Volkswagen and a law firm say the German automaker has agreed to pay up to 127 million Australian dollars ($87 million) to settle an Australian class action stemming from its 2015 diesel emissions scandal.
The settlement was announced in the Federal Court in Sydney on Monday and has yet to be approved by a judge.
Maurice Blackburn law firm says Volkswagen will pay between AU$87 million and AU$127 million, depending on how many owners of the affected 100,000 vehicles sold in Australia join the class action.
Volkswagen said in a statement that it made no admission of liability in the settlement.
Volkswagen has paid 30 billion euros ($33.5 billion) in fines and civil settlements around the world after it installed software on diesel vehicles to cheat on emissions tests.