{"id":36502,"date":"2022-11-20T09:03:41","date_gmt":"2022-11-20T14:03:41","guid":{"rendered":"http:\/\/autosector.com\/?p=36502"},"modified":"2022-11-20T09:03:41","modified_gmt":"2022-11-20T14:03:41","slug":"mercedes-benz-diesel-ad-settlement-arizona","status":"publish","type":"post","link":"http:\/\/autosector.com\/?p=36502","title":{"rendered":"Mercedes-Benz to pay $5.5 million to settle Arizona diesel ad case"},"content":{"rendered":"

WASHINGTON \u2014 German automaker Mercedes-Benz<\/a> and auto supplier Robert Bosch LLC have agreed to pay a total of about $6 million to resolve a lawsuit over diesel advertising<\/a> claims, the U.S. state of Arizona said on Friday.<\/p>\n

Under the proposed settlement, Mercedes-Benz will pay $2.8 million in consumer restitution, and each qualifying Arizona consumer will receive up to $625 per vehicle, Arizona Attorney General Mark Brnovich said.<\/p>\n

“Arizona demands truth in advertising to assist consumers in making the most informed decisions for themselves,” he said.<\/p>\n

Mercedes-Benz, which denied the allegations and made no admissions, will also pay $2.7 million in penalties, and Robert Bosch LLC, which also said it had not admitted liability or wrongdoing, will pay $525,000 in penalties, Arizona said.<\/p>\n

“With the settlement, the company takes another step toward resolution of various diesel<\/a> proceedings… and avoids further costs of litigation and lengthy court actions,” Mercedes Benz said in a statement.<\/p>\n

Bosch confirmed the settlement related to the engine control units for certain Mercedes diesel<\/a> vehicles.<\/p>\n

In 2020, Mercedes-Benz agreed to pay $2.2 billion to resolve a U.S. government diesel emissions<\/a> cheating investigation and claims from 250,000 U.S. vehicle owners.<\/p>\n

The settlement included an $875 million civil penalty levied under the Clean Air<\/a> Act and $546 million to fix the polluting vehicles and offset excess emissions.<\/p>\n

A Justice Department investigation into the Mercedes emissions issue remains open and a number of U.S. states have ongoing environmental and consumer protection investigations, the company said in its annual report in March.<\/p>\n

Mercedes-Benz, then known as Daimler AG<\/a>, agreed in 2020 to pay 250,000 owners up to $3,290 each to get polluting vehicles repaired<\/a>.<\/p>\n

Diesel vehicles have come under harsh scrutiny in the United States since Volkswagen<\/a> AG admitted in 2015 to installing secret cheating software on 580,000 U.S. vehicles.<\/p>\n

VW<\/a> paid more than $30 billion to resolve investigations and buy back vehicles.<\/p>\n

Earlier this month, Bosch agreed to pay $25 million to resolve California’s probe into its role in the diesel emissions scandals at Volkswagen and Fiat<\/a> Chrysler Automobiles.<\/p>\n

In August, the U.S. business of Fiat Chrysler, now part of Stellantis, was sentenced after pleading guilty to criminal conspiracy and paid nearly $300 million to resolve a multi-year U.S. Justice Department diesel-emissions fraud probe.<\/p>\n

(Reporting by David Shepardson; Editing by Mark Porter, Emelia Sithole-Matarise and Alexander Smith)<\/em><\/p>\n

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