Volkswagen Reaches Multi-Billion Dollar Settlement in Emissions Scandal

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Volkswagen reached a settlement over their 2.0-liter diesel-powered vehicles, which were purchased by many who thought they were being earth friendly and later learned they were being deceived. The vehicles that are part of the legal actions taken against Volkswagen after their vehicles were determined to contain “defeat devices”, which allowed vehicles that should not have, to pass emissions tests.

Volkswagen came to an agreement with the U.S. District Court on Tuesday, where Volkswagen will be required to spend a total of $14.7 billion dollars to rectify their wrongdoing. Of the $14.7 billion, approximately $10 billion will be used in a buyback or to modify the 475,000 vehicles connected with the recent litigation. Also, Volkswagen will be required to pay $2.7 billion into a trust supporting environmental programs and an additional $2 billion must be put into investments and promotion of zero emissions vehicles. Volkswagen will face additional penalties if 85% the vehicle have not been fixed or sold back to them by June 2019.

“Curbing emissions is vital to protecting our planet for future generations and the deceit Volkswagen practiced in pursuit of profit is unconscionable,” said Attorney General Kamala D. Harris. “This agreement holds the company accountable for violating California and federal environmental protection laws and requires major investments in our environment and zero emission technology, including over a billion dollars for California alone.”