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Volkswagen agrees to $290M settlement in Canada over emissions scandal

Volkswagen and Canadian class counsel have come to an agreement to resolve consumer claims regarding approximately 20,000 affected 3.0L diesel vehicles in Canada, subject to court approval.
Volkswagen and Canadian class counsel have come to an agreement to resolve consumer claims regarding approximately 20,000 affected 3.0L diesel vehicles in Canada, subject to court approval. AP Photo/Michael Sohn, file

Volkswagen has agreed to a proposed settlement of up to $290.5 million for Canadian vehicle owners affected by the emissions scandal that embroiled the German automaker over two years ago.

Approximately 20,000 owners and lessees of Volkswagen, Audi and Porsche diesel vehicles will be eligible for cash payments if the settlement is approved, according to a press release circulated by Volkswagen Group Canada.

The settlement involves 2013-2016 vehicles subject to a recall for an emissions repair that would bring them into compliance with emissions standards. Some vehicles from model years 2009-2012 are also affected, according to the release.

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WATCH: Past video coverage of the Volkswagen emissions scandal

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In September 2015, Volkswagen admitted it had installed software on 11 million diesel-engine vehicles designed to dupe emissions testing equipment into thinking the cars were emitting a lesser amount of greenhouse gases than they actually were.

“This is an important milestone towards making things right for all of our customers with affected diesel vehicles in Canada,” said Daniel Weissland, president and CEO of Volkswagen Group Canada.

The settlement is subject to approval by both the Ontario Superior Court of Justice in Toronto and the Superior Court of Québec in Montreal, with hearings set for April 2018.

The full agreement is available here: www.VWCanadaSettlement.ca.

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