Mercedes-Benz to Pay $150M in Emissions Settlement as Missouri AG Hanaway Leads Multi-State Action
Mercedes-Benz will pay $150 million to settle emissions fraud claims led by Missouri Attorney General Catherine Hanaway and 49 other states.Summary
Missouri Attorney General Catherine Hanaway announced a $150 million settlement with Mercedes-Benz USA, LLC and Mercedes-Benz Group AG regarding emissions fraud. The agreement, reached in collaboration with 49 other attorneys general, addresses violations of state laws prohibiting unfair or deceptive trade practices. The lawsuit stemmed from Mercedes’ use of “defeat devices” in diesel vehicles between 2008 and 2016, allowing them to pass emissions tests while exceeding limits during normal operation.
Over 211,000 diesel vehicles were sold with this software in the U.S., marketed as eco-friendly without disclosing the defeat devices. Missouri will receive over $3 million from the settlement, with Mercedes-Benz paying $120 million upfront and an additional $29.6 million contingent on a consumer relief program.
The settlement requires Mercedes to install approved emission modification software, provide extended warranties, and compensate owners $2,000 per qualifying vehicle. The company is also prohibited from deceptive marketing regarding diesel emissions. States like New York and California joined the coalition to address consumer and environmental violations.
(Source：Hoodline)