Environment & Energy

VW Argues Ohio’s $350M-a-Day Emission Fine Is ‘Regulatory Chaos’

Jan. 26, 2021, 5:47 PM

Ohio’s highest court will determine whether Volkswagen AG was acting like a mechanic or a manufacturer when it updated in-car computers to fudge emissions data, and determine if the automaker may pay a $350-million-a-day fine or escape any state sanction.

An hour-long oral argument Tuesday boiled down to whether a state, which can crack down on mechanics who illegally tamper with cars in violation of state environmental regulations, is preempted by federal law from regulating computer updates by an automaker.

An affirmative answer from the Ohio Supreme court could open the floodgates for state litigation around countless computer updates manufacturers...

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