Thursday, April 21, 2016
SAN FRANCISCO (AP) — An agreement will give owners of hundreds of thousands of Volkswagen vehicles rigged to cheat on emissions tests the option of having the automaker buy back the cars or fix them, a judge said today.
Senior U.S. District Judge Charles Breyer did not give details on how much car owners would be paid but said the deal between Volkswagen, the U.S. government and private lawyers would include "substantial compensation."
He also did not say how more than 480,000 vehicles would be repaired. He said terms of the agreement were still being worked out and ordered all sides to keep them confidential during negotiations.
It will include a fund for corrective efforts over the excess pollution, and Volkswagen will be required to commit other money to promote green automotive technology, said Judge Breyer, who has not formally signed off on the deal yet.
"I am extremely pleased to report that the parties have come up with a concrete plan by today's date, and I would like to publicly thank them," Judge Breyer said.
Volkswagen would spend just over $1 billion to compensate owners but did not detail a vehicle fix in the agreement, a person briefed on the matter who asked not to be identified because the deal had not been made public said Wednesday.
The deal affects the owners of about 482,000 Volkswagens with 2-liter, four-cylinder diesel engines who can choose repairs or buybacks. Those with leased vehicles, including VW Jetta, Golf and Passat models dating to the 2009 model year, will be able to give the cars back.