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Rumors of a dealer class action against Volkswagen have swirled for months, and we have already mentioned about this in one of our previous blogs. But now, a prominent dealer attorney, Leonard Bellavia of Mineola, N.Y., declared he is prepared to file a lawsuit against Volkswagen on behalf of U.S. dealers who supported financial damage after VW’s emissions scandal.The attorney declined to identify his clients, but he mentioned that whether the lawsuit is filed depends on whether the company can reach a settlement with dealers that compensates them fairly for the finan...
The Insurance Institute for Highway Safety lead a study of the U.S. cars headlights to check their conformity to the official standards. According to the results of this study headlights on a third of U.S. midsize car models do a poor job, and only one, the Toyota Prius V, performed well enough with an optional upgrade to earn a good rating from the IIHS.Better headlights could reduce U.S. accident deaths and improve safety. Within the ratings of vehicle headlights, the insurance group tested midsize cars to see how well they illuminate the road and whether they create excessive glare for...
Last week, during a meeting concerning the company’s U.S. strategy, with the VW AG executives in Germany, Volkswagen’s U.S. dealers required reparations from the automaker for financial damages caused by the company's emissions violations.Though it is too early to discuss the size of any settlement so soon after pitching the proposal, it is evident that a special strategy for how Volkswagen is going to approach the dealer network on franchise damages, is needed. The prospect of reparations will be among the pressing topics to be addr...
As a punishment for pollution from Volkswagen's cars after the automaker cheated on diesel-emissions tests, a national remediation fund and a separate one for California is likely to be established. Volkswagen Group is now in talks with U.S. authorities on this matter.The national fund would be administered by the Environmental Protection Agency and used to promote clean transportation throughout the U.S. The other would be run by California to promote zero-emission vehicles in the state. Negotiations are continuing and many details are still being determined. Through a...
Important job cuts are planned at Volkswagen in Germany. The automaker is to cut about 3,000 office jobs in Germany by the end of 2017. The company strives this way to offset the cost of its emissions test-rigging scandal.The Volkswagen brand has initiated an efficiency program that is affecting all areas, including personnel costs. Costs can be cut by reducing temporary work contracts, filling vacancies internally and making fewer hirings, the spokesman said, declining to be more specific. VW is cutting investment by 1 billion euros ($1.1 billion) in 2016 compared with last yea...