20 December, 2016
The proposed agreement, covering about 105,000 vehicles across the country, could cost Volkswagen $2.1 billion if accepted by courts in Ontario and Quebec.
"Volkswagen's primary goal has always been to ensure our Canadian customers are treated fairly, and we believe that this proposed resolution achieves this aim", said Maria Stenstroem, president and CEO of Volkswagen Group Canada, to Reuters.
According to the federal competition watchdog, it would be one of the largest consumer settlements in Canadian history.
The Canadian settlement doesn't include vehicles with 3.0-litre diesel engines.
Reuters has reported that an agreement is close that calls for Volkswagen to buy back about 20,000 Audi and VW SUVs and provide a software fix for about 60,000 newer models that were marketed under its Porsche, Audi and VW brands. After VW's pollution scandal broke, the values of the manipulated cars plunged and scheduling repairs caused disruptions for owners. Now, 15 months after the Wolfsburg-based vehicle firm was caught cheating on emissions tests, CBC Newsreports Canadian TDI owners will get compensation to the tune of $2.1 billion CAD. On top of that, VW will pay class members between $5,100 and $8,000 CAD in restitution. Smaller amounts will be paid to eligible non-owners, including those who leased the vehicles.
South Korea slams North Korea's military drills as 'childish act'
A pro-Pyongyang newspaper said North Korea could conditionally disclose information on Japanese nationals in the country. Similar approaches were used to induce defectors in South Korea to return to the North by using their family members.
Under the terms of the deal, owners will be able to sell their vehicles back to the company, trade them in for upgrades, or get them repaired. There are also non-owner provisions for people whose lease has ended, eligible sellers and eligible purchasers.
In 2015, the German auto maker admitted to rigging vehicles to dupe emissions testing.
U.S. District Judge Charles Breyer said Friday that he was optimistic the sides would reach a settlement and gave them until Monday to report back on a resolution.
Reports said Volkswagen, which is closely working with the USA authorities, has reportedly agreed to buy-back about 20,000 so-called first-generation cars of the 3-liter model, and to sort the remaining 60,000 second-generation cars.