VW to pay $1.5 million to settle NH, Montana diesel claims

by Reuters
Monday, 27 September 2021 14:02 GMT

WASHINGTON, Sept 27 (Reuters) - Volkswagen AG on Monday said it has agreed to pay $1.5 million to settle environmental claims with the states of New Hampshire and Montana over post-vehicle updates of software emissions arising from the 2015 diesel cheating scandal.

The settlements for about $280 per vehicle is a small fraction of the maximum liability the German automaker faces over the issue of whether states can enforcement emissions laws over updates to emissions after the vehicles were sold.

VW will pay New Hampshire $1.15 million and it pledged to build another high-speed charging station in the state by 2024. VW has agreed to pay Montana $357,280.

VW last month asked the U.S. Supreme Court to reverse an Ohio court ruling that cleared the way for the state to move forward with its diesel emissions lawsuit.

VW said in court papers Ohio's claims "could total $350 million per day, or more than $127 billion per year, over a multi-year period." The settlements with the two states are the equivalent of $280 per vehicle and cover about 5,500 vehicles.

The remaining three states and two counties that have filed suit involve about 47,000 vehicles.

Volkswagen previously settled U.S. actions prompted by the emissions scandal for more than $20 billion, but that did not shield it from local and state government liability, the appeals court found. (Reporting by David Shepardson)

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