A federal judge gave preliminary approval Tuesday to a sweeping settlement between Volkswagen, U.S. regulators and owners of VW diesels who will receive thousands of dollars in compensation.
U.S. District Court Judge Charles Breyer set the settlement in motion, allowing the German automaker and plaintiff attorneys to begin collecting information from 475,000 eligible consumers of 2-liter diesel cars that were rigged with software to cheat emissions standards.
Final approval of the class-action lawsuit settlement could come at a hearing Oct. 18, at which point compensation could begin immediately.
Volkswagen diesel owners can choose between a buyback or a fix — in addition to cash compensation ranging from $5,100 to $10,000 per owner. Owners who owe more than their vehicles are worth could qualify for loan payoffs.