Volkswagen Group has reached a comprehensive in-principle settlement with the class action plaintiffs in Australia. This is a significant step towards fully resolving the diesel lawsuits in Australia, subject to approval by the Federal Court of Australia. Volkswagen views the in-principle settlements as a further step towards overcoming the diesel issue.
Settlement of the customer class-action lawsuits
The class action lawsuits filed on behalf of Australian customers relate to approximately 100,000 Australian EA189 vehicles. If all affected vehicles participate, each of these customers can expect a payment per vehicle of approximately A$1,400 (about EUR 870), on average.
The settlement, on a no-admissions basis, concerns five class-action lawsuits covering all affected vehicles in Australia. The settlement has to be confirmed by the Federal Court of Australia and a timetable has been set by the Court for the necessary steps to occur. Volkswagen expects the proceedings will be concluded in 2020.
Update regarding the dispute with the ACCC
Discussions regarding an in-principle settlement of the civil suit by the Australian Competition and Consumer Commission (ACCC) against Volkswagen are close to finalisation and a resolution between the parties is expected shortly. The details are confidential at this time.
Paul Pottinger:
