Thousands of Mercedes-Benz owners in Pennsylvania are eligible for $2,000 payments and free engine repairs as part of a $149 million national settlement over allegations that the automaker cheated on emissions tests.
Pennsylvania Attorney General Dave Sunday, who joined a 50-state coalition in the agreement, recently announced that the settlement covers more than 200,000 diesel vehicles sold nationwide between 2008 and 2016.
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In Pennsylvania alone, more than 10,500 impacted vehicles were sold or registered, according to state records.
The settlement addresses claims more than 200,000 diesel passenger cars and vans equipped with undisclosed software.
The devices allegedly allowed vehicles to appear compliant during testing while emitting nitrogen oxide at levels far exceeding legal limits during normal road use, the attorney general’s office said.
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Pennsylvania is set to receive $6.6 million from the payout, which will be distributed among the Pennsylvania Attorney General’s Office, the Pennsylvania Department of Environmental Protection, and PennDOT.
“This luxury-vehicle manufacturer cut corners to make their products more attractive to consumers, while blatantly lying about the vehicles achieving emissions standards,” Sunday said in a statement. “Emissions regulations are in place to protect Pennsylvanians and the environment from harmful chemicals.”
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According to the attorney general’s office, Mercedes-Benz allegedly used the software to meet design and performance goals—including increased fuel efficiency and reduced maintenance—that were otherwise unattainable while complying with emissions standards. While the company marketed the vehicles as “environmentally-friendly,” it allegedly concealed the existence of the defeat devices from both the public and regulators.
Under the terms of the agreement, Mercedes-Benz USA will pay $120 million to the participating states immediately.
An additional $29.6 million will be suspended and potentially waived if the company successfully completes a comprehensive consumer relief program, officials said.
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The relief program targets an estimated 39,565 vehicles that remained unrepaired or on the road as of August 2021.
Per the attorneys general, Mercedes-Benz is required to:
- Install approved emission modification software at no cost to the consumer.
- Provide an extended warranty for participating owners.
- Pay consumers $2,000 per impacted vehicle.
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The settlement further requires that the company reform its business practices.
Mercedes-Benz is now prohibited from engaging in unfair or deceptive marketing regarding diesel vehicles and must comply with strict reporting requirements regarding emissions compliance.
