VOLKSWAGEN/AUDI/PORSCHE 3.0L

NEW

On April 19, 2018, the Ontario Court approved the 3.0L Settlement Agreement. The Ontario Court’s reasons for decision may be reviewed here. The Quebec Settlement Hearing was completed the first week of April. The Quebec Court has not yet released its judgment. The 3.0L Settlement Agreement will only become effective if it is also approved by the Quebec Court. This information will be posted on this site once it becomes available.


On Friday January 12, 2018, Volkswagen and Canadian class counsel confirmed their agreement to resolve consumer claims in Canada regarding approximately 20,000 affected 3.0L diesel vehicles, subject to court approval.

The Settlement Approval Hearing in Ontario proceeded on April 5, 2018. The Court reserved its judgment. Written reasons for decision will follow in due course and will be posted on this site once available. The Quebec Settlement Hearing was also completed the first week of April. That Quebec judgment is also under reserve with written reasons to follow.

 

1. Class Actions were commenced in Ontario in the fall of 2015 for a nationwide class, except residents of Quebec, against Volkswagen / Audi defendants and Porsche defendants concerning the installation of so-called “defeat devices” in certain models of Volkswagen, Audi and Porsche 3.0L diesel vehicles alleging that the intentional design, manufacture and installation of these devices in these diesel vehicles defeated or suppressed the true measure of emissions and pollutants, including nitrogen oxide. Similar actions were commenced in Quebec on behalf of Quebec residents.

2.  The actions are in respect of the following brands, generations, models and model years of 3.0L vehicles sold in Canada or leased in Canada from Volkswagen Credit Canada Inc. (also known as Volkswagen Finance and Audi Finance) or Porsche Financial Services Canada, Inc.:.

Brand

Model

Model Year(s)

Generation One

Volkswagen

Touareg

2009-2012

Audi

Q7

2009-2012

Generation Two

Volkswagen

Touareg

2013-2016

Audi

Q5

2014-2016

Audi

Q7

2013-2015

Audi

A6

2014-2016

Audi

A7

2014-2016

Audi

A8/8L

2014-2016

Porsche

Cayenne

2013-2016

3.  Plaintiffs’ counsel engaged in serious time-pressured negotiations with the defendants, at times with the assistance of a mediator, over the course of many months.

4. On January 12, 2018, the parties confirmed that a nationwide 3.0L Settlement has been reached, subject to court approval, on the benefits that will be available in Canada for approximately 20,000 affected 3.0L diesel vehicles, including emission repairs, cash payments and other options depending on the generation of vehicle. The 3.0L Settlement must be approved by the Courts at hearings to be held in Montreal on April 3rd and in Toronto (393 University Avenue, courtroom 801) on April 5th, 2018 to become effective.

5.  You may review the Joint Press Release at the tab above for more information on what this means for affected owners/lessees of affected 3.0L diesel vehicles.

6. By orders dated January 12, 2018, the Courts have certified/authorized the settlement class and approved an extensive notice campaign to begin on or about January 17, 2018.

7. Potential settlement class members have until March 19, 2018 to decide if they wish to exclude themselves from the 3.0L Settlement or to advise the Court of any objections they might have concerning the 3.0L Settlement.

8. Settlement class members do not need to take any action to claim settlement benefits under the 3.0L Settlement at this time. The period to submit a claim for settlement benefits will not begin until after the 3.0L Settlement receives approval by the Courts. Please read the two important notes in bold below carefully.

NOTE: If owners sell their affected 3.0L vehicle on or after the date the notice program begins on January 17, 2018, they will lose the right to claim benefits under the 3.0L Settlement.

NOTE also: The U.S. EPA approved an Emissions Compliant Repair for 3.0L Generation Two vehicles in December 2017. Owners/lessees of affected 3.0L Generation Two vehicles may make an appointment with an authorized dealer now to have the emissions compliant repair performed on their vehicle now and get the extended emissions warranty without in any way affecting their entitlement to claim or receive a cash payment under the 3.0L Settlement if it is subsequently approved by the Courts.

9.  Interested persons may visit www.VWCanadaSettlement.ca or call 1-888-670-4773 for more information and to view the 3.0L Settlement Agreement.

