Volkswagen Turbo Lawsuit Pays Owner $3,500 While Lawyers Take Nearly $2 Million

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Volkswagen Turbo Lawsuit
Volkswagen Turbo Lawsuit

When the turbocharger in Julie Kimball’s 2010 Audi A4 failed, she spent roughly $3,000 to replace it. Her car was long out of warranty, and she needed to get back on the road. Still, she decided to take Volkswagen to court, claiming a defective design.

After more than three years of litigation, Kimball walked away with just $3,500.

Kimball had purchased the car new and noticed the turbo issue around 63,000 miles, roughly a decade into ownership.

A court dismissed most of her case in 2023, though she was allowed to amend and refile her claims multiple times. Ultimately, a single claim of negligent misrepresentation survived, but not in the way she might have hoped.

Volkswagen did not admit fault or agree to pay large sums for Kimball. Instead, her lawyers received $1.95 million in fees, according to court filings. The primary benefit to Kimball, and possibly other owners, is limited: expanded warranty coverage for certain VW and Audi vehicles.

Volkswagen Turbo
Volkswagen Turbo

The settlement extends warranty coverage for dozens of VW and Audi models, including early GTIs, Passats, and newer Atlas and Arteon vehicles.

Some vehicles affected are up to 16 years old, but eligibility is tightly restricted by mileage, vehicle age, maintenance history, and the specific cause of turbo failure.

Only Generation 3 vehicles qualify for the extended warranty. Coverage lasts up to 8.5 years or 85,000 miles from the vehicle’s original in-service date and applies solely when the turbocharger fails due to wastegate fork head or link pin corrosion.

Even when a claim is approved and dealer records confirm a faulty wastegate, owners will receive only 50% reimbursement. If the specific defect isn’t fully documented, the payout drops to 40%. For repairs performed by an unauthorized dealer, eligible claims are capped at $3,580.

For older vehicles where the extended warranty has already expired, the settlement allows a narrow 60-day window to submit claims, provided mileage limits haven’t been exceeded. VW and Audi owners who have experienced a turbo failure should act quickly to see if they qualify.

Also Read: 10 Volkswagen Car Models from the Dependable Years

Elizabeth Taylor

By Elizabeth Taylor

Elizabeth Taylor covers the evolving world of cars with a focus on smart tech, luxury design, and the future of mobility. At Dax Street, she brings a fresh perspective to everything from electric vehicles to classic icons, delivering stories that blend industry insight with real-world relevance.

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