Photo: Volkswagen
The Volkswagen Group has announced it has made an agreement out of court with its claimants regarding the NOx Emissions Group Litigation for its English and Welsh groups. In layperson's terms, the VW Group has settled the class-action lawsuit that was filed against it by the legal representatives of their English and Welsh customers.
The settlement is confidential, and so are the terms and conditions of it, Volkswagen notes. It is important to underline the fact that the settlement refers to the vehicles made by the VW Group that had EA189 diesel engines. In other words, the settled case was the one related to the inline four-cylinder units. The scandal led to a decline in popularity for diesel engines.
With this settlement, no admissions in terms of liability, causation, or loss have been made by any of the defendants in the group action. Instead, the German conglomerate estimated the costs involving the litigation of this case in England for six months, along with any further appeals by either party, and decided to choose what they describe as "the most prudent course of action commercially."
According to the VW Group, the settlement has resolved approximately 91,000 claims in England and Wales, and will make a payment of GBP 193 million (ca. $243 million) to the claimants. The legal fees, as well as other fees, will be handled by the VW Group with a separate contribution.
It is unclear what portion of the settlement will be awarded to each claimant. While some might try to divide the total amount by the number of claims, doing so would be incorrect, as the allocation of the sums will be done in proportions agreed between the claimants and their solicitors, and the VW Group will not directly pay each claimant.
Instead, the German conglomerate will pay the full amount to a fund, and it will be up to the law firms involved to allocate the money between the claimants.
With that being written, the Volkswagen Group wants to sincerely apologize to their customers for the "two-mode software installed in the EA189 vehicles. The Volkswagen Group will continue to work to rebuild the trust of its customers in England and Wales. This settlement t represents an important further stage in that process," VW noted.
The settlement is confidential, and so are the terms and conditions of it, Volkswagen notes. It is important to underline the fact that the settlement refers to the vehicles made by the VW Group that had EA189 diesel engines. In other words, the settled case was the one related to the inline four-cylinder units. The scandal led to a decline in popularity for diesel engines.
With this settlement, no admissions in terms of liability, causation, or loss have been made by any of the defendants in the group action. Instead, the German conglomerate estimated the costs involving the litigation of this case in England for six months, along with any further appeals by either party, and decided to choose what they describe as "the most prudent course of action commercially."
According to the VW Group, the settlement has resolved approximately 91,000 claims in England and Wales, and will make a payment of GBP 193 million (ca. $243 million) to the claimants. The legal fees, as well as other fees, will be handled by the VW Group with a separate contribution.
It is unclear what portion of the settlement will be awarded to each claimant. While some might try to divide the total amount by the number of claims, doing so would be incorrect, as the allocation of the sums will be done in proportions agreed between the claimants and their solicitors, and the VW Group will not directly pay each claimant.
Instead, the German conglomerate will pay the full amount to a fund, and it will be up to the law firms involved to allocate the money between the claimants.
With that being written, the Volkswagen Group wants to sincerely apologize to their customers for the "two-mode software installed in the EA189 vehicles. The Volkswagen Group will continue to work to rebuild the trust of its customers in England and Wales. This settlement t represents an important further stage in that process," VW noted.
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