Some Texas Supreme Court justices on Tuesday challenged Volkswagen AG and Audi AG’s argument that a state court is not the proper place to hear a lawsuit over the “diesel cheat” software update that resulted in a $20 billion settlement with the EPA.
Volkswagen AG and Audi AG allegedly distributed software that would defeat emissions testing in its “clean diesel” vehicles. Texas used the state’s anti-tampering law to sue the companies after they tried to distribute the software through a recall.
Volkswagen settled criminal and civil cases in 2017 brought by the Environmental Protection Agency, but it failed to get ...