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VW in Canada class action settlement

German carmaker VW has negotiated a deal to compensate Canadian drivers for buying 2.0-liter cars affected by the automaker's large emissions-cheating scandal. There's no solution yet for manipulated 3.0-liter vehicles.

Canadian drivers of Volkswagen vehicles whose diesel engines were found equipped with emissions-cheating devices will get up to 1.5 billion Canadian dollars (1.5 billion euros, $1.57 billion) in compensation.

The details of a lawsuit settlement announced on Monday were revealed by Canada's Competition Bureau in a statement.

"One of the largest consumer settlements in Canadian history" will allow some 105,000 drivers to return their vehicles to VW for a refund, trade them in or have them repaired.

The German automaker's Audi and Porsche brands are also included in the deal.

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Court filings noted that owners paid a premium for diesel-powered vehicles compared with gasoline models. After VW's pollution scandal broke, the values of the manipulated cars plunged and scheduling repairs caused disruptions for owners.

The Competition Bureau became involved, it said, after concluding "that false or misleading environmental marketing claims were used to promote certain vehicles with 2.0-liter diesel engines.

The Bureau made it clear that the settlement did not resolve an ongoing inquiry into VW vehicles equipped with 3.0-liter diesel engines.

hg/jd (AFP, dpa)

 

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