Auto Service World
News   January 17, 2018   by Adam Malik

VW reaches settlement in cheating scandal

Deal for 3.0L vehicles follows agreement for 2.0L versions last year; about 20,000 vehicles affected

Volkswagen has reached a settlement related to an emissions cheating scandal that included Audi and Porsche diesel vehicles.

A $290.5 million deal was agreed to by VW and Canadian class counsel in consultation with the Commissioner of Competition, covering 20,000 3.0-litre vehicles. Volkswagen Group Canada also agreed to pay a $2.5 million civil penalty.

If approved by the courts, about 15,000 owners and lessees who received an emissions repair recall of 2013-2016 VW, Audi and Porsche 3.0L diesel vehicles will receive a cash payment.

About 5,000 owners and lessees of 2009-2012 vehicles will also receive payments with additional offers to either buyback, trade in, terminate the lease early or apply modifications to reduce emissions, if approved by the U.S. Environmental Protection Agency.

“This is an important milestone towards making things right for all of our customers with affected diesel vehicles in Canada,” said Daniel Weissland, president and chief executive officer of Volkswagen Group Canada, in a statement. “We are making good progress with our 2.0L settlement program and continue to dedicate substantial resources to ensure that the process runs as smoothly as possible. We thank our 3.0L customers for their continued patience as a settlement for their vehicles moves towards approval and all parties for their constructive efforts in achieving this agreement.”

Last year, a settlement was reached to cover VW and Audi 2.0 litre diesel engines.

“We appreciate the companies’ substantial cooperation with our investigation and the resolution of this matter,” said John Pecman, commissioner of the federal Competition Bureau. “This second settlement and consent agreement is a satisfactory conclusion to a high-profile consumer deceptive marketing case. Cars represent a significant investment for Canadian families and we are pleased that they will receive the compensation they deserve from these misrepresentations.”

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