Judge Preliminarily Approves Settlement To Resolve Claims VW Sold Vehicles With Faulty Transmissions

VW Faulty Transmissions Class Action Settlement Overview: 

• Who: A judge granted preliminary approval to a settlement agreement between Volkswagen Group of America Inc. and drivers. 
• Why: The settlement will resolve claims VW sold certain 2010-2012 Audi vehicles with defective transmissions.
• Where: The class action lawsuit was filed in California federal court.

A settlement between Volkswagen Group of America Inc. and drivers was given preliminary approval last week to resolve claims the company sold vehicles with faulty transmissions. 

Plaintiff John Chess alleged in a 2017 class action lawsuit that VW manufactured and sold model year 2010-2014 Audi S4, S5, S6, S7 and RS5 vehicles with defective transmissions that caused them to shake and jerk unexpectedly, Law360 reports .

The current settlement class includes drivers who purchased or leased 2010-2012 Audi S4 and S5 vehicles. 

A judge determined that there were no conflicts of interest, that fees could be properly received and that granting preliminary approval was safer than continuing litigation. 

Under the agreement — which has no defined settlement fund — the company will reimburse vehicle owners for a portion of a previous transmission repair or replacement. 

Drivers To Receive Reimbursement Based On Vehicle Age and Mileage

The vehicle’s age and mileage at the time of the repair or replacement will determine what percentage Volkswagen will pay, according to the settlement. 

Reimbursement rates are also capped at $5,000 for mechatronics unit replacement and $12,000 for a transmission replacement if the vehicle was not repaired at an authorized Audi dealership.

The company has also agreed to extend the warranty for vehicle owners to nine years or 90,000 miles for issues related to the allegedly defective transmissions. 

Earlier this month, a judge declined to dismiss a separate class action lawsuit filed against VW that alleges the company knowingly sold Audi vehicles with faulty timing chains. 

Do you own an Audi vehicle with a defective transmission that caused the vehicle to unexpectedly jerk and shake? Let us know in the comments! 

The plaintiffs are represented by Daniel K. Bryson, Gregory F. Coleman and Mitchell M. Breit of Milberg Coleman Bryson Phillips Grossman PLLC and Deborah R. Rosenthal of Simmons Hanly Conroy LLC.

The VW Faulty Transmissions Class Action Lawsuit is Chess v. Volkswagen Group of America Inc., Case No. 4:17-cv-07287, in the U.S. District Court for the Northern District of California.

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• Geico To Pay $24M To Settle Claims It Short-changed Customers With Totaled Cars
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