will be charged millions more in fines if it has not fixed or replaced 85 percent of affected vehicles.
In addition to the buyback or repairs, owners may receive anywhere from $5,100 to $10,000 from the settlement.
Volkswagen used deceptive software to cheat emissions tests and con customers and regulators. Since the scandal broke, Volkswagen’s reputation as the world’s second largest automaker has been tarnished.
Many consumers who purchased Volkswagen vehicles did so because they believed they were helping the environment by reducing emissions. Consumers feel cheated because their vehicles were having the opposite effect.
There is a pending criminal investigation.
This settlement is the largest fine imposed by the government and regulators on a corporation since BP’s $20.8 billion settlement.
If you purchased a Volkswagen with deceptive emissions control software, you could be entitled to receive compensation for damages. The California class action attorneys at The Arnold Law firm are available to review your claim and discuss your rights. We have extensive legal experience and we are determined to hold negligent automotive companies accountable.
Call (916) 777-7777 today for your free consultation.