VW’s Class Settlement Over Takata Airbags Clears First Hurdle

Volkswagen Group of America Inc. and Audi of America LLC’s agreement to provide $42 million to compensate car owners and conduct an outreach program to accelerate replacement of Takata airbags warrants preliminary approval, a federal court in Florida said.

Certification of a nationwide settlement class with more than 1 million members is appropriate, and the deal is fair and reasonable, Judge Federico A. Moreno said Wednesday for the U.S. District Court for the Southern District of Florida.

The consumers allege their vehicles were equipped with defective Takata airbag inflators that could malfunction, sending shards of metal into drivers and passengers ...