10.  For clarity, please note that the 2.0L Settlement with Volkswagen / Audi approved by the Courts in April, 2017 was in respect of affected 2.0L diesel vehicles only and did not include the claims now being settled in any way. Similarly, the 3.0L Settlement now reached with Volkswagen / Audi / Porsche is in respect of affected 3.0L diesel vehicles only and does not include claims in respect of affected 2.0L diesel vehicles previously settled. Information on the 2.0L Settlement may also be found at www.VWCanadaSettlement.ca or by calling 1-888-670-4773.

FOR IMMEDIATE RELEASE

VOLKSWAGEN AND CONSUMER CLASS CONFIRM AGREEMENT in Canada
INVOLVING 3.0L DIESEL VEHICLES
 

Proposed nationwide class settlement in Canada provides benefits for approximately 20,000 3.0L Volkswagen, Audi and Porsche diesel vehicles.

Cash payments available to owners and lessees of affected model year 2013-2016 vehicles who receive the recall for an emissions repair to bring their vehicle into full compliance with originally certified emissions

Cash payments also available to owners and lessees of affected model year 2009-2012 vehicles, as well as additional options that include buyback, trade-in, early lease termination or, if approved by the U.S. EPA and available by recall in Canada, a modification to reduce emissions.

Ajax, ON; Toronto, ON; Montreal, QC – January 12, 2018 – Volkswagen and Canadian class counsel today confirmed their agreement to resolve consumer claims in Canada regarding approximately 20,000 affected 3.0L diesel vehicles, subject to court approval. The full agreement and summaries of its terms are available as of today at www.VWCanadaSettlement.ca. As noted in last month’s announcement of the agreement, the proposed settlement provides for cash payments and other benefits to eligible 3.0L diesel owners and lessees. It has a total value of up to CAD $290.5 million.

This result was reached by Volkswagen and Canadian class counsel in consultation with the Commissioner of Competition in Canada. In addition, Volkswagen Group Canada has agreed with the Commissioner to resolve related civil consumer protection concerns with the agreed benefits in the proposed class settlement, as well as with a CAD $2.5 million civil penalty.

“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. “We are making good progress with our 2.0L settlement program and continue to dedicate substantial resources to ensure that the process runs as smoothly as possible. We thank our 3.0L customers for their continued patience as a settlement for their vehicles moves towards approval and all parties for their constructive efforts in achieving this agreement.”

“We’re pleased and proud to have been able to achieve such an excellent result for Class Members,” said Reidar Mogerman, a partner at Camp Fiorante Matthews Mogerman LLP and co-lead counsel for Settlement Class Members in Canada outside of Québec.

His fellow co-lead counsel, Michael Peerless, a partner at McKenzie Lake Lawyers LLP, added that, “The defendants should be commended for dealing with this issue in a fair and considered manner. This settlement will bring finality for the 3.0L Settlement Class Members who have patiently awaited this conclusion.”

Sylvie De Bellefeuille, Legal Advisor at Option consommateurs, the Representative Plaintiff for the Volkswagen and Audi Québec Settlement Class, said that “This settlement is a great outcome for Canadian consumers and we hope it sends a strong message towards the industry. We thank our lawyers, Belleau Lapointe, for their excellent work.”

David Assor, a lawyer from Lex Group Inc., representing Porsche Québec Settlement Class Members, added that, “We are very pleased with the value and benefits that the settlement will offer to our clients – the Porsche Cayenne Diesel owners and lessees in Québec.”

Proposed 3.0L Settlement Program in Canada

The proposed nationwide 3.0L settlement is subject to approval by both the Ontario and Québec courts. Approval hearings will take place in April 2018 before the Ontario Superior Court of Justice in Toronto and the Superior Court of Québec in Montreal.

If approved, the 3.0L settlement program in Canada will include the following benefits:

Model Year 2013-2016 Volkswagen, Audi and Porsche 3.0L Diesel Vehicles

Cash payments to approximately 15,000 owners and lessees of model year 2013-2016 Volkswagen, Audi and Porsche 3.0L diesel vehicles (so-called Generation Two vehicles) who receive the recall for an emissions repair to bring their vehicle into full compliance with originally certified emissions standards, as well as an extended emissions

Model Year 2009-2012 Volkswagen and Audi 3.0L Diesel Vehicles

Cash payments to approximately 5,000 owners and lessees of model year 2009-2012 Volkswagen and Audi 0L diesel vehicles (so-called Generation One vehicles).

