Hyundai and Kia will have to pay a total of US$395 million to over 90,000 customers in the U.S. in compensation for misleading them about the fuel efficiency of their cars.
The carmakers on Monday said they have reached a settlement in a class-action lawsuit consisting of 53 cases for overstating their fuel economy in the Los Angeles federal court.
Plaintiffs who bought 13 Hyundai or Kia models from 2011 to 2013 will receive an average of US$439 per person.
The U.S. Environmental Protection Agency announced in November last year that the fuel efficiency of many of their cars has been exaggerated by 1 to 2 miles per gallon due to an error in the measuring method.
Some customers in Korea have also filed a lawsuit against Hyundai over the same issue with the Seoul Central District Court, but it found in favor of the automaker on Dec. 13.