Almost 67,000 polluting VW and Audi diesels returned so far

A Volkswagen logo is seen on a car offered for sale in California. An attorney for the automaker said Wednesday that close to 67,000 of the roughly 470,000 Volkswagen and Audi 2-liter diesel models sold in the United States with emissions-cheating software have been returned to dealers for buybacks or lease terminations. less A Volkswagen logo is seen on a car offered for sale in California. An attorney for the automaker said Wednesday that close to 67,000 of the roughly 470,000 Volkswagen and Audi 2-liter diesel models sold in the ... more Photo: Damian Dovarganes, Associated Press Photo: Damian Dovarganes, Associated Press Image 1 of / 1 Caption Close Almost 67,000 polluting VW and Audi diesels returned so far 1 / 1 Back to Gallery

Almost 67,000 of the roughly 470,000 Volkswagen and Audi 2-liter diesel models sold in the United States with emissions-cheating software have been returned to dealers for buybacks or lease terminations, an attorney for the automaker said at a hearing in federal court in San Francisco Wednesday.

Under a consumer class-action settlement that will cost VW up to $10 billion, people who own or lease one of the 2-liter TDI models with a so-called defeat device can sell the car back to the manufacturer at the vehicle’s September 2015 trade-in value or terminate their lease without penalty and receive a cash restitution payment ranging from $2,634 to $9,852. Alternatively, they can keep their car and get an emissions repair approved by regulators and get the same restitution payment.

Buybacks, including the restitution payment, range from $12,475 to $44,176 depending on make and mileage.

U.S. District Court Judge Charles Breyer approved the consumer class action settlement, the largest in U.S. automotive history, on Oct. 25. At a status conference on the settlement Wednesday, Robert Giuffra, an attorney with Sullivan & Cromwell who represents VW, said that about 451,000 cars have been “registered” for the settlement, 383,000 claims have been filed and 160,000 buy-back appointments have been scheduled with dealers.

As of Tuesday, 66,877 people have completed a buyback or lease termination, resulting in payments of $1.2 billion. By the end of January, VW expects to complete 96,000 buybacks or lease terminations, “so we are well on the road,” Giuffra said.

Consumers must send in the required paperwork, have it verified, then schedule an appointment at the dealer to turn in the car. This process has not gone as smoothly as originally hoped, especially for owners who have loans with banks, credit unions or other lenders other than VW Credit, said Elizabeth Cabraser, the lead attorney for plaintiffs.

Consumers have until Sept. 1, 2018 to participate in the settlement by turning in their car or getting it fixed, no matter when they get their offer. Earlier this month, federal and state environmental regulators approved the first repair, but it only covers about 70,000 so-called generation 3 vehicles from model year 2015. A repair for the remaining 400,000 2-liter diesels from has yet to be approved.

A similar class action settlement covering about 80,000 3-liter VW, Audi and Porsche models is pending.

Kathleen Pender is a San Francisco Chronicle columnist. Email: kpender@sfchronicle.com Twitter: @kathpender