Mercedes Agrees to $150 Million Settlement in Diesel Controversy

Written by Emily J. Thompson, Senior Investment Analyst

Source: SeekingAlpha

Updated: Dec 23 2025

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Source: SeekingAlpha

Settlement Agreement: Mercedes-Benz USA and Daimler AG will pay $149.6 million to settle allegations from 48 U.S. states, Puerto Rico, and the District of Columbia regarding the installation of devices in vehicles to manipulate diesel emissions tests.
Emissions Manipulation Details: Between 2008 and 2016, over 211,000 diesel vehicles were equipped with software that optimized emissions during tests but reduced controls during regular driving, leading to the settlement.
Financial Breakdown: The settlement includes a $120 million payment to attorneys general, with an additional $29 million payment suspended pending the completion of a consumer relief program.
Consumer Relief Program: Owners of approximately 40,000 unrepaired vehicles will receive $2,000 each if they install approved emissions modification software and an extended warranty.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.