Volkswagon Fix Could Cost Billions if Lawsuit Succeeds
In the aftermath of revelations that Volkswagon rigged its diesel vehicles to beat emissions tests, there continues to be speculations as to how the company will respond. The New York Times published a detailed article yesterday explaining that the company has no means to force vehicle owners to comply with any plans they have to correct the issue, and that drivers may not want their vehicles “fixed” because the correction may cost them horsepower and mileage. Now, the Associated Press is reporting that lawsuits are suggesting another “fix”–forcing the company to offer to buy back effected vehicles. VW has not yet announced its specific plans, but would be expected to balk at the costs of a full buy-back.
The 482,000 U.S. cars known to be effected by the emissions issue are worth an average of $14,466, ranging from $8,409 for a 2009 Jetta to $21,474 for a 2015 Passat, according to Kelley Blue Book. At the average resale value, VW could be forced to pay more than $6.9 billion to repurchase the cars. These figures include only U.S. vehicles. It is estimated that another 700,000 vehicles outside the U.S. were also part of the emissions rigging.