Diesel Cayenne and VW emission issue
#3181
I can't find it anywhere, but I suspect it's in the dealer settlement that they're not allowed to sell the unsold inventory until a fix is approved and applied.
If one is not approved, then I'd guess CARB/EPA won't allow them to be sold.
If a reduced fix is approved, then maybe....
If one is not approved, then I'd guess CARB/EPA won't allow them to be sold.
If a reduced fix is approved, then maybe....
It also behoves Porsche to hang onto them until the fix is applied to lessen their risk profile if there are issues with the fix.
So I haven't seen anything that could actually prevent them from selling them as soon as the deal is finalized, but I do see very good reasons that they wouldn't want to. As I said previously, IF they did I would expect some ironclad legal agreements that the buyer would have to sign stating that it will get the fix applied outside of the vehicle being totaled before the fix is available.
If they do it as you suggest, then the court contradicts its priorities about our vehicles spewing pollutants and killing everyone.
If it was really about fixing these "dirty" vehicles that loop hole wouldn't be there.
As far as the priority of fixes goes, as with all things legal, if it's not written down then it doesn't exist. So the court may WANT Porsche to fix the already sold Cayennes first, but without it being written in the settlement then there is nothing binding Porsche and they get to choose so long as they can meet the timelines set forth in the agreement.
#3183
Rennlist Member
#3184
Rennlist Member
Actually once this is all finalized I could see the potential for them being released for sale unfixed. If they did that, however, I would expect the sales process to include a very nasty legally binding agreement that the fix MUST be applied to that vehicle.
On one hand that would make the new owners part of the class (an unfixed vehicle within the time window) which means both an additional pay out and in the worst case another vehicle to buy back (plus the bad blood that may create).
On the other, even if you wiped the idle cost clean and started fresh as soon as the agreement is approved, Cayennes don't have to sit unsold long to wash out having to pay out to the new owners in the settlement.
My guess, however, is that the following happens:
1) The existing settlement is ratified with little if any changes.
2) PCNA does not release the vehicles for sale.
3) The fix is finally approved.
4) PCNA fixes all the held Cayennes first and releases them for sale.
5) PCNA starts the recall process for all remaining Cayennes.
Financially it would make sense to get the vehicles on the market and off the books as soon as possible, but legally speaking that could open them up to even more complainants if the fix does not go as planned. I expect they'll take the conservative approach from the legal side of the house.
On one hand that would make the new owners part of the class (an unfixed vehicle within the time window) which means both an additional pay out and in the worst case another vehicle to buy back (plus the bad blood that may create).
On the other, even if you wiped the idle cost clean and started fresh as soon as the agreement is approved, Cayennes don't have to sit unsold long to wash out having to pay out to the new owners in the settlement.
My guess, however, is that the following happens:
1) The existing settlement is ratified with little if any changes.
2) PCNA does not release the vehicles for sale.
3) The fix is finally approved.
4) PCNA fixes all the held Cayennes first and releases them for sale.
5) PCNA starts the recall process for all remaining Cayennes.
Financially it would make sense to get the vehicles on the market and off the books as soon as possible, but legally speaking that could open them up to even more complainants if the fix does not go as planned. I expect they'll take the conservative approach from the legal side of the house.
#3185
Rennlist Member
Was that in the interview with the lead attorney or in the transcript? I recall somewhere that it was expected VW to behave towards the 3.0 in the same way as the 2.0, that is, deal with existing owners first before their own inventory.
#3186
Rennlist Member
I don't recall reading about the disposition of the unsold inventory. If you think about it though, regardless of if they fix their cars first, or ours, without compliance- no sale.
#3187
PJ Cayenne: You are correct, without an approved repair, they can't be sold or exported.
Approved repair, what does that mean? If they can be brought into compliance or not, as long as the repair is approved by EPA/CARB (which could be a reduced emissions repair) we don't have any remedy than to take the repair or opt out. This is important distinction because if I was VAG, I would be shooting for this much less lofty goal than an approved emission complaint repair if that is too difficult to achieve. Also, why the $500 payment for reduced performance as a result of the repair? This is most likely because VAG knows that for them to get these cars into compliance, the vehicles will be impacted in one way or another that will degrade their performance.
