Volkswagen has offered a generous compensation package to owners and lessees of diesel vehicles found to violate clean-air laws that applies to commercial and fleet users, according to a company spokeswoman.
Paul Clinton・Former Senior Web Editor
June 30, 2016
Photo courtesy of Volkswagen.
2 min to read
Photo courtesy of Volkswagen.
Volkswagen has offered a generous compensation package to owners and lessees of diesel vehicles found to violate clean-air laws that applies to commercial and fleet users, according to a company spokeswoman.
The compensation comes under a proposed settlement that won't likely be finalized until the fall and must be approved by a federal judge. Under the proposal, Volkswagen will buy back eligible vehicles at pre-scandal prices or offer to repair them. Vehicles bought back are also eligible for an additional payment of $5,000 to $10,000.
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Lessees have the option of canceling the lease without facing an early termination penalty. It's likely that fleet management companies or fleet users holding title to the vehicles would be eligible for the compensation rather than fleet lessees.
Fleet management companies are still evaluating the settlement.
"We will need to review the final ruling by the courts and will comply with what Volkswagen has agreed to and what the justice system deems appropriate," said Jeffrey Perkins, general manager of fleet operations for Motorlease Corp. "As always we advocate for the solution that best fits our client’s needs. In the event a court decision or a manufacturer requires a vehicle to be returned prematurely, we would never charge our client an early termination fee to do so."
The settlement covers the 2.0L TDI engines in approximately 475,000 vehicles, including 460,000 VW vehicles and 15,000 Audi vehicles.
For the latest updates and to check eligibility, fleets can visit VW's settlement website here.
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