The Latest on the settlement of environmental and consumer claims against Volkswagen over its emissions-cheating scandal (all times local):
9:20 a.m.
Volkswagen will be closely monitored even if it is able to fix the vehicles.
For the next five years, the settlement requires the company to notify the Environmental Protection Agency and the California Air Resources Board every time it tests one of the modified vehicles. The agencies will send representatives to observe those tests. If a vehicle fails a test, the company must notify the agencies within 72 hours and face possible penalties.
Volkswagen is also required to submit annual reports on its testing through 2023.
If Volkswagen is found to be selling any unrepaired vehicles, or returning unrepaired vehicles to owners, it must pay a penalty of $50,000 per vehicle.
8:15 a.m.
Lawyers say Volkswagen’s $14.7 billion settlement announced Tuesday is the largest auto-related consumer class-action settlement in U.S. history.
VW admitted to installing software that turned on pollution controls during emissions testing then turned them off when the cars were on the road.
As part of the settlement, the company must offer to buy back most of the affected 475,000 cars with diesel engines, or terminate their leases. That’s because, according to court documents filed Tuesday, there currently is no repair that can bring the cars into compliance with U.S. pollution regulations. If VW does propose a repair, it must be approved by the Environmental Protection Agency and the California Air Resources Board.
__
7:55 a.m.
A federal court in San Francisco is soon expected to announce the details of Volkswagen’s $14.7 billion settlement of claims related to its emissions-rigging scandal.
U.S. owners of cars with 2-liter diesel engines can choose to either sell their car back to VW or get a repair. They each will also receive compensation of $5,100 to $10,000, according to a person briefed on the settlement talks.
The settlement also includes $2.7 billion for environmental mitigation and another $2 billion for research on zero-emissions technology, the person said.
The person asked not to be identified because the deal will not be filed in court until later Tuesday.
–Tom Krisher