Approved repair, what does that mean? If they can be brought into compliance or not, as long as the repair is approved by EPA/CARB (which could be a reduced emissions repair) we don't have any remedy than to take the repair or opt out. This is important distinction because if I was VAG, I would be shooting for this much less lofty goal than an approved emission complaint repair if that is too difficult to achieve. Also, why the $500 payment for reduced performance as a result of the repair? This is most likely because VAG knows that for them to get these cars into compliance, the vehicles will be impacted in one way or another that will degrade their performance.
#3188
When I bought my 14 CD a few weeks ago, dealer specifically mentioned that they have 15 or 16 CDs in their inventory they CANNOT sell as new or CPO at the moment. FWIW, they said they can only sell when PCNA has approved fix.
#3189
Ugh. I wasn't clear or people are misunderstanding.
I don't expect PCNA to sell unfixed vehicles mainly because it opens them up to more liability.
What I said is that I don't see how it is explicitly barred by the settlement and I can see a path they could use to get these cars off their books after the fix has been approved, but before it can actually be applied.
Again, don't think they will. Just see how they could manage it.
I don't expect PCNA to sell unfixed vehicles mainly because it opens them up to more liability.
What I said is that I don't see how it is explicitly barred by the settlement and I can see a path they could use to get these cars off their books after the fix has been approved, but before it can actually be applied.
Again, don't think they will. Just see how they could manage it.
#3190
DOES ANYONE HAVE A COPY OF THE NADA Values as of Sept 2015? Would like to confirm that the following paragraph adequately address CD options?
When I called NADA about the value of my car and went online, saw that many of the Porsche options were not available to show the value of my car, a 2014 CD.
When I brought this up to the attorney, they responded that they understand and allowances would be made to address NADA lack of information.
Reading this in the amended decree:
"22. Options Adjustments. The options adjustments to Base Clean Trade and Base Clean Retail Values made to derive the Vehicle Clean Trade and Vehicle Clean Retail Values for MY 2013-2015 Eligible Vehicles are based only on Volkswagen, Audi, or Porsche OEM-installed options that are valued in the September 2015 NADA Used Car Guide or, for some MY 2015 vehicle options, later editions of the NADA Used Car Guide, using the NADA “Clean Trade-In” and “Clean Retail” values of those"
"options, respectively."
When I called NADA about the value of my car and went online, saw that many of the Porsche options were not available to show the value of my car, a 2014 CD.
When I brought this up to the attorney, they responded that they understand and allowances would be made to address NADA lack of information.
Reading this in the amended decree:
"22. Options Adjustments. The options adjustments to Base Clean Trade and Base Clean Retail Values made to derive the Vehicle Clean Trade and Vehicle Clean Retail Values for MY 2013-2015 Eligible Vehicles are based only on Volkswagen, Audi, or Porsche OEM-installed options that are valued in the September 2015 NADA Used Car Guide or, for some MY 2015 vehicle options, later editions of the NADA Used Car Guide, using the NADA “Clean Trade-In” and “Clean Retail” values of those"
"options, respectively."
#3191
Rennlist Member
Ugh. I wasn't clear or people are misunderstanding.
I don't expect PCNA to sell unfixed vehicles mainly because it opens them up to more liability.
What I said is that I don't see how it is explicitly barred by the settlement and I can see a path they could use to get these cars off their books after the fix has been approved, but before it can actually be applied.
Again, don't think they will. Just see how they could manage it.
I don't expect PCNA to sell unfixed vehicles mainly because it opens them up to more liability.
What I said is that I don't see how it is explicitly barred by the settlement and I can see a path they could use to get these cars off their books after the fix has been approved, but before it can actually be applied.
Again, don't think they will. Just see how they could manage it.
#3192
Yes, correct, they aren't selling the new vehicles because they would just add customers to the Class and the Feds would jail someone for continuing to sell the cars. All that being, if there is no timely fix, only a partial fix, we'd get the buyback, but what would they do with the unsold inventory? Can't be sold as compliant. Maybe they could pay a large fine and offer them for sale. Just guessing???
Worst case, it is just a reduced emission repair that gets approval and really messes with the performance of the vehicles. Best we can do at that point is return to the court for ask for additional remedies that weren't include in the decree (why was this left out? make no sense unless you are VAG). Then maybe we get something, you can bet VAG will fight it to the end and try to avoid having to give up anything more.
