Shutterstock photo
By Sara Randazzo
(FROM THE WALL STREET JOURNAL 3/25/16)
A federal judge gave Volkswagen AG another month to come up with a fix for its diesel-powered cars that violate U.S.
emissions standards after the German auto maker failed to meet the judge's initial deadline.
U.S. District Judge Charles Breyer, who is overseeing consolidated civil litigation stemming from the scandal, said a
"concrete proposal" needs to be made by April 21. That could include a regulator-approved technical fix that allows the
cars to stay on the road, a buyback plan, or other remedies.
"Whatever the proposal, by April 21st it must be specific and detailed," said Judge Breyer, who had earlier set a
March 24 deadline for the auto maker to propose a solution.
"Volkswagen is committed to resolving the U.S. regulatory investigation into the diesel emissions matter as quickly as
possible and to implementing a solution for affected vehicles, as we work to earn back the trust of our customers and
dealers and the public," a company spokeswoman said in a statement.
Plaintiffs' attorney Elizabeth Cabraser said the parties are "redoubling efforts" to meet the April deadline.
If no substantial progress has been made by then, Judge Breyer said he would consider a request by plaintiffs' lawyers
to set a summer trial date, potentially allowing him to dictate how the company should deal with its cars.
More than 500 civil lawsuits from around the country have been consolidated in the San Francisco court through a
process called multidistrict litigation, which aims to streamline pretrial discovery.
Volkswagen said in a court filing this week that it is "premature" to set such a quick trial date, noting it needs
enough time to gather documents, take depositions and develop a defense.
Ernie Weber, an Illinois man who bought a $27,000 diesel-powered Passat last year for its fuel economy, said he has
been waiting for a solution long enough.
"I'm paying a high price for a car that has no value," he said, adding he would like the company to buy back the car
for the amount he paid. "I want the lost value so I can get away from Volkswagen."
In San Francisco, Judge Breyer said he would be looking to former Federal Bureau of Investigation director Robert
Mueller, who is working as a court-appointed settlement master to help Volkswagen, plaintiffs' lawyers and regulators
come to an agreement, for regular updates during the next month.
The judge noted that he was told "substantial progress" has been made since a status hearing last month, though
engineering technicalities and other roadblocks still need to be resolved.
"My eight-year-old doesn't like the case much," Volkswagen lawyer Robert Giuffra said, after noting that the past
month was one of the busiest in his career. "He says daddy's never home."
Volkswagen-brand car sales have plummeted in the U.S. Last fall, the auto maker stopped sales of affected diesel
vehicles in the U.S., and in the ensuing months has come under scrutiny from lawmakers and government officials who say
Volkswagen isn't moving fast enough to fix vehicles already on the road.
The auto maker faces criminal investigations in the U.S. and Germany.
(END) Dow Jones Newswires
03-25-160247ET
Copyright (c) 2016 Dow Jones & Company, Inc.
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