Photo: Volkswagen
Volkswagen has reportedly agreed to a settlement with U.S. officials that includes the possibility of the automaker buying back almost 500,000 cars sold on that market.
According to the report, Volkswagen is expected to notify a federal judge in San Francisco about the signing of the deal, in which the German company would allow owners the possibility of selling their cars back to Volkswagen dealers.
The solution would only be possible for the vehicles fitted with the 2.0-liter TDI engine of the EA189 family, the most affected by the Dieselgate scandal.
As Automotive News reports, Volkswagen’s shares in U.S. listings rose in value by up to six percent after the news reached the media. The German company is also considering a compensation of $5,000 for each owner of a Dieselgate-affected car sold in the USA.
Volkswagen’s deadline to provide a settlement solution for the 600,000 US customers of vehicles affected by the Dieselgate situation ends today, so we should hear an official position from the company soon.
Both solutions presented above are not official, as the company’s representatives have not commented on the rumors and have yet to publish a press release. If the reports are correct, we suspect that Volkswagen would let owners choose between a buyback and a settlement of $5,000, but some sources say both options might be available to owners.
In the case of the settlement payment, Volkswagen would probably include a fix of the vehicle with the deal so that the cars would then comply with emissions regulations.
On the other hand, if the company buys back the affected vehicles, it still has to fix them so the units can be sold somewhere else. However, it is unclear whether Volkswagen will be allowed to sell those cars at a later date.
Once an owner agreed to either solution, Volkswagen would probably be excused of any lawsuits that the former customer might start. It would make sense for the legal team of the German company to introduce a clause like this in the contracts related to Dieselgate settlements.
However, the reports concerning the settlement do not mention any fix that was approved by authorities for the vehicles that were affected by the situation and have yet to be repaired to comply with legal emission regulations.
Furthermore, Volkswagen’s problems in the United States of America are far from over, with the company still facing fines and lawsuits from several organizations and authorities, as the deceit and pollution caused by the cars in question will not go away with the settlement provided to their customers.
The solution would only be possible for the vehicles fitted with the 2.0-liter TDI engine of the EA189 family, the most affected by the Dieselgate scandal.
As Automotive News reports, Volkswagen’s shares in U.S. listings rose in value by up to six percent after the news reached the media. The German company is also considering a compensation of $5,000 for each owner of a Dieselgate-affected car sold in the USA.
Volkswagen’s deadline to provide a settlement solution for the 600,000 US customers of vehicles affected by the Dieselgate situation ends today, so we should hear an official position from the company soon.
Both solutions presented above are not official, as the company’s representatives have not commented on the rumors and have yet to publish a press release. If the reports are correct, we suspect that Volkswagen would let owners choose between a buyback and a settlement of $5,000, but some sources say both options might be available to owners.
In the case of the settlement payment, Volkswagen would probably include a fix of the vehicle with the deal so that the cars would then comply with emissions regulations.
On the other hand, if the company buys back the affected vehicles, it still has to fix them so the units can be sold somewhere else. However, it is unclear whether Volkswagen will be allowed to sell those cars at a later date.
Once an owner agreed to either solution, Volkswagen would probably be excused of any lawsuits that the former customer might start. It would make sense for the legal team of the German company to introduce a clause like this in the contracts related to Dieselgate settlements.
However, the reports concerning the settlement do not mention any fix that was approved by authorities for the vehicles that were affected by the situation and have yet to be repaired to comply with legal emission regulations.
Furthermore, Volkswagen’s problems in the United States of America are far from over, with the company still facing fines and lawsuits from several organizations and authorities, as the deceit and pollution caused by the cars in question will not go away with the settlement provided to their customers.
Google News