Mercado v. Volkswagen Group of America, Inc. d/b/a Audi of America, Inc.

A class action settlement in Mercado v. Volkswagen Group of America, Inc. d/b/a Audi of America, Inc., Civil Action No. 5:18-cv-02388 (“the action”), was granted preliminary approval by the United States District Court for the Central District of California on November 4, 2021.

In the action, Plaintiffs, individually and as proposed representatives of a nationwide class, assert claims that the front brakes in certain model year 2017 and 2018 Audi Q7 vehicles are defective because they allegedly may emit a squealing sound. Defendant Volkswagen Group of America, Inc. (“VWGoA”) has denied the claims and maintains that the front brakes are not defective, are properly designed, manufactured and sold, and that no warranties were breached nor were any applicable statutes violated. The Court has not decided in favor of Plaintiffs or Defendant. Instead, both sides agreed to a Settlement with no decision or admission of who is right or wrong. Class Counsel represent Plaintiffs and all other Settlement Class Members, and believe that the Settlement provides substantial benefits and serves the interests of the Settlement Class.

Settlement Class Vehicles and Settlement Class

---

The vehicles involved in the Settlement — called "Settlement Class Vehicles" — are model year 2017 and 2018 Audi Q7 vehicles that were imported and distributed by Volkswagen Group of America, Inc. (“VWGoA”) in the United States and Puerto Rico.

The Settlement Class includes:

All persons or entities who purchased or leased a Settlement Class Vehicle in the United States of America or Puerto Rico, imported and distributed by Volkswagen Group of America, Inc. for sale or lease in the United States of America or Puerto Rico.

Excluded from the Settlement Class are (a) all Judges who have presided over the Action, and their spouses; (b) all current employees, officers, directors, agents, and representatives of Volkswagen Group Companies, and their family members; (c) any affiliate, parent, or subsidiary of Defendants and any entity in which Defendants have a controlling interest; (d) anyone acting as a used car dealer; (e) anyone who purchased a Settlement Class Vehicle for the purpose of commercial resale; (f) anyone who purchased a Settlement Class Vehicle with salvaged title and/or any insurance company who acquired a Settlement Class Vehicle as a result of a total loss; (g) any insurer of a Settlement Class Vehicle; (h) issuers of extended vehicle warranties and service contracts; (i) any Settlement Class Member who, prior to May 25, 2021 settled with and released Defendants or any Released Parties from any Released Claims; and (j) any Settlement Class Member that files a timely and proper Request for Exclusion from the Settlement Class.

If you fall within the Settlement Class, then, subject to the above exceptions, you are a Settlement Class Member.

This website features more information about the action and the proposed class Settlement, including Settlement Class Members' rights and options, the benefits available under the Settlement, important dates and deadlines, frequently asked questions, and important case documents.

Settlement Class Members' Legal Rights and Options

---

ACTION	EXPLANATION
DO NOTHING	If you do nothing, if your vehicle is included in the Settlement Class, you will be a Settlement Class Member, and will have the right to obtain the benefits of the Settlement, including reimbursement for previously paid out-of-pocket repair expenses for a covered repair pursuant to the terms for reimbursement, and an extension of your New Vehicle Limited Warranty with respect to a diagnosed condition of squealing front brakes. For details of the Extended Warranty, please refer to the Class Notice. You will be bound by the terms of the Settlement if the Court approves it.
SUBMIT A CLAIM FOR REIMBURSEMENT	If you are eligible, you may have the right to reimbursement for certain past paid out-of-pocket expenses. In order to be eligible for reimbursement under the Settlement's terms, Settlement Class Members must submit a completed, signed and dated Claim Form, together with all required supporting documentation for reimbursement for past qualifying out-of-pocket expenses. For details regarding the requirements for a valid claim, please refer to the Class Notice and Claim Form. Your claim must be submitted by U.S. First-Class Mail and postmarked by July 1, 2022.
EXCLUDE YOURSELF OR "OPT OUT"	Per the terms of the Amended Preliminary Approval Order, the deadline to exclude yourself was March 28, 2022. Any requests postmarked after that date are not timely.
OBJECT OR COMMENT	The deadline to object to, or comment on, the settlement was April 12, 2022. Any objections postmarked after that date are not timely