Eligible owners and lessees of Generation One vehicles can also choose to sell their vehicle to Volkswagen (the buyback option) or terminate their lease without penalty, or, if a modification to reduce emissions is approved by the U.S. EPA and available by recall in Canada, choose to keep their vehicle and have it modified at no charge and receive an extended emissions

Eligible owners can also choose to trade in their Generation One vehicle and receive a trade-in credit towards the purchase of a new or used Volkswagen or Audi vehicle from a Volkswagen or Audi dealership in Canada.

Current and former Canadian and U.S. drivers of 3.0L diesel vehicles that were first sold or leased in Canada may be Settlement Class Members eligible for benefits. These owners and lessees may begin to take steps to determine their eligibility for benefits under the proposed Canadian 3.0L settlement by visiting the “Check My Eligibility” and “Vehicle Look-Up” sections at www.VWCanadaSettlement.ca, or by calling 1-888-670-4773 for assistance with these steps. In addition, starting on or around January 17, 2018, notices summarizing the terms of the proposed 3.0L settlement will be published online, in newspapers, and sent to potential Settlement Class Members. Please note that owners who sell their vehicle on or after January 17, 2018 will lose any benefits for which they are eligible.

Current and former owners and lessees who wish to make a claim for benefits under the 3.0L settlement do not need to take any action at this time. The period to submit a claim will not begin until after the proposed settlement receives approval by the Courts.

However, owners and lessees in possession of a Generation Two (model year 2013-2016) vehicle do not need to wait to receive the emissions repair that has already been approved by the U.S. EPA. Notice is being provided when recalls for those repairs launch in Canada and are available at authorized Volkswagen, Audi and Porsche dealerships. Owners and lessees who choose to receive this emissions repair before the 3.0L claims program begins will not lose any right to an eligible cash payment under the proposed settlement.

More detailed information about the options available to Settlement Class Members is available at www.VWCanadaSettlement.ca.

Notes to Editors:

The following 3.0L diesel engine vehicles are included in the proposed settlement program:

Generation One Vehicles

Brand / Diesel Model

Model Years

Volkswagen Touareg

2009-2012

Audi Q7

2009-2012

Generation Two Vehicles

Brand / Diesel Model

Model Years

Volkswagen Touareg

2013-2016

Audi Q7

2013-2015

Audi A6, A7, A8, A8L, Q5

2014-2016

Porsche Cayenne Diesel

2013-2016

Amounts for legal fees and expenses of class counsel that are subject to approval by the Courts will be paid by Volkswagen and will not reduce the benefits available to Settlement Class Members.

By its terms, the proposed 3.0L settlement is not intended to apply to or affect Volkswagen’s obligations under the laws or regulations of any jurisdiction outside Canada. Emission regulations and vehicle standards vary from country to country. Regulations governing nitrogen oxide (NOx) emissions limits for vehicles in Canada and the United States are stricter than those in other parts of the world and diesel engine variants also differ significantly.

About Volkswagen Group Canada Inc.:

Founded in 1952, Volkswagen Group Canada Inc. is headquartered in Ajax, Ontario, and the largest volume European automotive nameplate in Canada. It is a subsidiary of Volkswagen AG, headquartered in Wolfsburg, Germany. Volkswagen is one of the world’s largest producers of passenger cars and is Europe’s largest automaker.

About Option consommateurs:

Option consommateurs is a not-for-profit organization whose mission is to promote and defend the rights and interests of consumers. Amongst other tools to achieve its goals, Option consommateurs undertakes class actions. Option consommateurs is interested in various issues, namely business practices, financial services, energy, agro food and health.

For further information:

Volkswagen Canada
Spokesperson: Thomas Tetzlaff
Phone: 905-428-5858

Email: Thomas.Tetzlaff@VW.ca
www.Volkswagen.ca

Representatives of Settlement Class Members
Reidar Mogerman

Camp Fiorante Matthews Mogerman LLP
Phone: 604-331-9530

Email: rmogerman@cfmlawyers.ca

Michael Peerless

McKenzie Lake Lawyers LLP
Phone: 519-667-2644

Email: peerless@mckenzielake.com

Option consommateurs
Spokesperson: Sylvie De Bellefeuille
Phone: 514-777-6133

Email: sdebellefeuille@option-consommateurs.org

Daniel Belleau
Belleau Lapointe LLP
Phone: 514-987-6700

Email: dbelleau@belleaulapointe.com

David Assor
Lex Group Inc.

Phone: 514-451-5500 extension 401

Email: info@lexgroup.ca

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