The fallout from Dieselgate continues as Volkswagen and the Federation of German Consumer Organizations (vzbv) have reached a €830 ($910 / £709) million settlement over the company’s dirty diesels.
Under the terms of the deal, approximately 260,000 consumers will be eligible to receive a compensation package that ranges from €1,350 ($1,480 / £1,153) to €6,257 ($6,858 / £5,346) – depending on the model and age of the vehicle. The vzbv says the average payment should be “approximately 15 percent of the original purchase price from Volkswagen.”
Consumers can either accept the settlement or reject it and pursue their own lawsuits. However, the vzbv noted taking the offer allows victims to “receive money quickly and safely.”
A decision needs to be made by April 20, 2020 and consumers can get advice from a lawyer of their choice. Volkswagen will cover this cost – up to €190 ($208 / £162) – if the consumer decides to accept the settlement after consultation.
The compensation package will be available to German residents who bought a vehicle equipped with an EA189 diesel engine by December 31, 2015. They’ll receive a letter from Volkswagen informing them about the settlement and it will include a personal identification number (PIN) which can be entered on a website – along with other information – to see how much their compensation package is.
The website is slated to be launched next month but, in the meantime, owners can register for a newsletter at vergleich.volkswagen.de to receive information about the latest developments.
Volkswagen AG’s legal affairs boss, Hiltrud Werner, said “We and the Federation of German Consumer Organizations have achieved a fair and verifiable settlement solution” … “and will now do everything in our power to offer and make the one-time payments as quickly as possible.”
The sentiments were echoed by Volkswagen AG Chief Corporate Counsel, Dr Manfred Döss, who stated “It is good that we are now able to offer consumers a settlement in conjunction with the Federation of German Consumer Organizations after all. This confirms that the settlement in these proceedings is a reasonable solution for everyone – customers, the judiciary and Volkswagen.”