#3193
Here is my correspondence asking about this specifically this morning:
The answer to your question is yes:
we can move for a buyback and/or other appropriate remedies ( more money etc) if there is timely regulator approval, but reduced performance beyond the metrics.
Elizabeth Cabraser
LIEFF CABRASER
ecabraser@lchb.com<mailto:ecabraser@lchb.com>
mobile:415-806-2100
On Feb 27, 2017, at 10:34 AM, Michael wrote:
Elizabeth,
If you could answer another concern I have, I would appreciate it.
If defendants submit in a timely manner and get EPA/CARB approval for a reduced emission modification, what will happen then? What happens if the performance is reduced beyond what is covered by the $500 payment a 3% reduction? Is there any language in the decree that covers this area, like triggering a buyback or something to us owners that don’t accept keeping a vehicle that clearly wasn’t what we thought we were buying? Any degradation in the vehicles performance or other adverse effects will also lower it’s marketability, again, placing us in a difficult situation.
Seems like this is a huge win for the defendants, all things considered.
In your last email you wrote:
"In terms of overall environmental impact, they determined instead to allow and require an emissions complaint repair effort to proceed first , as more environmentally responsible.”
How could NOT removing these cars from the road be the most environmentally responsible thing to do? Wouldn’t we be replacing them with cars that we found later that are emission’s compliant? If defendants took the cars, held them until they could repair them to make them compliant, they could cycle them back into the market as emissions compliant vehicles.
Still hard to see where the shift in strategy from the 2.0L settlement to the now 3.0L went from VAG carrying the burden of their actions, to now the burden being distributed among VAG and the owners that purchased their product that they misrepresented to us.
If there was a clear end in sight, I may feel differently. The fact that we get to wait another year, maybe more, is very unsettling.
The answer to your question is yes:
we can move for a buyback and/or other appropriate remedies ( more money etc) if there is timely regulator approval, but reduced performance beyond the metrics.
Elizabeth Cabraser
LIEFF CABRASER
ecabraser@lchb.com<mailto:ecabraser@lchb.com>
mobile:415-806-2100
On Feb 27, 2017, at 10:34 AM, Michael wrote:
Elizabeth,
If you could answer another concern I have, I would appreciate it.
If defendants submit in a timely manner and get EPA/CARB approval for a reduced emission modification, what will happen then? What happens if the performance is reduced beyond what is covered by the $500 payment a 3% reduction? Is there any language in the decree that covers this area, like triggering a buyback or something to us owners that don’t accept keeping a vehicle that clearly wasn’t what we thought we were buying? Any degradation in the vehicles performance or other adverse effects will also lower it’s marketability, again, placing us in a difficult situation.
Seems like this is a huge win for the defendants, all things considered.
In your last email you wrote:
"In terms of overall environmental impact, they determined instead to allow and require an emissions complaint repair effort to proceed first , as more environmentally responsible.”
How could NOT removing these cars from the road be the most environmentally responsible thing to do? Wouldn’t we be replacing them with cars that we found later that are emission’s compliant? If defendants took the cars, held them until they could repair them to make them compliant, they could cycle them back into the market as emissions compliant vehicles.
Still hard to see where the shift in strategy from the 2.0L settlement to the now 3.0L went from VAG carrying the burden of their actions, to now the burden being distributed among VAG and the owners that purchased their product that they misrepresented to us.
If there was a clear end in sight, I may feel differently. The fact that we get to wait another year, maybe more, is very unsettling.
#3194
Rennlist Member
Also recall the dealers class action was approved at the time of the 2.0L case - it was the 2.0L case that had them concerned they we not getting compensated for new inventory or used TDI inventory. In the dealers settlement there are also references to the forbidding of sales until an approved emissions fix. There is only a weak reference to the 3.0L case - essentially it enjoins the 3.0L case to the 2.0L case if an agreement is approved for 3.0L. I suspect they may need to modify their original settlement for 3.0L but who knows.
#3195
What is the payout if your PIG was purchased off lease
So the previous owner of my 14 CD was a lease. That payout is substantially less than a first owner would get. I am technically the ??? First or second owner ??
Will I get the full compensation a first owner would get? Lawyers?
Will I get the full compensation a first owner would get? Lawyers?