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Attorney General Josh Stein Announces $5.3M in Proposed Settlements with Fiat Chrysler and Robert Bosch for Emission Rule Violations

Release date: 1/10/2019

(RALEIGH) Attorney General Josh Stein today announced that North Carolina has negotiated settlements totaling $1,673,750 with Fiat Chrysler and $3,677,040 with auto-supplier Robert Bosch for harming consumers by undermining auto emissions regulations through the use of “defeat devices” on diesel vehicles. When finalized, North Carolina will receive a total of $5,350,790 from the settlements. Approximately 2,678 affected North Carolina consumers who purchased or leased Fiat vehicles containing the illegal devices will receive $7 million to $8 million in compensation.

“Fiat and Bosch deceived consumers and used illegal methods to conceal the environmental damage caused by these vehicles,” said Attorney General Josh Stein. “Car and car part manufacturers have a responsibility to protect our environment and treat their customers fairly. The actions Fiat will take as a result of this settlement will make them more accountable to their customers and make their vehicles more environmentally-friendly.”

A two-year investigation determined that Fiat installed unlawful defeat device software and undisclosed Auxiliary Emissions Control Devices in 2,678 Model Year 2014-16 Jeep Grand Cherokee and Ram 1500 diesel vehicles that the automaker sold in North Carolina. The software allowed Fiat to conceal that the vehicles emitted higher-than-permitted levels of nitrogen oxides and misled consumers by falsely claiming that the trucks were environmentally friendly and met legal requirements.

The proposed settlements with Fiat Chrysler follow earlier comprehensive settlements involving defeat devices reached between North Carolina, along with other state, federal, and private actors, and Volkswagen that resulted in Volkswagen paying civil penalties of more than $17 million, fixing or repurchasing affected vehicles, and paying millions of dollars in restitution to NC consumers.

Bosch, a multinational engineering company, facilitated the implementation of the defeat device software in more than 600,000 Volkswagen and Fiat Chrysler vehicles over more than a decade. Under the proposed settlement, Bosch will pay North Carolina $3,677,040 in consumer and environmental civil penalties.Attorney General Stein and other state attorneys general have obtained a total of $72.5 million in nationwide civil penalties from Fiat Chrysler and another $98.7 million from Bosch.

Laura Brewer (919) 716-6484

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